Thursday, Dec. 2, 2004

City budget adjusted

Hermann park funds go to

library project

By FRITZ BUSCH

Journal Staff Writer

NEW ULM -- The New Ulm City Council unanimously approved a resolution Wednesday after a Truth in Taxation hearing, to move a large portion of 2005 park department funds to the library/museum remodeling project.

The action called for shifting $225,000 from park department money earmarked for a retaining wall at the Hermann Monument to a $1.2 million remodeling project at the New Ulm Public Library/Minnesota Music Hall of Fame Museum.

A library/museum remodeling project contract must be signed by March 1, 2005 in order to take advantage of a $150,000 grant.

In addition, the resolution earmarked $3,500 to support Bridging Brown County (BBC), an organization geared to create networks and increase understanding and communication.

The remaining $121,500 earlier set for the monument retaining wall was removed from the 2005 local tax levy.

The motion came after considerable council discussion on budget adjustments that included the appropriation of $10,000 for the Turner Hall remodeling project.

Councilor Clark Tuttle complained that New Ulm did not earmark enough money to maintain streets.

"We've been delaying street repairs for a very long time," Tuttle said. "Ultimately, we'll spend more money on it," he said.

City Engineer Steve Koehler said the 2005 budget included only money for street maintenance like seal coating and pothole repairs.

Street Superintendent Tom Patterson said the demand for new streets has taken priority over maintaining existing streets.

Council President Dan Beranek said New Ulm could require developers to pay for streets, but he questioned whether or not they'd be willing to pay the costs up front.

The 2005 budget included $255,000 that will go towards repairing air handling equipment at the municipal indoor swimming pool.

At the Truth in Taxation hearing, several residents complained about high local tax increases. Marilyn Roeder said her overall tax rate will climb 37 percent next year.

"I know your job is difficult at best, but lots of people are on fixed incomes," Roeder said.

John Mathiowetz said his 2005 overall taxes rose 75 percent after he improved his property recently. Mary Tauschek said her 2005 overall taxes went up 30 percent.

Several councilors explained that school taxes rose largely due to expenses incurred after mold was found in the ventilation systems of several New Ulm Public Schools.

Beranek said home values climbed, particularly for older, brick homes in the $110,000 to $150,000 price range, many of which were recently sold.

He suggested residents contact the Brown County Assessor's Office and attend the a Board of Equalization meeting in town next May if they need more satisfaction regarding the amount of property taxes.

"It's a changing world," Beranek said. "Two years ago, I didn't know what a meth lab was. We had to hire another officer to handle these things."

Fleischmann said Gov. Pawlenty was elected on a no new taxes pledge but that the State of Minnesota played a shell game, shifting responsibility to the local government, making local officials appear to be "the bad guys."

Twelve percent health insurance cost increases were among other budget woes. The council cannot increase the property tax levy it certified in September. It may levy less, but not more.

(Fritz Busch can be

e-mailed at fbusch@nujournal.com).