{"id":11077,"date":"2010-05-26T12:00:38","date_gmt":"2010-05-26T17:00:38","guid":{"rendered":"http:\/\/www.shotinthedark.info\/wp\/?p=11077"},"modified":"2010-05-26T10:48:32","modified_gmt":"2010-05-26T15:48:32","slug":"chanting-points-memo-lga-cuts-are-destroying-minnesota-part-ii","status":"publish","type":"post","link":"https:\/\/www.shotinthedark.info\/wp\/?p=11077","title":{"rendered":"Chanting Points Memo: &#8220;LGA Cuts Are Destroying Minnesota!&#8221; (Part II)"},"content":{"rendered":"<p style=\"text-align: left;\">Question:\u00a0 Has your disposable income gone up 44% in the past ten years?<\/p>\n<p style=\"text-align: left;\">\u00a0As I noted yesterday, Local Government Aid was originally set up to transfer wealth from the wealthy Twin Cities to smaller towns in then-poor outstate Minnesota.\u00a0 To a great extent, it worked; outstate Minnesota came a long way very quickly, in what was called &#8220;The Minnesota Miracle&#8221;.\u00a0<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignright\" src=\"http:\/\/farm5.static.flickr.com\/4017\/4575208799_e7c6e34c94.jpg\" alt=\"\" width=\"252\" height=\"192\" \/><\/p>\n<p>One of the cities in outstate Minnesota that benefitted from Local Government Aid nearly forty years ago was Brainerd.\u00a0 The capitol of Minnesota&#8217;s lake country tourist district, Brainerd was and is a sleepy town of about 18,000 year-round, whose area swells to six digits on a summer fishing weekend.<\/p>\n<p>But the cuts in Local Government Aid have apparently hobbled plucky Brainerd; as Jeff Rosenberg of <em>MNPublius <\/em><a href=\"http:\/\/mnpublius.com\/2010\/05\/the-pawlenty-legacy-the-emmer-plan-property-taxes-replace-income-taxes\/\">plaintively pleaded <\/a>earlier this week:<\/p>\n<blockquote><p>How bad have local government spending cuts become? The city of Brainerd has started turning off the lights:<\/p>\n<p>Selected streetlights \u2013 in alleys, in mid blocks and duplicates at intersections \u2013 started being shut off by the utility in early May in response to the Brainerd City Council\u2019s direction to reduce the street lighting budget by $91,000. Brainerd Public Utilities Superintendent Tom Phelps told the Personnel and Finance Committee that in addition to shutting off lights he\u2019s been reducing wattage in downtown decorative lights and looking at switching to LED lights.<\/p><\/blockquote>\n<p>Now, if you&#8217;re a typical homeowner and provider for a family in these tough times, you might be forgiven for responding &#8220;Good!\u00a0 <em>Let them cut back!<\/em>&#8221;\u00a0 I mean, Rosenberg even notes that the street and alley lights that are the subject of this tragedy are duplicates, or ones found in the middle of the block, or in some of the alleys in sleepy, relatively crime-less Brainerd.\u00a0 It&#8217;s a <em>selective<\/em>\u00a0 cut, not a wholesale blackout.\u00a0 There&#8217;s no indication that any of the lighting is essential to safety; they&#8217;re redudant and\/or decorative!<\/p>\n<p>Unless your point of view is that no government &#8220;service&#8221;, no matter now non-critical, shall <em>ever <\/em>want for even the most trivial nonessential funding, what <em>is <\/em>the fuss about these &#8220;cuts?&#8221;\u00a0 Indeed, if we go through a year without any problems from the shut-off lights, could it be fairly asked if the lights were needed in the first place?<\/p>\n<p>But no mind.\u00a0 The &#8220;service&#8221; is being cut, we&#8217;re told by the left and media (pardon the redundancy) because Brainerd&#8217;s Local Government Aid has been gutted.\u00a0 Jeff ask\u00a0 &#8211; and, since <em>MNPublius <\/em>is as close to being an institutional voice of the DFL as exists in the Twin Cities blogosphere, we can assume this is part of the Party&#8217;s portfolio of chanting points &#8211; &#8220;How bad have local government spending cuts become?&#8221;<\/p>\n<p>Good question.<\/p>\n<p>I checked <a href=\"http:\/\/www.lmc.org\/page\/1\/property-tax-reports.jsp#proptx9\">League of Minnesota Cities<\/a>\u00a0 \u00a0website, which includes tax and LGA data for much of recorded history.\u00a0\u00a0 In it we see that Brainerd&#8217;s allotment of Local Government Aid has gamboled around a bit:<\/p>\n<ul>\n<li><strong>2002<\/strong>: $4,005,088<\/li>\n<li><strong>2003<\/strong>: $3,488,947<\/li>\n<li><strong>2004<\/strong>: $3,488,947<\/li>\n<li><strong>2005<\/strong>: $9,739,034<\/li>\n<li><strong>2006<\/strong>: $4,019,438<\/li>\n<li><strong>2007<\/strong>: $3,904,428<\/li>\n<li><strong>2008<\/strong>: $3.958.462<\/li>\n<li><strong>2009<\/strong>: $4.186.234<\/li>\n<\/ul>\n<p>In other words, Brainerd&#8217;s share of Local Government Aid took a quick dip in 2002, when Pawlenty started the cuts, and returned quickly to&#8230;<\/p>\n<p>&#8230;almost a $200,000 increase.<\/p>\n<p>In the meantime, property taxes for the same period looked like this:<\/p>\n<li><strong>2002<\/strong>: $1,,620,757<\/li>\n<li><strong>2003<\/strong>: $,2937,920<\/li>\n<li><strong>2004<\/strong>: $2,500,872<\/li>\n<li><strong>2005<\/strong>: $2,804,037<\/li>\n<li><strong>2006<\/strong>: $3,198,474,<\/li>\n<li><strong>2007<\/strong>: $3,510,360<\/li>\n<li><strong>2008<\/strong>: $3,816,641<\/li>\n<li><strong>2009<\/strong>: $3,962,752<\/li>\n<p>Brainerd&#8217;s property tax levy increased by 235%!<\/p>\n<p>This table shows the bookends of the Pawlenty years &#8211; 2002 versus 2009 LGA and property tax levies:<\/p>\n<table border=\"0\">\n<tbody>\n<tr>\n<td><strong>Funding Source<\/strong><\/td>\n<td><strong>2002<\/strong><\/td>\n<td><strong>2009<\/strong><\/td>\n<td><strong>Change ($)<\/strong><\/td>\n<td><strong>Change (%)<\/strong><\/td>\n<\/tr>\n<tr>\n<td>Brainerd LGA<\/td>\n<td>&#8220;$4,005,088&#8221;<\/td>\n<td>&#8220;$4,186,234&#8221;<\/td>\n<td>&#8220;$181,146 &#8220;<\/td>\n<td><span style=\"color: #ff0000;\"><strong>101.18%<\/strong><\/span><\/td>\n<\/tr>\n<tr>\n<td>Brainerd Levy<\/td>\n<td>&#8220;$1,620,757&#8221;<\/td>\n<td>&#8220;$3,962,752&#8221;<\/td>\n<td>&#8220;$2,341,995 &#8220;<\/td>\n<td><span style=\"color: #ff0000;\"><strong>235.48%<\/strong><\/span><\/td>\n<\/tr>\n<tr>\n<td>Brainerd Population<\/td>\n<td>&#8220;13,421&#8221;<\/td>\n<td>&#8220;13,954&#8221;<\/td>\n<td>\u00a0<\/td>\n<td>\u00a0<\/td>\n<\/tr>\n<tr>\n<td>Brainer LGA\/Capita<\/td>\n<td>$298<\/td>\n<td>$300<\/td>\n<td>\u00a0<\/td>\n<td>\u00a0<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>The amount of Local Government Aid per resident has risen by $2; LGA has <em>risen <\/em>by a percent and change since Pawlenty took office, while Brainerd <em>more than doubled their taxes <\/em>to &#8220;make up for the LGA shortfall&#8221;.\u00a0\u00a0\u00a0<\/p>\n<p>So &#8211;\u00a0for the entire period of &#8220;dislocation&#8221; &#8220;cause&#8221; by Pawlenty&#8217;d &#8220;cuts&#8221;, the total Brainerd City take between property taxes and LGA only dropped once &#8211; by $75,000 (1.5%), in 2003.\u00a0 Between the <em>steady <\/em>LGA payments and the skyrocketing property taxes, Brainerd&#8217;s take from these two sources has zoomed from $5.62 million to over $8.14 million during Pawlenty&#8217;s administration.\u00a0 That&#8217;s a 44% increase in overall savings.\u00a0<\/p>\n<p>It&#8217;s ahead of inflation, overall.\u00a0 It&#8217;s well ahead of wage increases for the private sector, overall.\u00a0<\/p>\n<p>So what&#8217;s with all the whinging about huge cutbacks?\u00a0 Forget about asking why\u00a0they&#8217;re complaining about shutting off some non-essential lights; why are they shutting them off at all?<\/p>\n<p>What <em>are <\/em>they spending money on so that they (and the DFL) can spin a <em>steady <\/em>LGA payment and a 44% overall increase in LGA and Property Tax combined revenue as a poverty case with a straight face?<\/p>\n<p>&#8212;&#8212;&#8212;-<\/p>\n<p>So that&#8217;s Brainerd &#8211; one of the cities LGA was originally supposed to help.<\/p>\n<p>So how does this play out around the state?\u00a0<\/p>\n<p>If you believe the DFL and Media (pardon the redundancy)&#8217;s conventional wisdom, the cities have had their local aid gutted, leading to their budgets falling apart.<\/p>\n<p>Could that be true?<\/p>\n<p>More tomorrow.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Question:\u00a0 Has your disposable income gone up 44% in the past ten years? \u00a0As I noted yesterday, Local Government Aid was originally set up to transfer wealth from the wealthy Twin Cities to smaller towns in then-poor outstate Minnesota.\u00a0 To a great extent, it worked; outstate Minnesota came a long way very quickly, in what [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[108],"tags":[],"class_list":["post-11077","post","type-post","status-publish","format-standard","hentry","category-chanting-points-memo"],"_links":{"self":[{"href":"https:\/\/www.shotinthedark.info\/wp\/index.php?rest_route=\/wp\/v2\/posts\/11077","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.shotinthedark.info\/wp\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.shotinthedark.info\/wp\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.shotinthedark.info\/wp\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.shotinthedark.info\/wp\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=11077"}],"version-history":[{"count":5,"href":"https:\/\/www.shotinthedark.info\/wp\/index.php?rest_route=\/wp\/v2\/posts\/11077\/revisions"}],"predecessor-version":[{"id":11079,"href":"https:\/\/www.shotinthedark.info\/wp\/index.php?rest_route=\/wp\/v2\/posts\/11077\/revisions\/11079"}],"wp:attachment":[{"href":"https:\/\/www.shotinthedark.info\/wp\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=11077"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.shotinthedark.info\/wp\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=11077"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.shotinthedark.info\/wp\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=11077"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}