Governor's budget suggestionsFrom the Star-Trib and endorsed by Ann Treacy: "If you're a middle-or upper-income earner, living in a city that receives little state aid (that would be a suburb), not sending a child to a public college, not much of transit or state parks user -- then Pawlenty has a deal for you"
I would disagree - if you are one of the people listed above, you don't get much from the state, therefore, there isn't much for the state to take away. It isn't a matter of "getting a deal." If you look at the formula for the state aid reductions, it actually hits suburban communities pretty hard. For most cities (700 or so) only LGA is affected. For about 100 cities (including many in the suburbs) who don't receive much LGA, the state would not only take away the entire LGA allotment, but take all of the Market Value Homestead Credit as well. The formula hits the suburbs in northern Dakota County and southern Hennepin County harder (by eliminating MVHC), to cushion the cuts for Minneapolis, St. Paul, and the outstate cities. Were the reductions based solely on a percentage of (or even the elimination of ) LGA, suburban communities would fare much better. Many of these cities already faced cuts last year, when the Homestead and Agricultural Credit Aid was cut to cities. Minneapolis had a slight gain in state aid for 2002. Lakeville had a reduction of about $1.8 million in state aid in 2002 (HACA and mobile home credits - over 12% of the general fund), and would lose $1.155 million this year (a 96% cut in state aids) under the proposed formula. Next year, the plan would cut the remaining 4%. I guess we should be grateful at that point that there isn't much left to lose. Minneapolis, on the other hand, will still receive a very significant amount of state aid (around $70 million or so). Lakeville only spends about 30% per capita of what Minneapolis spends, so there are very few places to look for cuts. It would appear to me that the state has bent over backwards to protect Minneapolis, both in the past 30 years under the LGA formula, and again now with the governor's proposed LGA cuts. I agree with the governor that state spending has gotten out of hand, and needs to be restrained. I also recognize that we all need to contribute to a solution. But in the process, the myths about greedy suburbs need to go by the wayside. Wendy Wulff Lakeville _______________________________________________ Twin Cities Metropolitan Issues Forum http://www.e-democracy.org/tcmetro Rules: Sign posts with real name. You may not post more than twice a day.
