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City Council Minutes Page 4 November 13,2012 Mayor Dietz disagreed stating that he believes the tax rate is just as important. He added • that he believes the taxpayers deserve to have any unused money from the Fund Balance put back into the General Fund.He stated that he would like to reduce the tax levy so that no Elk River resident sees a property tax increase unless their value has increased. Councilmember Westgaard indicated that the Council needs to pick a levy amount and that it doesn't matter what your house valued at,you expect certain amenities and have to pay for them.He stated that if all of the Fund Balance is put back in to the General Fund,then next year would be huge increase.He believes that reducing the Fund Balance gradually over the next three years is a better option. Councilmember Motin agreed stating that the Council focused on the tax rate when things were good,but with values down the focus needs to be on maintaining city services.He also agreed that the Fund Balance is a little high but he was not in support of reducing it all at once. Mr.Simon indicated he would bring back a plan based on Council feedback to reduce the Fund Balance over the next several years. Mayor Dietz explained that he is not convinced that a second employee is necessary in the Environmental Division.The Council discussed the position. It was the consensus of the Council to hold off making a decision on the environmental technician until the new community operations and development director is on board and have her come back to the Council with a recommendation once she has had a chance to evaluate the division. Councilmember Westgaard would like to hold the levy amount if possible and that his focus • is on the total amount necessary to operate the city,not a tax rate. Councilmember Zerwas concurred with Councilmember Motin and Westgaard that he proposes moving forward with the same levy amount as 2012. 6.5. Council Open Forum No items were discussed under Open Forum. • 7. Announcements Mayor Dietz introduced and welcomed newly elected Councilmember Barbara Burandt. Mr.Portner stated that staff received a new citizen complaint regarding the Moritz property. He noted that it is a DNR issue but the city is obligated to investigate as the Local Government Unit. Councilmember Gumphrey indicated that he would like to see a decision on the Arena renovation made soon so that costly repairs are not made if the renovation is going to be brought to the voters. 8. Adjournment There being no further business,Mayor Dietz adjourned the meeting of the Elk River City • Council at 9:59 p.m.