Health & Fitness
Homeowners Will Benefit from New Property Tax Legislation, Says Rep. Hansen
The MN House Property Tax Committee approved a bill with a new local government aid formula increasing support for South Saint Paul and West Saint Paul.
The MN House Property Tax Committee approved a bill with a new local government aid formula increasing support for South Saint Paul and West Saint Paul. Beginning in 2014, South Saint Paul would see an increase of roughly $470,000 in aid, while West Saint Paul would get an increase of $280,000 a year.
“This bill is a step in the right direction. Residential property taxes have increased unsustainably in recent years. As a result, I’ve been working to closely with the Tax Committee to increase aid for our communities,” said Rep. Rick Hansen (DFL – South Saint Paul). “Increasing the aid to cities like South and West Saint Paul will help local governments pay for essentials like police and fire protection, while holding down property taxes. We were able to maintain aid for Mendota as well.”
The DFL property tax relief proposal includes $60 million for Local Government Aid. This represents the most significant increase in Local Government Aid in over decade. The new formula was developed by a broad coalition of cities representing metro, urban, and rural interests. This new formula is more stable, easier to understand, and predictable than the previous one.
The local government aid program has existed since 1972. Local government aid pays a percentage of “unmet need” for each city that is based on the difference between measures of city need and the city’s net tax capacity multiplied by an average city tax rate.
MORE INFORMATION FROM MN HOUSE REPRESENTATIVES RESEARCH DEPARTMENT:
Certified
Find out what's happening in Mendota Heightswith free, real-time updates from Patch.
2013 LGA
Current law
Find out what's happening in Mendota Heightswith free, real-time updates from Patch.
2014 LGA
2014 LGA at $60 million in Division Report
Aid Increase at $60 million
Aid increase per
capita at $60 million
MENDOTA
25,000
24,694
25,000
0
0
SOUTH STPAUL
1,663,720
1,597,863
2,131,823
468,103
23
WEST ST PAUL
773,763
577,713
1,057,298
283,535
14
Feel free to contact Rep. Hansen by phone: (651) 296-6828 or at rep.rick.hansen@house.mn. You also can send mail to 451 State Office Building, 100 Rev. Dr. Martin Luther King Jr. Blvd., St. Paul, Minnesota 55155