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8.3. SR 06-21-1993 rei ----\) ( )j ITEM 8.3. ~:ty of ~l TO: er FROM: MAYOR & CITY COUNCIL LORI JOHNSON, FINANCE DIRECTORt1~ DATE: JUNE 17, 1993 SUBJECT: URBAN/RURAL TAXING DISTRICTS There have been several discussions earlier this year about the need to modify the ratio of the Urban and Rural Taxing Districts. In order to do that, there are several steps the Council must take. First, a notice of public hearing and the proposed ordinance need to published 30 days prior to the public hearing. At the public hearing the Council can modify the ordinance. It does not need to be adopted as published along with the notice of public hearing. However, the adopted ordinance needs to be published as approved. Finally, the notice must be certified to the County Auditor prior to August I, 1993, in order to be effective for taxes payable 1994. In order to meet the timeline and requirements stated above, the notice of public hearing and ordinance have been sent to the newspaper and will be published in the June 23 edition. The notice will call for a public hearing on July 26, at 7:00 p.m. The proposed ordinance amends the benefit ratio to .90. Again, keep in mind that this is a proposed ordinance and the Council may adjust that ratio to any number it feels appropriate. Also, if the Council wishes, it can adopt an ordinance which would call for future adjustments of the ratio (i.e., .90 in 1994, .95 in 1995, and 1:1 in 1996). Prior to the July 26 public hearing, I will provide information on the affect the change in the ratio will have on both the Urban and Rural Tax Rate. In the meantime, if you should have any questions, please feel free to contact me. At Monday's meeting, the Council is asked to call a public hearing for July 26, at 7:00 p.m. to discuss amending Ordinance 1406 of the Elk River Code of Ordinances titled "Rural/Urban Service Districts." P.o. Box 490 @ 13065 Orono Parkway 0 Elk River, MN 55330 0 (612) 441-7420 e Fax: (612) 441-7425