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September 2010
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Post Archives

  • 28Jun

    On June 17, a tornado ripped through sections of Wadena, Ottertail and Polk counties in northwestern Minnesota and caused significant damage in the city of Wadena. Over twenty homes were declared total losses and both the Wadena-Deer Creek high school and the city’s community center were damaged beyond repair. In an interview with Star Tribune columnist Lori Sturdevant, Wadena Mayor Wayne Wolden credits the LGA program with ensuring that emergency services in both his community and neighboring communities were at-the-ready to respond to residents in need:

    “Wadena is a poor community,” the mayor explained. Its 2008 median household income was $35,569, less than two-thirds the statewide median. “But for LGA, we couldn’t afford all the services you see here.”

    He elaborated: It made a huge difference that dark Thursday afternoon that Wadena had adequate storm sirens. That it had trained professional police, fire and county sheriff personnel on the scene. That it had an emergency action plan drilled into first responders’ minds. That its neighboring communities had similar state-funded assets and could swing into action.

    Continue reading »

  • 03Jun

    In the past week, editorial boards from greater Minnesota newspapers have been weighing in on state actions that have significantly reduced their communities’ state funding dollars. Programs like LGA and Market Value Credit (MVC) help alleviate property tax disparities that exist between rural Minnesota and wealthier communities, which in turn strengthens the economic viability of the state as a whole. These programs also help communities provide essential services like police, fire protection, libraries, parks, and safe roads while keeping property taxes affordable. With the state having cut LGA by over $1 billion since 2002, communities that receive LGA are sacrificing quality-of-life services and asking property taxpayers to pay more for less, causing editorial writers to question the direction in which lawmakers are taking greater Minnesota.

    The Mankato Free Press is concerned that LGA cuts will negatively impact the business climate in rural Minnesota, which is dependent on affordable property tax rates in order to attract and retain small businesses. Continue reading »

  • 21May

    The Star Tribune Editorial Board weighed in today on the results of deep cuts to LGA that Minnesota lawmakers have made over the past years. Across the state, the editorial says, cities are cutting essential public safety and quality-of-life services such as library hours, parks, and safe roads.

    Reductions in city services have become so commonplace in Minnesota that they barely attract local mention, let alone notice at the State Capitol. State aid cuts and freezes since 2003 and declining property values since 2008 have wrung things deemed easily expendable out of the budgets of cities all across the map.

    But after the 2010 Legislature’s latest $66 million cut and its affirmation of Gov. Tim Pawlenty’s $150 million unallotment of state aid to cities, decisions are being made in Minnesota’s city halls that ought to get state lawmakers’ attention. The services that city leaders typically protect when budgets get tight—police and fire—are on the chopping block now.

    Read the full editorial here.

  • 09Apr

    With Governor Pawlenty signing the legislature’s supplemental budget bill into law last week, cities across the state are engaging in budget cutting discussions now that they have a clearer sense of their state aid reductions. Under the bill, LGA  and the Market Value Homestead Credit will be cut by $52.5 million in 2010 and $56.5 million in 2011. This is a vast improvement on the governor’s original budget proposal, which would have cut these programs by $125 million in 2010 and $252 million in 2011.

    It’s difficult to imagine the consequences of the governor’s proposal on Minnesota’s communities considering that the legislature’s smaller cuts will still have a significant impact on essential city services and the affordability of being a city resident. Years of repeated cuts to LGA have left cities with few budget-cutting options to choose from—reserves are drained, hiring freezes are in place, capital equipment and improvements have been delayed. Below are just a few examples gathered since the budget bill signing of how cities are adjusting their 2010 budgets in the wake of these most recent cuts. Continue reading »

  • 12Mar

    Staring down the governor’s proposed LGA cut of over $600,000 for 2010, the City of Brainerd is taking a tough look at what services and personnel the city can do without. The biggest cost savings in the city manager’s preliminary proposal is to cut six full-time firefighters in favor of transitioning the department from full-time to on-call. Continue reading »

  • 08Dec

    St. Paul Mayor Chris Coleman and Wadena Mayor Wayne Wolden, spokesperson for the Coalition of Greater Minnesota Cities, released the following statement in response to Governor Pawlenty’s decision to spare LGA from December unallotment:

    We applaud and thank Governor Pawlenty for recognizing that Minnesota cities have hit the financial edge and additional cuts would jeopardize public safety and do further harm to our fledgling economy.

    Over the past year we have done everything we can to speak out for cities across the state to show how critical services like police, fire, snowplowing, libraries and property taxes have been affected by continued cuts to local government aid.

    Over the past seven years Minnesota cities have lost $754 million in LGA and the consequences have been profound-a 64% increase in property taxes and significant cuts to core services like police, fire, snow plowing and libraries.

    As a major winter storm is bearing down on us, the critical role our cities play in the lives of our citizens is no more apparent than today.  Across the state, cities are battling the storm by plowing streets, dropping salt and doing everything we can to protect the safety of Minnesota families.   All of us know that this comes at a cost.

    We look forward to working with the governor and the legislature in the upcoming session to ensure our cities will continue to be protected.

  • 16Sep

    City councils across the state continue to discuss ways to account for significant losses in LGA, and many are finding that the outcome will mean deep cuts to the services that keep our communities safe and strong and increases in property taxes. Cuts to LGA mean pay more, get less.

    Faribault:
    City seeks $500,000 in cuts, Faribault Daily News, 9/16/09

    The Faribault City Council recently set its preliminary 2010 levy with a maximum 9.95% tax increase. The City Council hopes to drop that figure to 6% by making an additional $500,000 in spending cuts. As City Administrator Tim Madigan commented, ”When you cut down to the basics, you start eliminating not only bodies, but services.” The City of Faribault has lost $845,000 through Governor Pawlenty’s unallotment.

    Alexandria:
    City budget set, Alexandria Echo Press, 9/16/09

    Alexandria Mayor Dan Ness sums up what cities across the state are experiencing as they set their 2010 budgets: “It’s not a spending problem, it’s a revenue problem.” Alexandria lost $226,358 in the final two weeks of 2008 and $206,691 in 2009 through the unallotment of state aid, and stands to lose an additional $476,915 in 2010.

    Minneapolis:
    More Mpls Budget Cuts, More Firefighter Layoffs, Fox 9 News, 9/15/09
    Minneapolis Police Department shuts down narcotics unit, Star Tribune, 9/16/09

    Budget cuts in Minneapolis could lead to the loss of 27 firefighters, potentially resulting in decreased response times and increased health risks to firefighters. Minneapolis has also shut down its narcotics unit in response to budget cuts, making Minneapolis the only major city in the U.S. to not have a dedicated unit to narcotics enforcement.

    Watch the full report from Fox 9 below:

  • 11Aug

    As city councils across the state begin their 2010 budgeting discussions, cuts to LGA will force tough decisions, and residents will be confronted with reduced services and increased property taxes.

    Over the next few months, Thank LGA will be bringing these city stories directly to you through our It’s Hitting Home series. The common connection between these stories is clear: cutting LGA results in cuts to essential services and increases in property taxes. LGA is what keeps Minnesota communities strong, and it needs to be protected in 2010.

    St. Paul
    Tax increases, spending cuts proposed for 2010 St. Paul budget, Pioneer Press, 8/11/09

    To address a steep cut in state aid, Mayor Chris Coleman has proposed increasing the city’s levy by 6% and the public works right-of-way assessment by 6.8%. The city may also have to lay off as many as 45 people next year, which will negatively impact the various services they provide.

    Bemidji
    Budget crunch hits city; City Council votes 4-3 to cut one position, Bemidji Pioneer, 8/11/09

    In a contentious decision, the Bemidji City Council voted to eliminate the city’s community development director position. This position performed such tasks as grant-writing, managing the city’s economic development programs, and maintaining communications with the Greater Bemidji Area Joint Planning office.

    North Mankato
    North Mankato weighing budget options, Mankato Free Press, 8/11/09

    The City of North Mankato expresses its frustrations with what appears to be an impossible situation: a nearly $500,000 budget hole from lost LGA and few favorable solutions.

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