Minneapolis Mayor Jacob Frey is proposing to hike his city’s residential property tax levy by 11.3%, the largest increase in six years.
Axios reports Frey’s proposal is designed to address his city’s $30 million revenue shortfall coupled with financial demands to cover costs that had been underestimated, most notably the police department overtime budget following the protests involving ICE raids across Minneapolis.
The mayor is proposing several measures to cut expenses, including layoffs of city workers, merging departments, and curbing overtime spending at the fire department. However, residential property taxes are viewed as a more vibrant source of revenue due to declining values in downtown office properties. If approved, the hike would result in an extra $409 per year for the median homeowner.
Last year, Frey proposed a 7.8% property tax levy, which the Minneapolis City Council approved as an even 8% hike.
Photo courtesy of Mayor Frey’s Instagram page
0 Comments