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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 »

  • 25Jun

    With summer now in full swing, many Minnesotans will be hitting the roads for cabin vacations, camping, and siteseeing (Minnesota is home to the largest ball of twine, after all). Some travelers, however, are starting to notice bumpier roads, less frequently maintained parks, and shorter hours at municipal pools. One observer traveling to Alexandria even felt compelled to inform the Alexandria Echo Press of the city’s disrepair:

    From about where the hospital is located, all the way up and down Broadway, the road is in bad shape—holes, ruts, depressions, patches…It presents a very poor ‘entrance’ to the city for people coming here for the first time. From my point of view, there is simply no excuse for these conditions in a city that is constantly recognized for being one of the most dynamic in our state.

    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.

  • 13May

    According to the Crookston Daily Times, the City of Crookston may have few options left when it comes to accounting for LGA cuts. Having made reductions across various departments and delayed capital improvements, the city may need to reduce staff, including two police officer positions. From the report:

    “No one wanted to cut two police officers and save $115,000, but with talk like we’re hearing tonight, that’s probably moving up the ladder,” said committee chair Marlys Mjoen, from ward two…Capital expenditures have been minimal at best as a moratorium has been in place for more than a year. But Ward Four Council Member Wayne Melbye said holding the line on capital improvements will only help the bottom line so much. “Sooner or later it’s going to be positions,” he said. Continue reading »

  • 06May

    Mayors from St. Paul, Minneapolis and greater Minnesota gathered at the Capitol today to deliver the follow message regarding the governor’s latest plan to cut LGA:

    St. Paul, Minn.—Devastating, disproportionate and irresponsible. That’s how Minnesota city leaders characterized Governor Tim Pawlenty’s latest round of proposed cuts to local government aid (LGA). Mayors from across the state met in St. Paul today to reject the governor’s recently announced budget plan and call on lawmakers to clean up the state’s budget mess before asking cities to do the dirty work.

    “Cities have made the tough choices,” St. Paul Mayor Chris Coleman said.  “We have done more with less, found new efficiencies, made painful cuts and even raised property taxes.  It’s time for leaders at the Capitol to make some tough decisions and come together to solve the state’s long term deficit without shifting the burden to our cities.” 

    The stakes are high, and the decisions made in St. Paul over the next few weeks will be felt across Minnesota for a generation, Coleman stated. 

    “We are here today to deliver a message that our cities, big and small, are going to stand and speak with one voice to ensure that we have the resources we need to keep our economy growing, keep our cities safe and to keep Minnesota strong.” 

    Since 2002, LGA has been reduced by over $1 billion and property taxes have increased over 60 percent statewide. In the last three years, the governor reduced the program by another $200 million via his unallotment power. Combining the governor’s 2010 unallotment and latest proposed reduction of at least $87.5 million with a $52.5 million cut passed by the legislature this session, city aids and credits face a 43 percent cut for 2010.

    “Our communities can’t sustain this magnitude of cut, our communities are at stake” said Cloquet Mayor Bruce Ahlgren. “It will simply be devastating to our residents and small businesses. In our city, it’s come to the point where police and emergency services are on the chopping block. Communities—especially those in greater Minnesota—are facing a tough road to economic recovery having lost such a significant source of funding.”

    Governor Pawlenty’s plan attempts to close a budget hole of over $400 million that will remain open unless anticipated federal money reaches the state before the legislature adjourns May 17. City officials agreed that it was wise to have a contingency plan in place should these funds be delayed, but stressed that the governor’s plan simply shifts the burden of budget-balancing to the local level.

    “Tough times require tough choices—the state has failed to make them, while cities and communities have. We have structurally balanced our own budgets and reformed the way we do business while staying focused on the basics of keeping people safe, creating good jobs and creating good futures for kids,” said Minneapolis Mayor R.T. Rybak.

    “Strong communities where businesses want to create jobs and families want to raise their kids are what will pull our economy out of its downturn. Minnesotans have a right to expect that legislators and the governor will stop using their cities and communities as a short-term fix and will finally come together to solve the state’s long-term budget crisis once and for all.”

  • 19Apr

    News reports from across the state are echoing the same theme: cities continue to make difficult decisions as they budget with fewer LGA dollars. In many cases, these decisions will have a lasting impact on the strength and affordability of Minnesota’s communities. Below are just a few snapshots of what LGA cuts look like.

    According to the Pioneer Press, metro area libraries are feeling the sting of state aid cuts. Because most libraries are funded through city revenue streams, the loss of LGA over the past decade has dried up library resources. While most libraries across the state have reduced hours, book-buying budgets, and employee costs, some small metro libraries may consolidate with those in nearby larger cities or are already shrinking in size to accommodate sharing space with other city programs, such as recreation centers. These service reductions come during a time when many libraries are reporting their largest usership rates. Continue reading »

  • 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 »

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