HomeMy WebLinkAbout1985-11-13 Minutes379,1
379.1.1
MINUTES OF A SPECIAL MEETING OF THE BOARD OF DIRECTORS
A special meeting of the Fayetteville Board of Directors was held on Wednesday,
November 13, 1985, at 1:00 P.M. in Room 326 of City Hall.
PRESENT: Mayor Noland; Directors Bumpass, Hess, Johnson, Lancaster,
Martin and Orton, City Manager Grimes, Assistant City Manager
McWethy, City Attorney McCord, City Clerk Kennedy, Finance
Director Linebaugh, Budget Coordinator Huffaker; members
of the press and audience.
':379.1.2 The meeting was called to order by Mayor Noland with six Directors present.
Director Bumpass arrived at about 1:20 P.M.
379.1.3 The Mayor explained that it would be necessary to adopt a new millage
levy as a result of the recent Washington County reassessment of real
property.
379.1.4 Budget Coordinator Judy Huffaker explained that the new 3 1 millage rate
for the City of Fayetteville includes an allowable 10% increase. Huffaker
pointed out that millage for the General Fund only had been 5 mills and
is now 2.1 mills. Huffaker stated Police and Fire Pension Funds were
rolled back from 1 mill to .5 mills for each fund. Huffaker stated that
prior to 1985, city real estate values were assessed at only 20% of full
value - and that as a result of the reassessment, values are now assessed
at 100%. Huffaker explained that collecting 2.1 mills, including the
10% allowable increase, would result in $363,560 available to be collected.
Huffaker stated that, without the 10% increase but including 4% new con-
struction, $346,248 would be the amount of taxes available to be collected
in 1986. Of the allowable 10%, Huffaker explained 4% is made up by new
construction.
379.1.5 Director Johnson asked if Amendment 59 stipulates that this rate be kept
in effect for five years, after which it automatically would go back to
the prior rate. The City Attorney explained that Amendment 59 required
that there be a statewide reappraisal of all property and, after that
was completed, the Amendment requires that no taxing unit receive an increase
in ad valorem taxes, as a result of the reappraisal, in excess of 10%
of the amount received in the previous year. McCord explained that, in
order to accomplish this, the millage is "rolled back" so total revenues
are not more than 10% of the previous year. McCord stated he would research
the question of what happens after the first rollback and would report
back to the Board.
379.1.6 Linebaugh explained that the 4% (representing new construction) is subtracted
from the 10% increase, meaning that the actual millage increase is only
November 13, 1985
The City Attorney advised that the passage of an ordinance would be required
in order to roll back the millage. The City Attorney read the ordinance
for the first time. Director Johnson, seconded by Martin, made a motion
to suspend the rules and place the ordinance on second reading. Upon
roll call, the motion passed, 6-0, with Director Bumpass not yet present.
The ordinance was read for the second time. Director Johnson, seconded
by Martin, made a motion to further suspend the rules and place the ordinance
on third and final reading. Upon roll call, the motion passed, 6-0. The
ordinance was read for the third time'.
In answer to a question from Director Lancaster, the City Attorney explained 379.2.2
that the purpose of Amendment 59 was (1) to get uniform statewide assessment
and (2) to ensure that no taxing body would incur an increase in taxes
in excess of 10% due to the reassessment.
373.2
•
379.2.1
Scott Linebaugh clarified that the total taxes certified for collection 379.2.3
in 1985 amount to $435,174.
Upon roll call, the ordinance passed, 7-0. 379.2.4
ORDINANCE NO.3150•APPEARS ON PAGE 466 OF ORDINANCE & RESOLUTION BOOK
XXIII
The meeting was adjourned at 1:25 P.M. 379.2.5