Press Release from the Office of Mayor Rybak: December 16, 2002 The Minneapolis City Council today unanimously passed Mayor R.T. Rybak's proposed budget on a 12-0 vote.
"The 12 Council Members and I come from very different circumstances, and we have come together today. We're in a tough fight here, but we've committed to going it together," Mayor Rybak said. The City faces a number of fiscal challenges, including skyrocketing health care costs, inherited debt of over $200 million over the next five years, and state tax law changes. "We inherited a debt of over $200 million over the next five years. This year alone the City will pay over $40 million toward debt built up in the Internal Service Funds and the pension funds." Mayor Rybak said. "We're holding the line on spending increases, while continuing to ensure public safety. Limiting spending is especially important because health care costs alone increased 20 percent last year," Ways and Means Chair Barbara Johnson said. Next year the City will pay over $31 million to provide health care for its employees. This is the second budget the City Council and Mayor have successfully finished this year. Entering office in January of this year, Mayor Rybak and the new Council were faced with cutting $5.2 million for the 2002 budget that had been deferred by the previous City Council. "The collaborative process that we've forged over the past year has really served us well," Council President Paul Ostrow said. "The budget process has been much less acrimonious and has resulted in a final product that is more well thought out and agreed upon." The Mayor and Council reformed the budget process this year by inviting the City Council to help craft the budget, making decisions based on a 10-year financial projection, establishing budget principles, placing the City, Parks and Library on the same diet, capping taxes before making spending decisions, and presenting the budget months earlier than the previous Administration. Additional budget highlights include: * There are no new initiatives in this budget that are not paid for by fees, and the City eliminated six discretionary programs that were not funded by fees. * The City eliminated a total of 57 positions this year. * The Mayor's office will spend $894,000 in 2003. Mayor Rybak cut approximately 9 percent from his office budget when he entered office this year, compared to the previous Administration's spending for 2001. Laura Sether Office of Mayor Rybak Standish-Ericsson _______________________________________ Minneapolis Issues Forum - A City-focused Civic Discussion - Mn E-Democracy Post messages to: mailto:[EMAIL PROTECTED] Subscribe, Unsubscribe, Digest, and more: http://e-democracy.org/mpls
