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Mayor Frey proposes 11.3% tax hike for Minneapolis
Minneapolis Mayor Jacob Frey is proposing a 11.3% tax hike to fill a $60+ million gap in the city's budget. FOX 9's Mike Manzoni has more.
MINNEAPOLIS (FOX 9) - The Minneapolis Board of Estimate and Taxation met Wednesday night to hear public reaction to Mayor Jacob Frey's proposed budget, which includes a significant property tax increase to cover a growing financial shortfall.
The proposed hike
What we know:
Frey is proposing an 11.3% property tax hike to address a more than $60 million budget gap. The cost of city services is growing faster than revenues, which is driving the proposal, officials explained. For the average homeowner, that translates to more than $400 extra per year, or about $30 more per month.
Residents showed up to voice their concerns, and the feedback was mixed. Some said the increase would be too much to handle, while others used the meeting to call for more parks funding in the budget.
What they're saying:
One woman told the board that her small home — less than 700 square feet — makes the added cost nearly impossible to absorb.
"We have a very, very tiny house — under 700 square feet. We can't basically afford it," she said. "I would think about moving, but I have therapies, and that makes it difficult."
Another resident pushed for parks to be better funded in the budget.
"I would like to see the parks be funded. I use them, all of my friends use them," he said. "It'd be nice to see that come out of the police budget."
By the numbers:
City officials prepared a slideshow that included a breakdown of how every $1,000 in property taxes is allocated: central government services receives $261; the police department receives $223; the Minneapolis Park and Recreation Board receives $161; capital debt service receives $124; and the rest is distributed among the fire department, public works and other agencies.
What's next:
The city council has until the end of the year to finalize the budget.
The Source: Minneapolis Board of Estimate and Taxation meeting.