Budget Committee

Remote

Postponed a decision on a legislative directive, proposed by the committee’s chair (Aisha Chughtai) and vice chair (Emily Koski) on requesting biannual personnel reports.

• Most council members who were supportive of the directive noted the importance of this information for the council in reviewing the Mayor’s proposed city budget.
• Council Members Palmisano, Jenkins, and Vetaw were apprehensive about the initiative and requested more time to review it. They expressed concerns that the directive was onerous for city staff, and that some of this information was already provided.
• Committee unanimously postponed the directive to the next Budget Committee meeting (April 8, 2024).

Received and filed the City Assessor’s 2024 Assessment Report. Several highlights:

• Minneapolis’ Estimated Market Value (EMV) decreased by 3.1% to $65.4 billion compared to last year.
• Residential property decreased in value modestly, by 1.3%. Commercial and industrial property decreased in value more significantly, by 7.2%. This was primarily driven by a 13% decrease in Downtown Commercial property value, likely caused by a transition to remote/hybrid work accelerated by the COVID-19 pandemic.
• Of the 13 wards, only wards 4 and 5 (North Minneapolis) experienced an increase in EMV.
• These changes are significant for residents because the city’s property taxes are allocated proportionally across properties according to their EMV. If commercial properties have decreased in value more than residential properties, residential properties will take on a larger portion of the property taxes. This means that, even if the city budget were to remain flat, residential property owners will see their property taxes increase in 2025.