Thursday, March 28th, 2024 Church Directory

Final Budget And Levy Passes In 3 2 Vote

Treasurer Corey Boyer had a busy evening at Tuesday’s Becker City Council meeting as he discussed the levy and budget, reserve funds and reassessment of properties.

Dozens fo Becker High School students were on hand to observe the meeting and solicited city officials after the meeting for interviews.
 
Re-assessments
 
Boyer called for a public hearing Jan. 21 to consider the re-assessment of parcels in the Autumn Ridge development that recently returned to private ownership from the tax forfeiture rolls.
 
Six properties were under consideration and were all obtained by the same owner. Each parcel has a re-assessment charge of $1,641.61.
 
Debt Levies
 
Boyer introduced two bonds that are eligible for reductions due to excess funds the city has on hand to pay obligations. 
 
The first bond is titled 2009A WWTF refunding bonds and was used to finance construction at Becker’s WWTF. Earlier this year the city approved lowering the debt service levy of that bond in 2014 by $150,000. After review, staff determined an additional $60,000 is available that can be used to further lower this debt service levy.
 
The second bond, 2010A improvement bond, was issued to finance the construction of street and utility improvements in the industrial park. Boyer noted the project came in significantly under budget and recommends the city reduce the service levy in 2014 by $34,484.
 
Final Budget and Levy
 
Boyer recapped the proposed final budget and levy which shows a total levy of $5,238,736 - a $451,244 (9.43%) increase over 2013.
Boyer noted the budgeted non-tax revenues are estimated at $944,838 — which is $348,012 lower than in 2013 and is attributed to lost utility aid in 2014.
 
He also mentioned wages and benefits increased 5.6% from 2013 which includes a 1.5% cost of living increase, a new police officer, additional public works seasonal staff and a slight increase in overall benefit costs.
 
Capital expenditures increased 47% to $776,800 with the majority coming from council’s positioning of additional dollars in the streets improvement plan. Other major expenditures for 2014 include a new police squad car, technology upgrades at city hall, street improvements at Liberty Lane and the industrial park, Pleasant Valley Park turf/irrigation improvements, Co. Rd. 24 trail extension, a Sandpro utility vehicle, a fire light rescue vehicle and replacement of a SCBA compressor at the fire station.
“I like the fact we are transitioning from borrowing to a cash basis,” said Council Member Rick Hendrickson. “However, I wish we didn’t have to take such a big bite all at once in one year.”
 
Member Adam Oliver agreed.
 
“We can’t predict the future (Sherco) and we have to consider looking at a 3/4 reduction in our tax base if Sherco goes away,” he said. “That means the citizens will get stuck with it and though nobody likes to see their property taxes increase, this is the best move strategically for the city.”
 
Council Members Lynette Brannan and Tracy Bertram were of the same mind as Oliver and Hendrickson saying the city needs to do what they can to preserve the lifestyle everyone is accustomed to.
 
Mayor Lefty Kleis was on the other end saying he opposed the levy and voted “naye” to the final budget and levy presented.
 
“I don’t see us spending any more money,” he said. “Do we need pay raises? I don’t think so at this time. Do we need to put $50,000 into the golf course? I say no. Do we need another police officer? I say no. 9.43% is way too much to hit people with.”
 
In a 3-2 vote, the budget and levy for 2014 passed (Bertram, Oliver, Brannan in favor — Hendrickson and Kleis opposed).
 
No one from the public spoke in favor or against the final budget and levy during open forum.
 
Tower Lease
 
New Cingular Wireless (AT&T) approached the city and asked to lease space on the Autumn Ridge water tower to place nine antennas for radio communications. City Administrator Greg Pruszinske and attorney Scott Lepak negotiated the lease agreement that will have an initial five-year term and may be renewed by the tenant for three additional five-year terms.
 
Rent on the tower will be $1,500 per month and will increase by 3% annually thereafter.
 
Pruszinske said the city has a termination clause in the lease agreement that also states who is responsible for what and what needs to be taken care of once a lease is terminated.
 
The city is currently negotiating a termination agreement with Sprint/Nextel, who is occupying space on the same tower as part of their lease agreement.
 
Other News
 
• Council approved the purchase of a utility trailer for the PW Dept. to be used to move equipment around the city more efficiently. The purchase price of $8,950 comes out of savings accumulated in the PW Dept. from 2013 ($36,000);
 
• Council also approved the purchase of  a hoist for the amount of $9,200 to be used by several departments when servicing vehicles. Currently, the PW Dept. has a 20+ year old hoist that is undersized for the equipment they service and will either be sold by auction or turned into scrap. The cost for the hoist will again come out of the savings the department manifested in 2013;
 
• Six businesses renewed applications for their tobacco licenses for 2014 including Deli Plus, Jubilee Foods, Jubilee Liquors, Super America, The Cave Wine and Spirits and Pebble Creek Golf Course;
 
• Mayor Kleis mentioned employees of the Becker True Value Hardware store will be hosting a Christmas dinner at Gily’s on Christmas Day from 11 a.m to 2 p.m. for anyone who doesn’t have a place to go or a family to be with next Wednesday. Volunteers willing to help at the event are needed as well as financial donations to help pay for the food and drink.
 
The next city council meeting is Jan. 7 at 5 p.m.