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December 13, 2016 Page 7 of 11 Motion by Councilmember Burg, seconded by Councilmember Strub to adopt a Resolution approving the final 2017 Property Tax Levy. City Manager Lotter indicated Finance Director Davitt would be presenting this item to the Council. Finance Director Davitt explained the 2 017 tax levy has been discussed by the City Council at a number of meetings earlier this year, including our 2017 Budget Public Hearing held on Tuesday, December 6th. It was noted the 2017 General Fund Budget receives 52.3% of its total revenues from property taxes. Staff reported the City Council approved a preliminary 2017 tax levy of $7,900,100 on September 13th. This represents an additional investment of $708,100 from the levy payable in 2016. The expenditures changes from 2016 to 2017 were explained. She indicated the preliminary 2017 tax levy was certified to Ramsey County and used in their calculations for their parcel specific notices mailed to each property owner. The impact of the proposed tax levy on the median value homeowner was described, along with how New Brighton taxes compare to neighboring communities. Staff reviewed the tax levy in further detail through a PowerPoint presentation and recommended approval. Councilmember Bauman asked if any balance from 2016 would be carried over to 2017. Finance Director Davitt anticipated the City would have $200,000 that would carry over. Councilmember Bauman believed the City overtaxed its residents in 2016 and stated she did not support the proposed levy. She discussed the tax rate being charged by Shoreview compared to New Brighton, noting New Brighton charged more per household than Shoreview. She noted for the record the City was proposing a 6.31% tax levy. She understood median value homes would only be impacted $44 however, her taxes would increase by over $120. She feared how seniors would be impacted by the tax increases and wanted the City to be more cognizant on expenses. Councilmember Strub discussed the City services the average New Brighton homeowner would receive for $772 in taxes per year. He explained he was paying less in real dollars than he was when he purchased his home. He believed the proposed tax levy was well thought through and included valuable public input. He was proud of the level of public service provided by the City of New Brighton and supported the proposed budget that would reflect this high level of services. Mayor Johnson believed it was unfortunate Councilmember Bauman would not be supporting the tax levy or budget. She noted the Council has been discussing the budget for many months now and has not received feedback from Councilmember Bauman on changes that should be made, except that she could only support a 2% tax levy. She thanked staff for providing a thorough review of the levy. Councilmember Bauman discussed the feedback she provided to the Council regarding the budget and levy. She commented on the feedback she provided regarding the budget and stated she did not support the 2.5% COLA step for City employees. Councilmember Jacobsen appreciated the fact the City was reducing the amount of money it was borrowing from outside sources. He described how the Council was working to save money to replace its own streets by building up its reserves. Councilmember Burg believed it was hard to place a value on the City services provided by New Brighton. She explained the Council would continue to work to provide high quality City services. She was of the opinion the City had a great deal of development occurring which was a great sign for the community and was a direct result of wise decisions being made by the City Council and staff. She stated she would be supporting the tax levy as presented. 4 Ayes, 1 Nay (Bauman opposed)-Motion Carried 2. Consider Resolution Adopting the Final 2017 Budgets and 2017-2026 CIP. Motion by Councilmember Strub, seconded by Councilmember Burg to waive the reading and adopt a Resolution approving the final 2017 Budgets and 2017-2026 Capital Improvement Plan (CIP). City Manager Lotter indicated Finance Director Davitt would be presenting this item to the Council. Levy. 2. Consider Resolution Adopting the Final 2017 Budgets and 2017-2026 CIP.