Mayor’s proposed budget calls for investments for the future and property tax cuts

In his final budget address to the City Council, Mayor R.T. Rybak proposed a $1.1 billion budget for 2014 that calls for investments in the future of the City’s workforce, environment, transit, and bike and pedestrian infrastructure, while also cutting the City’s property tax levy by 1 percent. The tax cut would be the first levy reduction in memory.

Among the Mayor’s proposals:

Levy reduction

The mayor told the audience that the proposed 1 percent property tax levy reduction is possible because:

  1. Local Government Aid cuts have been restored, making more than $10 million available to Minneapolis.
  2. A Property Tax Relief Fund, which was created with budget savings from 2012, makes $7 million available from last year’s budget.
  3. The stadium legislation gives the City the ability to control revenues from some sales and hospitality taxes that it did not previously control. That means that property tax dollars once spent on the Target Center can be used for other core services and to reduce the levy. 

The mayor concluded, “The bottom line on property taxes is: In tough times, we asked residents to invest more to keep the city strong. With times getting a little better, we will ask less.”

More about the Mayor’s speech

You can also watch the speech through November on Minneapolis 79 (Comcast Cable channel 79) on:

What’s next

In the coming months, the City Council will deliberate on the 2014 City budget in preparation for adoption on Dec. 11, 2013.

Key dates in the budget process:

Aug. 27, 1:30 p.m. – Ways & Means budget overview presentation

Aug. 28, 5:05 p.m. – Board of Estimate and Taxation public hearing on maximum property tax levies

Sept. 11, 4 p.m. – Board of Estimate and Taxation meeting to set the maximum property tax levies

Aug. 29 - Oct. 2 – Ways and Means presentations and consideration of City departmental budgets hearings

Nov. 19, 6:05 p.m. - Public comment hearing

Dec. 11, 6:05 p.m. - Public comment hearing

Dec. 4 and 5, 1 – 4 p.m. – Ways and Means Committee budget mark-up

Dec. 11, 6:05 p.m. – City Council final vote on budget.

 

 

Published Aug 20, 2013