David Brauer says, in part regarding the proposed LGA reductions:

> ...(LGA pushes the tax
> burden from state taxpayers to local property taxpayers.) The
> folks who save
> money via LGA cuts live in wealthier suburbs with fewer social service
> needs.

[MH] Don't forget that taxpayers in Mpls. also pay into the statewide LGA
pool (along with others across the state), and that to maintain it status
quo, would require us to pay increased taxes as well.  I believe there is
also a limit on how much local taxes can be raised in order to recoup the
proposed state reductions-- whatever they end up being (if not, there should
be).  It's not necessarily a zero-sum game.
~~~~~

I also think increased pressure by voters/residents needs to be placed on
Hennepin County officials in many areas involving housing, transit and
social services. County budgets dwarf local budgets, and it seems they
receive very little scrutiny.  We do live in a metro-area and the
central-cities should not have to carry all the water in this uphill budget
crunch.  Also, how can the Mpls. Library Board improve operational and
service efficiencies through better coordination and cooperation with the
Hennepin County system-- forget historic turf arguments, competing unions,
different computer systems, etc., and figure out how to improve efficiency--
provide customers more with less.  The model is broke, the bucket leaking.
The referendum provides the capital, what's the operating plan?
~~~~~

As to the recent class warfare rants by others on the list, if 'class
defense' arguments are dependent upon continued and growing subsidy, they
represent loosing defense tactics.  Dave Shove suggests that,"Mpls should be
actively fostering *small business* and *co-ops* run by non-rich citizens."
I too support small business, but not through the use of public subsidies.
Successful business and job creation should be based on sound business plans
and models, where the products and services produced create value for
consumers; where the products and services are competitively priced; and
where there is consumer demand for the goods and services produced, now and
over the longer term.  Successful business must be able to survive and grow
in a dynamic marketplace, and not be dependant upon taxpayer subsidy.  The
same logic should be applied to big business-- the voters just spoke too
late regarding the local Target and Block E fiascos (although the
Target/BlockE arguments aren't quite an apples-to-apples comparison with the
small business scenario).

Buckle up, we're in for a rough ride!

Michael Hohmann
Linden Hills
www.mahohmannbizplans.com



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