First, what this editorial isn’t going to do: It’s not going to find supposedly more attractive places for the state to cut its budget right now to meet an immediate deficit in the $500 million range. It’s not like there’s a lot of fat out there, a lot of that “low-hanging fruit” ripe for the picking that everyone likes to refer to when it’s time to cut spending.
But if the state eliminates, reduces or even delays final Local Government Aid payments to cities at this late date, about two weeks before the cities end their current budget cycle and pay their final bills of their fiscal year, well, that’s just passing the buck. Maybe the more accurate phrase would be passing the “bill” onto cities that, like it or not, rely on LGA for a big chunk of their revenue.
Look, everyone knows that this is going to be ugly. If this immediate state deficit is a bread crumb, the one that’s set to follow in excess of $5 billion is the entire piece of bread. As far as pain goes, it might be the whole loaf.
Minnesota cities who count on LGA know that they’re going to have to rely on LGA in the foreseeable future less than they do now. Everyone, whether they’re in Minneapolis or Mountain Iron, is going to be affected by these big budget cuts. And everyone has known for some time now, as the bad economic news has crept closer and closer to home, that the state budget was going to be in nasty shape.
City officials from across the state say that Gov. Tim Pawlenty seems to understand their plight. But that doesn’t mean LGA won’t be affected adversely in order to eliminate the immediate, $500 million deficit. Just because he’s a good listener doesn’t mean he’ll be swayed.
Pawlenty apparently doesn’t want the federal government’s help, assuming that some kind of aid package is crafted after President-elect Barack Obama takes office. That’ll lead to inflation, the governor said the other day.
Well, that might not be entirely Pawlenty’s call. He, apparently, remains one of the few popular Republicans on the state and national political scene, someone who was almost the VP nominee earlier this year and someone who is already generating buzz on the presidential campaign level in 2012.
But that might change, at least among Minnesota citizens, if he tells Washington, D.C. thanks but no thanks when federal aid is offered. If he, instead, prefers to trim $5 billion-plus while, of course, not raising taxes a penny, he’s going to have an ornery citizenry to answer to.
And LGA is a part of what makes Minnesota what it is, a state seen far and wide as one that provides good government more often than not to its people. LGA helps cities provide services to their citizens without raising property taxes through the roof. LGA is a good thing. Therefore, it shouldn’t be the first piece of fruit plucked from the tree.