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3. Amendment to City code Urban/Rural Service District3 CITY OF CHANHASSEN 690 COULTER DRIVE • P.O. BOX 147 • CHANHASSEN, MINNESOTA 55317 (612) 937 -1900 • FAX (612) 937 -5739 MEMORANDUM TO: Mayor and City Council FROM: Don Ashworth, City Manager DATE: September 21, 1995 SUBJ: Public Hearing; Amendment to City Code, Chapter 2, Article III, Urban/Rural Service District; Changing the Benefit Ratio from 75% to 90% for Parcels in the Rural and Urban Service District The rural service district was created in 1967 at the time of the merger of the township and city. It was created as a promise to the farming community that their township taxe uld not be increased as a result of the merger with the city. Advocates for establishing the rural district stated ers did not benefit to the same degree as urban properties from general services such as snowplowing, p tenance, planning, etc. The proposed change in the ordinance does not change who is qualified to be in the 1 se .'ce district. The ordinance is very clear that at such time as properties are platted, urban services are avails and/ a property no longer qualifies under agricultural taxation laws, that the property must be reclassified as 1. No cation to the county auditor as to which parcels qualify for rural designation has been completed a stratively the past 20 years, i.e. I do not recall this item every appearing on a city council agenda. With the retirement of Jean Meuwissen, I inherit rthe responsibility administering this ordinance. The technical review of which parcels qualify for rural desi , on was completed ob Generous. However, in reviewing the ordinance, it became apparent that the city c cil must act on this list a similar fashion to the process for certifying delinquent utility bills. Ironica n e utility billing process ° far greater council discretion than does the certification of rural properties. I wou a the city council's discretion: ming from an appeal by the developer who was in the process of platting d not certified the plat because whatever reason. This example. is not reality in that staff has always. a more liberal position and has not re ' ved a parcel until well after all of the requirements for desi urban have been met. The change in the once that is being considered Monday evening is the "rate" at >: is proposed that this be set at 90 %. This is the same rat our Auditor's Office]. Unfortunately, the a ordinances finance dated 1984 shows 75 0. ote: and the 75% rate probably 0196? -the year of the merger.] �� Note: The original and our copy of the list of property Office. We anticipate having it available when second iffected by this ordinance is in the County Auditors is considered. 11 NOTICE OF PUBLIC HEARING PROPOSED ORDINANCE AMENDMENT CITY OF CHANHASSEN NOTICE IS HEREBY GIVEN that the Chanhassen City Council will hold a public hearing on Monday, September 25, 1995 at 7:30 p.m. in the Council Chambers in Chanhassen City Hall, 690 Coulter Drive. The purpose of this . hearing is to consider an amendment to the City Code, Chapter 2 Article III, Urban/Ruml Service District, changing the benefit ratio from 75% to 90% for parcels in the rural to urban service district. All interested persons are invited to attend this public hearing and express their opinions with respect to this proposal. Don Ashworth, City Manager Phone: 937 -1900, ext. 110 (Publish in the Chanhassen Villager on August 24, 1995) - Thomas J. Campbell Roger N. Knutson Thomas M. Scott Gary G. Fuchs James R. Walston Elliott B. Knetsch CAMPBELL, KNUTSON, SCOTT & FUCHS, P.A. Attorneys at Law (612) 452 -5000 Andrea McDowell Poehler Fax 612 452 -5550 Todd L. Nissen ( ) Marguerite M. McCarron George T. Stephenson BY FAX AND MAIL Mr. Don Ashworth Chanhassen City Hall 690 Coulter Drive, Box 147 Chanhassen, Minnesota 55317 August 4, 1995 RE: URBAN/RURAL SERVICE DISTRICT Dear Don: Opts !� Enclosed is the ordinance amendment you requested. The ordinance requires a public hearing preceded by at least thirty (30) days advance published notice. Very truly yours, , SCOTT & ,FUCHS, P.)tk. I" RNK: srn Enclosure . Knutson RECEIVED A `i 1995 CITY OF CHANHASSEN Suite 317 e Eagandale Office Center 0 1380 Corporate Center Curve • Eagan, MN 55121 CITY OF CHANHASSEN CARVER AND HENNEPIN COUNTIES, MINNESOTA ORDINANCE NO. AN ORDINANCE AMENDING CHAPTER 2, ARTICLE III OF THE CHANHASSEN CITY CODE CONCERNING URBAN AND RURAL SERVICE DISTRICTS THE CITY COUNCIL OF THE CITY OF CHANHASSEN ORDAINS: SECTION 1 . Section 2 -32 of the Chanhassen City Code is amended to read: Sec. 2 -32. Urban and Rural Service Districts. (a) The City is divided into an urban service district and a rural service district, constituting separate taxing districts for the purpose of all municipal property taxes except those levied for the payment of bonds and judgments and interest thereon. The urban service district includes all properties within the Carver- County limits in the city except those set forth by ordinance as the rural service district. The rural service district shall include only such unplatted lands which need not be contiguous to one another, as in the judgment of the council at the time of adoption of the ordinance are rural in character, and are not developed for commercial, industrial, or urban residential purposes, and for these reasons are not benefited to the same degree as other lands by municipal services financed by general taxation. A dwelling on land that does not qualify for taxation under the Minnesota Agricultural property tax law shall be considered urban residential. (b) The City Council finds that as of the date of the adoption of this ordinance the parcels identified on a list dated , 1995, entitled "Rural Service Districts" on file with the City Clerk are in the rural service district. (c) Whenever any parcel of land included in the rural service district is platted, in whole or in part, or whenever application is made for a permit for the construction of a commercial, industrial, or urban residential building or improvement to be situated on such parcel or any part thereof, or whenever such building or improvement is commenced without a permit, the Council shall make and enter an order by resolution transferring such platted or improved parcel from the rural service district to the urban service district. (d) In the judgment of the Council, the ratio that exists between the benefits resulting from tax supported municipal service to parcels in the rural service district to 27323 08/04/95 1 1 1 1 parcels in the urban service district is ninety percent (90 %), plus any municipal property taxes levied for payments of bonds and judgments, and interest thereon. SECTION 2 . This ordinance shall be effective immediately upon its passage and publication. PASSED AND ADOPTED this Council of the City of Chanhassen. day of , 1995, by the City ATTEST: Don Ashworth, Clerk/Manager Donald J. Chmiel, Mayor (Published in the Chanhassen Villager on , 1995). 27323 08/04/95 2