Truth in Taxation Special Meeting

CITY OF MARSHALL TRUTH IN TAXATION SPECIAL MEETING MINUTES Tuesday, December 05, 2023 The Truth in Taxation special meeting of the Common Council of the City of Marshall was held December 5, 2023, at City Hall, 344 West Main Street. The meeting was called to order at 6:00 P.M. by Mayor Robert Byrnes. In addition to Byrnes the following members were in attendance: Craig Schafer, Steve Meister, Amanda Schroeder, and James Lozinski. Absent: John Alcorn and See Moua-Leske. Staff present included: Sharon Hanson, City Administrator; E.J. Moberg, Director of Administrative Services; Dave Parsons, City Assessor and Steven Anderson, City Clerk. Truth-in-Taxation Public Meeting Mayor Byrnes explained the purpose of the Truth in Taxation (TNT) meeting and how it was an avenue for the city to explain the proposed budget and proposed tax levy for 2024 and to obtain public feedback on the proposed budget. The TNT meeting was not the venue for values, the appropriate meeting for that would have been the local board of appeal and equalization that had taken place in the spring and can no longer be changed at this point. Director of Administrative Services E.J. Moberg gave a presentation on the proposed budget and proposed tax levy for 2024. Moberg explained the various items that impacted the budget such as the classification and compensation study and debt service fund items from various street projects. At the August 29th work session staff originally proposed a budget of 13.63% and were asked by the city council to reduce the budget below a two-digit increase. At the September 13th meeting staff brought the budget increase down to 9.90%. Moberg showed comparative cities around the state for adopted levy increases with Albert Lea being the lowest at 5.5% and Worthington at the top end with an 18.0% levy increase. Staff recommended a levy increase of 9.90% to be brought forward for final approval at the December 12th city council regular meeting. Mayor Byrnes opened the meeting up for public feedback. Four members of the community were present and asked various questions regarding market values. Parsons reiterated that the TNT meeting was regarding budgets, but he would be welcome to talk to the citizens about market values after the meeting. Citizens commented on the homestead exclusion to which Parsons mentioned that in payable 2025 the legislature had finally made some adjustments to the base and top end values but have not actually adjusted the formula. Councilmembers brought up that many of the concerns being heard need to be addressed at the state level and that citizens need to make their voices heard to legislators to have changes made. A couple of the citizens in the gallery commented on the equipment being used by the city. Councilmember informed the audience that a lot of the frequently used, high hour machinery was actually on lease programs to rotate the equipment out every few years instead of paying the outright cost. Which also worked in favor of the dealership who were able to obtain equipment at a government discount and resell with relatively low overhead. Adjourn At 6:57 PM Motion by Councilmember Schroeder, Seconded by Councilmember Meister to adjourn the meeting. All voted in favor. Attest: _________________________ _________________________ City Clerk Mayor