David writes to Lisa:
This is interesting...are you saying there's no way the mayor and
council can shift money from NRP to the general fund?


Mark Engebretson writes:
I believe that is correct. NRP money comes from tax-increment financing
(TIF) districts. If not for the districts, the money would flow to the
general funds of the city, county and school district. The basic concept
of
setting up a TIF district is to allow cities to capture the property
taxes
and use for development, not for general fund expenditures.


[TB]  According to the City's budget document, General Fund spending is:


($ in thousands)                2003            2004            2005
2006
Police                  98,892  102,848 106,962 111,240
Fire                            44,181   45,948  47,786  49,698
Public Works            38,270   39,801  41,393  43,049 
City Coord. Depts.      33,704   35,052  36,454  37,912
City Attny                       4,642    4,828   5,021   5,222
City Clerk                       4,118    4,283   4,454   4,632 
Health/Fam Support       3,678    3,825   3,978   4,137
Other Depts                     10,590   11,014  11,454  11,912
Future needed to balance                (10,285)        (14,281)
(18,291)

Total                           238,075 237,313 243,221 249,511

I apologize if I mis-typed anything, I took the numbers from:
http://www.ci.minneapolis.mn.us/citywork/city-coordinator/finance/servic
es-budget/docs/budgetbook2003/Section5.pdf#page=2

The budget shows 38% of General Fund revenue coming from Local
Government Aids, with other state aids bring the total up to 40% of the
General Fund.  With the current state budget situation, I doubt these
aids will remain level through 2006 as the budget projects.

This is the same budget document that promises to triple property taxes
over the next decade.


Just as the state will be rethinking the way it provides services, the
City of Minneapolis (and a thousand other municipalities around the
state) needs to rethink the way city services are provided.

Do we really need a couple hundred municipalities (and a handful of
counties) throughout the metro area, each providing the same services,
each with its own police chief, fire chief, public works director,
emergency dispatching system and the other administrative functions that
go with such agencies?

Perhaps as part of rethinking city government, the City of Minneapolis
should start looking for partners to share this overhead with.

Perhaps the City of Minneapolis should consider merging with some of the
other municipalities in the metro area.

Do boundaries drawn a century of more still make sense?  The current
model has some serious problems, something has got to change.



Terrell Brown
Shy quiet guy in Loring Park neighborhood of Minneapolis
terrell at terrellbrown dot org
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