Officials say Burnsville council's instruction is taxing the budget

The city can hold taxes for 2010, but administrators said they can't keep on doing that and even now it will be hard to find $15,000 for weed control.

By DEAN SPIROS, Star Tribune

Last update: November 11, 2009 - 10:40 PM

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Burnsville residents are going to get a tax break in 2010. But it's one that more than likely will be short-lived.

The City Council instructed city employees in September not to increase property taxes for 2010, and on Tuesday City Manager Craig Ebeling and Deputy City Manager Tammy Omdal presented a proposed budget under those guidelines. But the five-year outlook that regularly accompanies budget proposals suggests sizable tax increases are in store if the city is to maintain its current level of services.

The plan projects a tax increase of 8.4 percent for 2011. Half of that increase would come from debt that will begin to be paid down on the $20 million publicly financed Burnsville Performing Arts Center. The projected tax increase would be 5.8 percent in 2012, 4.5 percent in 2013 and 5.2 percent in 2014.

Ebeling told the council that it would be beneficial to him and his staff to know whether they would be asked to prepare a proposed 2011 budget with another mandate to freeze taxes, adding that it would take a lot of work to make that happen. The council informed him that it would be making no such request.

"We're already chipping away at the bone," Mayor Elizabeth Kautz said of the 2010 budget. The council was generally in agreement that there wasn't much left to cut.

Both the council and city officials emphasized that no decision has been made on future tax increases, and projections often amount to a worst-case scenario.

The City Council will hold another budget work session on Monday before adopting a 2010 budget on Dec. 7. The council asked staff members to find another $15,000 to cut from the proposed budget to alleviate what they perceive as an embarrassment to the city.

Cuts this year eliminated the money needed for weed control along the city's medians and boulevards. The council asked for the $15,000 to spray the medians, and it will ask property owners to care for the boulevards.

Ebeling said it will not be easy to find an additional $15,000 in cuts.

The proposed budget is $77.3 million, compared to $77.9 million for 2009. It calls for a pay freeze for non-union employees. Contracts with union employees are closed for 2010.

Residents will see a 3 percent increase in sewer and water fees. City employees pointed out that the Met Council is raising its charge to the city for handling of waste by 7.2 percent.

A plan to replace the refrigeration system at the Burnsville Ice Center at a cost of $5 million also is included in the proposed budget. The City Council has yet to approve the project.

Dean Spiros • 952-882-9203

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