Moorhead and Dilworth officials heard from two area legislators Friday who said elimination of local government aid, a major source of revenue for both cities, is highly unlikely.
"LGA is not going to go away. I think I can guarantee that," said Rep. Morrie Lanning, R-Moorhead, speaking at a meeting in Moorhead hosted by the Fargo Moorhead West Fargo Chamber of Commerce.
Rep. Paul Marquart, D-Dilworth, agreed LGA is important, and he said he believes LGA has a friend in Gov. Mark Dayton, who vetoed a bill this past week that would have meant deep cuts in aid to area cities.
"He (Dayton) is very much against these property tax increases," Marquart said, referring to property tax increases that occurred across Minnesota following past cuts in LGA.
Marquart described LGA as "the lifeblood for rural Minnesota," adding that it has been an effective way to equalize disparities in property tax bases across the state.
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Lanning said that although LGA is unlikely to go away, there may be tweaking of the formula used to decide which cities get what.
And he warned that even if lawmakers agree on boosting revenues this year, it won't be enough to balance the state's budget and cuts will have to be made somewhere.
Lanning added that it was important to remember Moorhead has been the recipient of many state dollars in recent years, including about $29 million for flood protection.
"The state of Minnesota has been treating us very well," Lanning said.
Dilworth Mayor Chad Olson said one troubling issue tied to LGA cuts in recent years has been their timing, with some coming near the end of the budget year.
"Dealing with last-minute reductions is next to impossible," Olson said.
Moorhead City Manager Michael Redlinger thanked members of the local chamber for that group's support of LGA.
The local chamber's position stands in contrast to the Minnesota Chamber of Commerce's point of view, which has been critical of LGA.
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Readers can reach Forum reporter Dave Olson at (701) 241-5555
