After Council Report: Sept. 17
Council approves preliminary levy and budget, capital improvement plan, sale of tax bonds and more
The Shakopee City Council met Tuesday, Sept. 17. Among the meeting highlights:
Council approves 2020 preliminary levy, budget
The City Council approved the 2020 preliminary levy, EDA special benefit levy and general fund budget. The proposed property tax levy was set $20,380,500 – a 5.98-percent increase from 2019. The council will be asked to approve the final levy in December. For the average-valued home increasing in value by 6.7 percent to $272,600, this equates to a $39, or 4.6 percent, annual increase. This increase is approximately the same amount as the decrease most residents experienced last year. Absent any change in value, homeowners can expect a tax decrease of about $25.
The city's overall tax capacity grew by more than 10 percent ($6.4 million) this year to $66.3 million. More than $1 million of this growth is related to new construction, which creates a larger tax base and reduces the tax burden for all property owners. In terms of levy dollars, the new growth allows the city to increase the levy by approximately $346,000 without having a tax impact on existing properties. Overall, the preliminary levy will reduce the city’s tax rate from 34.943 percent to 33.914 percent.
The council also approved the Economic Development Authority special benefit levy of $350,000, which is the same levy amount since 2018. More information: Darin Nelson, Finance Director, 952-233-9326.
Council approves 2020-24 Capital Improvement Plan
The City Council approved the city’s 2020-24 Capital Improvement Plan, which lays out the city’s capital projects over the next five years. The CIP prioritizes projects based on the organization’s resources and needs and includes buildings, equipment replacement, information technology, parks, streets, tree replacement, sanitary sewer and storm drainage. The final CIP is available on the city website at www.ShakopeeMN.gov/budget. More information: Darin Nelson, Finance Director, 952-233-9326.
Council awards sale of tax increment revenue bonds
The City Council awarded the dale of general obligation tax increment revenue bonds, series 2019A in the principal amount of $4.22 million at a true interest cost of 2.1611 percent. The bonds will be used to cover the costs associated with reconstructing 12th Avenue. The bonds will be repaid using tax increment revenues from the Canterbury TIF District. More information: Darin Nelson, Finance Director, 952-23-9326.
Council sets public hearing for delinquent refuse, city service bills
The City Council set a public hearing for Oct. 15 regarding delinquent refuse bills, false alarm services and delinquent mowing fees. An administrative fee of $25 will be added to unpaid balances beginning Oct. 16. More information: Darin Nelson, Finance Director, 952-233-9326.
These summaries are a sampling of the meeting. See the entire agenda packet with supporting documents at www.ShakopeeMN.gov/agendasandminutes. The meeting is also available for viewing on demand at www.ShakopeeMN.gov/livestream.