01-10-2007 Council Agenda - Laserfiche WebLink

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INTRODUCTION The North Metro Mayors Association is a non partisan organization created in 1986 to advocate for the interests of 20 north metro area member communities from New Brighton and Blaine on the east to Maple Grove and New Hope on the west, including the city of Minneapolis. Together we represent 834,000 citizens and are in turn represented by 51 State Senators and Representatives. The NMMA is governed by a Board of Directors comprised of Mayors and City Managers /Administrators. The Association is also supported by businesses enrolled as Community Partners. The primary activities of the NMMA include dialogue with opinion leaders, research into policy issues and communication with citizens and legislative representatives. Issues of significant policy interest include city finances & taxes, transit and highway funding, and, economic growth opportunities such as the expanding Target development in Brooklyn Park, Towne Center in Ramsey, the Pheasant Ridge development in Blaine and the Northwest Quadrant in New Brighton. Improvements to the I -35W and TH 10 Corridor streets and highways and completion of TH 610 and the Devil's Triangle projects are high on the NMMA transportation project priority list. WHY REFORM? This document outlines the basis for the NMMA recommendation that the 2007 Legislature thoughtfully examine the existing Minnesota Local Government Aid program and enact substantive reform measures that can be signed into law by the Governor. It is the consensus of our leadership from diverse communities in the NMMA membership that outcomes generated by the existing formula are deficient in the following ways: 1. Unique Circumstances faced by fully developed inner ring and older cities and suburbs are not adequately recognized in the formula, 2. Volatility makes management of local finances more difficult than should be the case, 3. Disparities create questions of logic and fairness, and, 4. Passage of Time since adoption of the formula suggests that existing underlying policies and factors need to be reviewed, and solid policy foundations for desired outcomes must be incorporated into a reformed formula. In making the case for LGA reform, the NMMA recommends that the debate begin by returning to the original purpose of LGA- to ensure that all Minnesota citizens have access to basic local government services at affordable costs. The NMMA recognizes that not all cities need the support provided by LGA. On the other hand, cities that do need aid should be supported in an equitable and transparent manner that engenders confidence in the outcomes. -9 2