Local Government Aid During a Potential Special Session

by | Sep 13, 2016

An August North Star article described the main effect of no 2016 special session: a larger state budget reserve. The same article noted some of the likely effects if there is a special session, including “an increase in state assistance to local governments.” With...

City LGA: A Shrinking Slice of the Budget Pie

by | Apr 13, 2016

Local Government Aid (LGA) has been a mainstay of city finances since its inception in 1972. In fact, many small, low tax base communities receive more in LGA than they collect in property taxes. That being the case, LGA is a perennial hot topic at the state capitol....

A Brief History of LGA

by | Apr 7, 2016

For four and a half decades, the Local Government Aid (LGA) program has provided assistance to Minnesota cities to pay for essential services and infrastructure and to help hold down property taxes. In recent years, some state policymakers have attempted to increase...
Executive Summary: Minnesota's Budget Surplus

Executive Summary: Minnesota's Budget Surplus

by | Mar 3, 2016

The conservative effort to use the entire budget surplus to reduce state taxes—often referred to as the “give it back” campaign—is based on the premise that state revenues and expenditures have increased dramatically and thus all legitimate state expenditure needs...
Minnesota's Budget Surplus: Balancing Tax Cuts and Investments

Minnesota's Budget Surplus: Balancing Tax Cuts and Investments

by | Mar 3, 2016

I. Introduction Last March, a group of legislators gathered at the State Capitol with a simple message: “Give it back!” The “it” refers to the state budget surplus, then projected to be nearly two billion dollars for the upcoming fiscal year (FY) 2016-17 biennium....