City of Jeffers - City Council Meeting

2015-12-14

The Jeffers City Council met in REGULAR session on December 14, 2015 at 7:00 p.m. at City Hall. Present: Mayor Brad Prins, Council members: Roberta Duroe, Curt Determan, Shawna Dorr-Jones, Sheila Ryker, Lance Holmen, Maintenance, Sharen Goeman, Clerk.

Mayor Prins called the meeting to order at 7:00 p.m. Minutes from the November 23, 2015 meeting were approved as read.

Mayor Prins explained to the council that the recent preliminary tax statement mailed to city property owners showed a large proposed tax increase of 25% to 35% or more for the City of Jeffers portion of the taxes. This large tax increase is due to a correction of the taxes for a property owned by ITC Midwest LLC (an electrical company).

For many years, ITC Midwest has been paying taxes for a parcel thought to be located in the City of Jeffers that was actually located in Storden Township.

For the 2014 assessment/taxes paid in 2015, this parcel (in Jeffers), had a value
of $988,000 and paid $25,933 toward the City of Jeffers tax levy of $176,550.

For the 2015 assessment/taxes payable in 2016, this parcel was correctly moved to Storden Township, with the resulting taxes not being paid toward Storden Township. The City of Jeffers lost the $988,000 of value, and also the $25,933 plus in taxes that ITC Midwest paid toward the city’s budget. The proposed statement reflects that
tax loss. The rest of Jeffers property owners are now picking up that tax loss.

When ITC Midwest moved their substation out of Jeffers many years ago, they failed to notify the Minnesota Department of Revenue of this change. The City of Jeffers has benefited many years for this error. This is a permanent change for the taxes and the value as far as this tax parcel is concerned. Anyone who has questions regarding this matter should contact the County Assessor’s office.

Motion Dorr-Jones, second Ryker, unanimous vote to rescind the proposed 4% increase to the levy for 2016. The levy for 2016 shall remain at $176,550.

The clerk will also speak with the Cottonwood County Auditor/Treasurer regarding the rural service district to make sure only parcels with 5 acres or more are included.

The clerk presented the Jeffers First Responder annual pay. Motion Duroe, second Ryker, Unanimous vote to approve the pay.

The clerk will send a check to Minion Excavating for $120 for 6 loads of cement that were hauled to their site from razing houses.

Mayor Prins revisited the Jeffers Relief Association proposed raise from $575 to $675 per fire year. The clerk will check with the city auditing firm to see if the city can
contribute funds to the relief association. The discussion was tabled.

Motion Dorr-Jones, second Duroe to pay all bills and approve the financial report. Unanimous vote.
Motion Ryker, second Determan, unanimous vote to adjourn at 8:37 p.m. having no further business.