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John Nephew

Maplewood City Council Policy & Politics


Loss of State Funds

Here's a message worth watching, from the Coalition of Greater Minnesota Cities:

Outstate cities, which rely on Local Government Aid (LGA) for a significant part of their budgets, are especially hard hit by Governor Pawlenty's cuts.

Maplewood lost its LGA years ago, and so the Governor has gone after our Market Value Homestead Credit (MVHC), a program designed to give homeowners property tax relief. We are expecting that Maplewood will lose more than $1/2 million this year from the Governor's unallotment of MVHC, and a similar amount again in 2010 -- the entire amounts we were supposed to receive from MVHC. It's worth keeping this in mind as we consider increasing our tax levy in 2010 (or, alternatively, cutting back on city services). Even if we go with the 5% maximum increase we passed on September 14th, that won't be enough to balance the money taken away from us by the Governor.

(h/t to the Minnesota Independent.)

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