03-11-1981 Council Agenda - Laserfiche WebLink

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Page 2 MLOSC has also indicated that they propose to modify their formula to give additional credit for contributions from enterprise funds, for certain special assessments, and for garbage collection costs where those costs are not paid out of the general tax levy. No projections have as yet been made as to the effect these further changes would have. (For a more detailed explanation of the various problems seen with the MLOSC formula, contact Peggy Flicker at the LMC office.) It was also noted that MLOSC's proposed changes would have no effect unless the total state appropriation for local government aid were increased over last year's level. Since the Governor's budget proposes no increase in funding, the committee's feeling was that cities' lobbying efforts this year should be concentrated on the level of funding as well as the payment schedule and that if cities presented a divided front on the formula question, the legislature would be less likely to approve any funding increase for local government aid and might be likely to make significant formula changes without adequate input from all cities. For these reasons, LMC's Board of Directors decided that the MLOSC proposal could not be adopted and supported by the LMC as the official LMC policy: and that much more study and refinement of the proposed formula would be needed before it could be accepted as LMC policy. The LMC Board has couanitted itself to appoint a League committee repre- sentative of all sizes of cities from throughout the state in June to begin an overall evaluation of the total formula, and develop a unified position on the issue. The LMC Board feels very strongly that cities should resolve their policy differences through LMC's legislative committee process. Through this process, all cities have an opportunity to state their views, to argue for their position and to arrive at a gen- erally agreeable consensus or compromise. Cities are in the best position to get their views accepted in the legislature if they present a united front. When a group of cities chooses not to work within this process and accept its results, but instead to lobby independently for a contrary position, it seriously impairs the effectiveness and credibility of all cities' lobbying. The LMC intends to continue to work with all the cities of Minnesota to develop unified and strong positions on important city issues, including local government aids. S jfe re l y ,�''(j/ /�� (/ n Donald A. Slater Executi ve Di recto r DAS:glb cc: Managers and Clerks