Loading...
1i 1998 Park Bonds, Cancel Debt Service Levy CITY OF CHANHASSEN 7700 Market Boulevard PO Box 147 Chanhassen, MN 55317 Administration Phone: 952.227.1100 Fax: 952.227.1110 Building Inspections Phone: 952.227.1180 Fax: 952.227.1190 Engineering Phone: 952.227.1160 Fax: 952.227.1170 Finance Phone: 952.227.1140 Fax: 952.227.1110 Park & Recreation Phone: 952.227.1120 Fax: 952.227.1110 Recreation Center 2310 Coulter Boulevard Phone: 952.227.1400 Fax: 952.227.1404 Planning & Natural Resources Phone: 952.227.1130 Fax: 952.227.1110. Public Works 1591 Park Road Phone: 952.227.1300 Fax: 952.227.1310 Senior Center Phone: 952.227.1125 Fax: 952.227.1110 Web Site www.ci.chanhassen.mn.us 1;, MEMORANDUM TO: Mayor City Council Members c.s- ~- FROM: Greg Sticha, Finance Director DATE: December 7, 2005 SUBJ: Resolution Authorizing County to Cancel Debt Service Levy BACKGROUND During the 2006 budget process this fall, City Council decided to use $285,000 in General Fund reserves to reduce the debt service levy of the 1998A Park GO Bonds. This was done in order to achieve a zero percent increase to the average property owner in the city. The following resolution officially notifies Carver County of our intent to reduce this debt levy, and for them to levy the lowered amount of $636,128 for the 2006 debt service payment rather than the original amount of $921,128. In addition, this debt was refinanced in the fall of 2005 to achieve a better interest rate, flatten our future debt levy requirements, and also saved the city almost $50,000 in interest costs. RECOMMENDATION Staff recommends that the City Council adopt the attached resolution authorizing Carver County to reduce the 1998A Park GO Bond debt levy as indicated above. Approval requires a simple majority vote of those City Council members present. ATTACHMENT 1. Resolution. The City 01 Chanhassen . A growing community with clean lakes, quality schools, a charming downtown, thriving businesses, winding trails, and beautiful parks. A great place to live, work, and play. CITY OF CHANHASSEN CARVER AND HENNEPIN COUNTIES, MINNESOTA DATE: December 12. 2005 RESOLUTION NO: 2005- MOTION BY: SECONDED BY: A RESOLUTION CANCELING $285,000 OF THE 1998A PARK GO BOND DEBT SERVICE LEVY PAYABLE IN 2006 WHEREAS, the City Council of the City of Chanhassen, Minnesota, is using $285,000 in General Fund reserves to reduce the amount of debt needed to be levied for the 1998A GO Park Bonds; and WHEREAS, the City Council is authorizing Carver County to cancel $285,000 in Debt Service Levy for this debt, bringing the debt service levy amount for this market value debt to $636,128 for 2006. Passed and adopted by the Chanhassen City Council this 12th day of December, 2005. ATTEST: Todd Gerhardt, City Manager Thomas A. Furlong, Mayor YES NO ABSENT