1e Local Transit Levy Option
CITY OF
CHANHASSEN
) City Center Drive, PO Box 147
:hanhil5Sen, Minnesota 55317
Phon, 612.937.1900
General Fax 612.937.5739
'ngineering Fax 612.937.9152
,blic Safety Fax 612.934.2524
X1eb www.ci.chanhassen.mn.UJ
.1-e..
MEMORANDUM
TO:
Mayor
City Council
Bruce M. Dejong, Finance Director ~
May 24, 2000
FROM:
DATE:
SUBJECT:
Resolution Declaring Intent to Exercise Local Transit
Levy Option for Taxes in 2001
The City Council is requ¡r~d by state statute to notify the Department of Revenue
of its intent to levy for trimsit each year by June 30. This is a necessary step for
the City to participate in the Southwest Metro Transit organization for next year.
The resolution is similar to the one passed by the councíllast year.
Included in the packet are the letter an~ levy limit from the Department of
Revenue (aithough I am not sure why a levy limit was calculated since they were
removed by the legislature this year) and the resolution as prepared by the
Southwest Metro Transit staff.
attachments
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MINNESOTA Department of Revenue
Property Tax Division
Mail Station 3340
Phone (651) 296-1963
St. Paul, MN 55146-334
Fax (651) 297-216
May 18,2000
Don Ashworth, City Manager
City of Chanhassen
690 City Center Drive
Chanhassen, Minnesota 55317-0147
REC":IIIr:.n
MAY 2 2 2000
Cny
0,.. t;nl'\ ~"1i:;SEN
Dear Mr. Ashworth:
The payable 2001 transit services levy limitation for operating costs and capital
expenditures for the city ofChanhassen has been determined. This levy limitation is
determined and certified under M.S. 473.388, Subd. 7. The enclosed table shows the
determination of this levy limitation. As in the past, this levy limitation amount is
before HACA reduction.
The statute requires that a municipality which intends to exercise the transit services
local levy option for the taxes payable year 2001 must notify the Department of -
Revenue and the Metropolitan Council of its intent on or before June 30, 2000. The
notification must include the amount of the municipality's proposed transit tax for
levy year 2000, taxes payable 2001.
If your city intends to levy a transit tãx under the transit services local levy option for
the taxes payable year 2Q01, please send us a certification of your city's intent along
with a certification of your city's proposed payable 200 I transit tax on or before June
30,2000. The amount ofthe proposed payable 2001 transit tax certified to the
Department of Revenue should be the amount before HACA reduction. If the
required certification is not received by the due date, your city may not levy a transit
tax for the taxes payable year 2001.
After June 30, 2000, your city's decision to levy or not to levy a transit tax for the
taxes payable year 2001 is irrevocable. If your city has certified that it intends to levy
a transit tax for the taxes payable year 200 I, the only change that may be made after
June 30, 2000 is to reduce the amount of the transit tax.
If you have any questions concerning this letter or the enclosed table, please contact
me.
Continued...
An equal opportunity employer
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Sino~1d ú1
Mike Bernard
Research Analyst
Enclosure
cc: Richard P. Johnson
Associate Regional Administrator
Metropolitan Council
Tim Fleetham, Budget Coordinator
Metropolitan Council
I. Payable 2000 Levy Limit * $ 746,548
2. Payable 1999 Total Taxable Market Value ** $ 1,288,176,100
3. Payable 2000 Total Taxable Market Value ** $ 1,413,079,700
4. Payable 2000/Payable 1999 City Market Value Ratio (3/2) 1.096962
5. Payable 2001 Levy Limit (J x 4) * $ 818,935
* Before HACA reduction.
** Includes tax increment values, fiscal disparity values, and powerline credit values.
However, the amounts shown are after (I) limited market value adjustments and (2)
market value exclusions for improvements made to qualifying homestead property
("This Old House" exclusions).
Prepared by: Minnesota Department of Revenue
Property Tax Division
May 18, 2000
TO: Don Uram-City of Eden Prairie
Bruce DeJong-City of Chanhassen
Noel Graczyk-City ofChaska
FROM: Jean E. Wiklund
Finance & Facilities Coordinator
. GSOUTHWESTMaRO.-n
MEMORANDUM
DATE: May 22, 2000
SUBJECT: Resolution for Transit Tax Levy
The Local Levy Option Statute passed in 1996 allowed transit agencies the opportunity to have
transit taxes levied locally, instead of being levied by the Metropolitan Council. As part of the
process to accomplish this, transit agencies and communities participating in the local levy option
must notif'y the Metropolitan Council and the Commissioner of Revenue of their intentions to
exercise that option by July 1 each year.
This is the first step of several in the levy and budget process for the transit levy. First, the
resolution of intent (attached) is required and due by June 30th; next the budgets are prepared and
submitted to the cities for review; and last, the levy is set and the budgets are finalized in December.
Enclosed is the resolution that Southwest Metro Transit Commission (SMTC) is requesting the
City to execute at its next council meeting in order to set the local levy process for transit in 2001.
Note: The purpose of this resolution is to authorize/commit the City to levy the transit tax instead of
the Metropolitan Council. It sets the upside maximum that could be levied (based on the formula
generated by the State Department of Finance), but does not commit the City to levy the maximum
amount, nor is it committing the City to adopt the SMTC budget at this time. The SMTC budget
will be presented to the Councils in August, after the Commission has approved a tentative budget
and SMTC staff has had a chance to present and discuss the budget with City staff.
If you have any question please give me a call at 952-974-3103.
,,!
CITY OF CHANHASSEN
CARVER AND HENNEPIN COUNTIES, MINNESOTA
DATE:
MOTION BY:
RESOLUTION NO:
SECOND BY:
DECLARING INTENT TO EXERCISE LOCAL TRANSIT LEVY OPTION FOR TAXES
IN 2001
WHEREAS, Laws of Minnesota for 1996, Chapter 455, Section 4 (the "Local Levy
Option Act"), allows the Cities of Chanhassen, Chaska and Eden Prairie, to make a local transit tax
levy in lieu of receiving assistance fTom the Metropolitan Council under Minnesota Statutes,
Section 473.388, subdivision 4; and,
WHEREAS, said local transit levy will replace a similar transit tax levy which would
otherwise be made by the Metropolitan Council; and,
WHEREAS, in order to effectively exercise the local transit tax levy option, it is necessary
that each of the Cities of Chanhassen, Chaska, and Eden Prairie, notify the State Commissioner of
Revenue and the Metropolitan Council of its intent to levy the taxes before July I of each levy year
and to inclúde in the notification the amount of the City's proposed transit tax for the levy year;
and,
WHEREAS, it is in the best interest of the City ofChanhassen that it declare its intent to
exercise the local transit levy option for taxes payable in 200 I.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
Chanhassen as follows:
I. The City hereby declares its intent to exercise the local transit tax levy option for taxes
payable in 200 I in an amount not to exceed that permitted by Local Levy Option Act and as
certified by the State Commissioner of Revenue in accordance therewith.
2. The City Manager is authorized and directed to give the State Commissioner of Revenue
and the Metropolitan Council of the City's intent to exercise the local transit tax option for taxes
payable in 2001 in accordance with the notice attached hereto as Exhibit A and incorporated herein
by reference.
PASSED AND ADOPTED by the Chanhassen City Council this 12th day of June, 2000.
Nancy Mancino, Mayor
ATTEST:
Scott Botcher, City Clerk/Manager
-
EXHIBIT A
NOTICE OF INTENT TO EXERCISE
LOCAL TRANSIT TAX LEVY OPTION FOR
TAXES PAYABLE IN 2001
The State Commissioner of Revenue and the Metropolitan Council are hereby notified that the City
of Chanhassen, Minnesota, intends to exercise the local transit tax levy option for taxes levied in
2000 and payable in 2001 pursuant to Laws of Minnesota for 1996, Chapter 455, Section 4.
The proposed amount ofthe City's transit tax for the 2001 levy year is $818,935 i.e. the maximum
amount certified by the State Commissioner of Revenue in accordance with Laws of Minnesota for
1996, Chapter 455, Section 4, for taxes levied by the City in 2000 and payable in 2001.
By order of the City Council of the City ofChanhassen.
~
CERTIFICATION
STATE OF MINNESOTA)
)ss
COUNTY OF CARVER )
I, Karen 1. Engelhardt, duly appointed, qualified and acting Deputy Clerk for the City of
Chanhassen, Minnesota, do hereby certify that I have compared the foregoing copy of a
"Resolution Declaring Intent to Exercise Local Transit Levy Option for Taxes in 200 I " with the
original copy, now on file in my office and have found the same to be true and correct copy thereof
and as approved by the City Council.
Witness my hand and official seal at Chanhassen, Minnesota, this 12th day of June, 200Q.
Karen J. Englehardt, Deputy Clerk