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  • 12Apr

    The Twin Cities Daily Planet ran a series of articles about LGA and how the budget battles at the legislature could affect the future of Minnesota’s cities.  These four stories highlight some of the voices in the debate and the possible consequences of the bills under consideration at the Capitol:

    Cut LGA? Fighting words for mayors across Minnesota

    What “no new taxes” means for local property owners

    Looking for the money: What about local sales taxes?

    Mayors to state lawmakers: We don’t want the Twin Cities to become Detroit

  • 14Sep

    Raising property taxes, laying off employees, cutting services, increasing fees and consolidating services with neighboring cities. These are all tactics that greater Minnesota cities are exploring as they weather a financial crisis caused by factors such as declining state aid, aging populations and decreasing property values. Minnesota Public Radio’s Ground Level blog is currently examining the issues facing cities as they piece together their budgets for 2011 and reports that after years of budget cuts, cities have few easy options to pursue. This is a must-read series that anyone interested in the future stability of cities should read. Below are selected entries of particular interest:

  • 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.

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