HomeMy WebLinkAbout25-148 Resolution Imposing a service Charge for Special Service District No. 1 for Taxes Payable 2026 CITY OF LAKEVILLE
RESOLUTION NO. 25-148
Resolution Imposing a Service Charge for Special Service District No. l
for Taxes Payable 2026
BE IT RESOLVED by the City Council of the City of Lakeville, Minnesota, as follows:
SECTION 1. Recitals: Findin�s
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 Char�e
2A1. Amount of Service Char�e. There is hereby imposed a service charge in the amount and
against the properties specified on Exhibit"A",attached hereto(the"Service Charge"). For
taaces payable in 2026,the Service Charge will be$0.00.
2.02. Nature and character of Special Services—Bud� There is hereby approved a budget for
Special Service District fiscal year beginning July 1,2026 through June 30,2027 as specified
on E�ibit"B"a copy of which is attached hereto.
2.03. Calculation of Service Char�e. The Service Charge shall be calculated as a percentage of
the net t�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 sha11 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 t�
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)
commerciaUindustrial 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, 2026.
SECTION 3. Collection of Service Charges
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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 taac capacity under Minnesota Statutes, Section
473F.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. T'he due date for the Service Charge payable in the same manner as ad valorem
t�es is the due date given in law for the real or personal properiy t� for the properiy 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 5. RecordinE
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 3'�day of November 2025.
CITY OF LAKEVILLE: %
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Attest: Lu e M. Hellier, Mayor
Ann Orlofsky ity Clerk
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Exhibit A
Map of Proposed Special Service District No. 1
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� Properties Assessed
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EXHIBIT B
Actual Actual Budget Est�nate Proposed
Fiscal Yr Fiscal Yr Fiscal Yr Fiscal Yr Fiscal Yr
Ended Ended Ended Ended Ended
6/30/24 6/30/25 6/30/26 6/30/26 6/30/27
Revenues - service charges
Current Levy collected $ - $ - $ - $ - $ -
Other revenues 757 952 500 250 50
Net service charges 757 952 500 250 50
Expenditures
Lakeville Cl�amber dues 165 175 165 180 200
Website 211 - 300 - 300
Flower pots 2,700 - 3,300 3,300 3,300
Sponsorships: Pan-O-Prog 2,500 - - - -
Brochures/mrktg�advertisin� 30 73 790 - 780
Events:
Trick or Treat - - - - -
Holiday on Main 1,304 - 1,500 1,500 1,500
Total expenditures 6,91 O 248 6,055 4,980 6,080
Net change (6,153) 704 (5,555) (4,730) (6,030)
Balance - beginnnZg 18,626 12,473 13,177 13,177 8,447
Balance - end'mg $ 12,473 $ 13,177 $ 7,622 $ 8,447 $ 2,417
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