Nearly 100 Minnesota mayors warn state fiscal policies are hurting cities, residents and local budgets
3 minute readPublished: Tuesday, December 23, 2025 at 10:32 am
Minnesota Mayors Sound Alarm Over State Fiscal Policies
A coalition of 98 Minnesota mayors has voiced serious concerns regarding the state's fiscal policies, warning that they are negatively impacting cities, residents, and local budgets. In a letter addressed to state lawmakers and Governor Tim Walz, the mayors expressed frustration over the state's financial management, citing a dwindling $18 billion surplus and a projected $2.9 to $3 billion deficit for the 2028-29 biennium.
The mayors' letter highlights several key issues. They claim that "fraud, unchecked spending, and inconsistent fiscal management" at the state level are hindering cities' ability to plan responsibly, maintain infrastructure, retain employees, and sustain essential services without burdening local taxpayers. They also point to workforce shortages, decreased business investment, and rising operational and construction costs as consequences of the state's financial decisions.
A significant concern raised is the potential for property tax increases due to unfunded state mandates. The mayors argue that these mandates, which include requests for schools, health and human services, and public safety, force cities to shift the financial burden onto residents and businesses. The letter emphasizes a "growing disconnect" between state-level fiscal decisions and the strain they place on local communities.
Republican lawmakers have placed blame on Governor Walz and Democrats, accusing them of passing "unaffordable spending and tax increases" along with unfunded mandates. They argue that these actions have ultimately passed costs down to local governments, schools, small businesses, and, ultimately, taxpayers and consumers.
The mayors' letter underscores the importance of responsible fiscal management and calls for the state to "course-correct." They emphasize that the state's financial resources belong to the people of Minnesota, not the state government.
BNN's Perspective:
The concerns raised by the mayors are a serious matter that warrants careful consideration. While the state's financial situation is complex, the potential for increased property taxes and the strain on local services are legitimate worries for residents. Finding a balance between state-level initiatives and the financial well-being of local communities is crucial for the long-term health of Minnesota. Open dialogue and collaboration between state and local leaders are essential to address these challenges effectively.
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