Carol Becker writes:

"It is true that these retailers do pay property taxes although the amount
that they pay has dropped quite dramatically over the last five years due to
the legislature."

Vicky adds:

Commercial property in Minneapolis STILL pays 400% higher property taxes
than the equivalent value homestead property.  In other words, a $200,000
home pays roughly $2,000 (1%) and a $200,000 commercial property pays
roughly $8,000 (4%).

For decades, businesses (non-voters) have subsidized homeowners (voters) in
Minneapolis.  The Legislature is taking baby steps toward balancing the
scales, primarily to slow the business exodus from Minnesota.

Minneapolis has five choices:

1.  Continue its compulsive spending and try to lure businesses to pick up
the tab; or
2.  Continue its compulsive spending and try to get other State and Federal
taxpayers to pick up the tab; or
3.  Dramatically reduce spending and try to service existing debts for the
next twenty years; or
4.  Dramatically increase homestead property taxes and let the people who
voted for the spending pay for it.
5.  Default on all or part of nearly $2 billion of existing debts.

Options 4 and 5 constitute political suicide, so there are really only 3
choices.

Take your pick.

Vicky Heller
North Oaks Cedar-Riverside

For those who want to learn more, Chairman Greenspan is providing testimony
to Congress right now.

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