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HomeMy WebLinkAbout19-139CITY OF LAKEVILLE RESOLUTION NO. 19- 139 RESOLUTION IMPOSING A SERVICE CHARGE FOR SPECIAL SERVICE DISTRICT NO.1 FOR TAXES PAYABLE 2020 BE IT RESOLVED by the City Council of the City of Lakeville, Minnesota, as follows: SECTION 1. Recitals: Findings 1.01. Pursuant to Ordinance No. 631, the City created a special service district for certain property located adjacent to Holyoke, Holt, and Howland Avenues from 202nd Street West on the north to 210th Street West on the south. The specific properties included within this land area (the "District") are identified on Exhibit "A" attached hereto. 1.02. Notice of a public hearing has been given and a public hearing has been held. SECTION 2. Imposition of Service Charge 2.01. Amount of Service Charge. There is hereby imposed a service charge in the amount and against the properties specified on Exhibits "A" and "B", attached hereto (the "Service Charge"). For taxes payable in 2020, the Service Charge will be $0.00. 2.02. Nature and character of Special Services - Budget There is hereby approved a budget for Special Service District fiscal year beginning July 1, 2020 through June 30, 2021 as specified on Exhibit "C" a copy of which is attached hereto. 2.03. Calculation of Service Charge. The Service Charge shall be calculated as a percentage of the net tax capacity of the taxable property located in the Special Service District. If a service chard is imposed, the minimum charge levied against a property owner shall be $100.00 and the maximum charge shall be $6,000.00 per property owner. If the charge that would otherwise be imposed on a property owner is greater than the maximum allowable charge, the overage shall be redistributed against the other parcels in the District based upon net tax capacity. If the charge that would otherwise be imposed on a property owner is less than the $100.00 minimum charge, the charge against other parcels in the District shall be reduced based on net tax capacity. 2.04. Distribution of Total Service Charge. The distribution of the total Service Charge among properties within the District and subject to the Service Charge may vary and shall be recalculated pursuant to the formula specified in Section 2.03 if and to the extent that (i) commercial/industrial property tax classification rates increase or decrease based on action by the Minnesota legislature; or (ii) the net tax capacity of a parcel increases or decreases based on changes in the assessed value of the parcel attributable to improvements or changes made to the property, or (iii) a parcel increases or decreases in size by acquisition or sale. 2.05. Effective Date. The effective date of the Service Charge will be January 1, 2020. SECTION 3. Collection of Service Charges 3.01. Collection. The Service Charges shall be payable and collected at the same time and in the same manner as provided for payment and collection of ad valorem taxes. For purposes of determining the appropriate tax rate, taxable property or net tax capacity shall be determined without regard to captured or original net tax capacity under Minnesota Statutes, Section 47317.08. 3.02. Penalty and Interest. Service Charges made payable in the same manner as provided for payment and collection of ad valorem taxes, if not paid on or before the applicable due date, shall be subject to the same penalty and interest as in the case of ad valorem tax amounts not paid by the respective date. 3.03. Due Date. The due date for the Service Charge payable in the same manner as ad valorem taxes is the due date given in law for the real or personal property tax for the property on which the service charge is imposed. Services Charges imposed on net tax capacity which are to become payable in the following year must be certified to the County Auditor by the date provided in Minnesota Statutes, Section 429.061, Subd. 3 for annual certification of special assessment installments. SECTION 4. Revenue Surplus To the extent that the total of Services Charges collected exceed the cost of services rendered within the District, at the election of the City, either: (i) such excess amount shall be held as a reserve to pay the cost of future services provided under this resolution; or (ii) the next ensuing year's levy of taxes and service charges shall be decreased by a corresponding amount. SECTION S. Record' The City may record this Resolution against parcels located within the District and subject to the Service Charge for the purpose of providing notice of the Service Charge to prospective purchasers of such parcels. ADOPTED by the Lakeville City Council this 4th day of November 2019. Y Charlene Friedges, City Ci 2 Douglas P. Anderson, Mayor Exhibit A Map of Proposed Special Service District No. 1 3 EXHIBIT B SPECIAL SERVICE DISTRICT- DOWNTOWN PROPOSED SPECIAL SERVICE CHARGE ALLOCATION EXHIBIT C 5 Actual Budget Estimate Proposed R scal Year Fiscal Year Fiscal Year Fiscal Year Ended Ended Ended Ended June, 2019 June. 2020 June, 2020 June, 2021 Pevenues- service charaes Current Levy collected $ 13,661 $ - $ - $ - Expenditures Contractual services 2,050 7,000 - - Lakeville Chamber dues 165 - 280 280 Pbstage/PO box rental - 155 - - Bank charges 50 60 8 - Website 189 870 870 900 Rower pots 2,750 2,700 2,700 2,700 Brochurestmarketing/advertising 659 939 5,580 5,580 Events: Trick or Treat 134 200 200 200 Hol iday on Main 2,868 5,000 5,000 5,000 Retail com m i ttee events 48 - - - County assessment fee 175 171 - - Total expenditures 9,088 17,095 14,638 14,660 Net change 4,573 (17,095) (14,638) (14,660) Balance - beginning 29,515 28,675 34,088 19,450 dance -ending $ 34,088 $ 11,580 $ 19,450 $ 4,790 5