The City of Minneapolis is a fiscalÂ disaster. They are facing the same budget woes as the rest of Minnesotans, public and private are, but only they have manufactured a worse case scenario.Â
In the face of a hurting economy and a projected $38 million in new costs for employee pensions over the next five years, the City Council proposed to increase Mayor R.T. Rybak’s suggested 6.86 percent property tax levy for 2009 to 8 percent, the ceiling amount set in 2007.
That’s right folks while you’re getting laid off, foreclosed upon, or dealing with your own debt responsibly, the city ofÂ MinneapolisÂ is going to sock it to you. And why? Because of their bloated pensions. Yep, I guess RT Rybak’s Minneapolis has more in common with the evil Big 3 than they would like to admit. Unsustainable feel good policies that force citizens to work for Government.Â
Rybak, who was at the Friday meeting, said he hoped to keep property taxes below 8 percent in his 2009 budget. However, recent months have made it clear that the city has issues with its pension funds, he said.
â€œI canâ€™t tell you how disappointed I am,â€ Rybak said. â€œBut I do think the most responsible thing to do is to apply this immediately.â€
Responsible? Responsible? Putting millions of dollars of debt onto the taxpayers is responsible? I’m sorry, but the people paying for the former workers are watching their private 401K’s and savings evaporate. Would it be responsible for Minneapolis citizens to not pay their taxes so they can buy more stocks while the market is in the tank?Â
And here is where you can see the unrealistic priorities that has bankrupted this once great city.Â
About $500,000 will also be reallocated from a public works fuel reserve to fund Central Corridor planning and engineering.
Yep, that’s right, their siphoning fuel out of the city vehicles to build another boondoggle that the city will have to spend millions to maintain. Oh sure, they say it is due to low fuel prices, and the problem isn’tÂ reprioritizingÂ money, that’s good. the problem is where they are diverting it to. There are scores of other city programs that could use that money.
For some reason I think using it to create a new boondoggle project and then still raise taxes a ton during a recession is further proof that this city is committing governmental suicide.Â
You get the government you vote for folks. I hope the people in Minneapolis wake up real soon before their government ends up garnishing all of their wages in order to build the socialist utopia.Â
Raising taxes in a recession. Brilliant! Not really.Â