2004-05-10 Budget Study - Laserfiche WebLink

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Session 1919 MINUTES OF THE UNIVERSITY CITY COUNCIL May 10, 2004 At a duly posted study session of the City Council of University City held in the E.O.C. room in the basement of City Hall, on Monday, May 10, 2004, Mayor Joseph Adams called the meeting to order at 7:30 p.m. In addition to Mayor Adams, the following members of Council were present: Ms. Cassandra Colquitt Ms. Francine Brungardt Mr. Robert Wagner Ms. Stefany Brot Ms. Shelley Welsch Mr. Arthur Sharpe, Jr. Also present was the City Manager, Mr. Frank Ollendorff. COMMENTS ON REVENUE FOR GENERAL FUND Mr. Ollendorff explained that first he would go through all the major revenue sources and then review all the expenditures, pointing out any changes or anything unusual, he than asked Council to look at page B-7, listing revenue. Last year's grand total was $26.4 million; this year's is $26.7, representing an increase of approximately $300,000. That much is needed to give equitable cost-of-living increases to employees. · There are two or three very small program expansions asked for by the Council. State law allows increased property tax for new construction only, and a small amount for increased property values. Property values could increase greatly in the new year, because University City houses are worth twenty percent more that they were. The City is allowed to add some percentage points a year for the increased value. Growth in property tax comes from new construction, not from houses becoming more valuable. A second way to increase property tax revenue is to vote for a rate increase. Voters can be asked for up to a one dollar increase; the current rate is about fifty cents. In previous years the City Council preferred to pursue other revenue sources than increased property tax because it is not popular with constituents. Property tax projection for next year is $3.1 million, slightly higher than the $3 million collected this year, leaving the property tax rate the same as it was.