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A group of 98 Minnesota mayors raised concerns with state leaders in a letter about their state’s fiscal policies, saying they have affected their cities and residents, pointing to the disappearance of an $18 billion surplus and a projected deficit of $2.9 billion to $3 billion for the 2028-29 biennium.
In a letter to state lawmakers and Gov. Tim Walz, the 98 mayors expressed concern and frustration and said the state was falling in the national economic rankings.
“St. Paul’s fraud, unchecked spending, and inconsistent financial management have trickled down to our cities — reducing our ability to plan responsibly, maintain infrastructure, recruit and retain employees, and maintain essential services without burdening local taxpayers,” the letter said.
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A man walks in front of the Minnesota State Capitol at sunset in St. Paul, Minnesota. Nearly 100 mayors in the state expressed concern and frustration in a letter to lawmakers about Minnesota’s fiscal direction and its impact on cities. (Stephen Maturin/Getty Images)
The letter states that cities across the state are now facing workforce shortages, slowing business investment, rising operating and construction costs, and families choosing to leave Minnesota altogether.
Additionally, mayors pointed to potential increases in property taxes as a result of unfunded state mandates and costs that force cities to shift the burden to residents and businesses.
“There is a growing disconnect between state-level fiscal decisions and the pressure they place on the cities we lead,” the letter said. “When the state expands programs or shifts responsibilities without stable funding, it is our residents — families, seniors, businesses, and workers — who ultimately bear the cost.”
Unfunded mandates include requests for schools, health and human services, and public safety.
Minnesota Republican lawmakers blamed Walz and Democrats.
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Minnesota Governor Tim Walz speaks at a press conference. (Tiberna Hobson/Getty Images)
“Governor Walz and Democrats agreed to unaffordable spending and tax increases along with unfunded mandates on the promise of making life more affordable for everyone,” Republican state Sen. Andrew Lange, who serves as chairman of the Senate State and Local Government Committee, said in a statement. “In effect, they just pass the costs on to local governments, schools, and small businesses, which in turn pass the costs on to local taxpayers and consumers.
“Minnesota counties sounded the alarm early last session over proposals to shift costs into their budgets, so I’m not surprised that nearly 100 mayors across the state are raising their own concerns. This letter is a warning that we must reduce state spending, stop the massive fraud plaguing our state, and remove unnecessary mandates to keep life affordable for everyone.”
Fox News Digital has reached out to Walz’s office.
Mayors noted that state statute requires a balanced budget, but relying on one-time surplus dollars has created structural pressures.
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“Our state owes it to our citizens to practice responsible fiscal stewardship and stop taxing our families, seniors, and businesses outside of Minnesota,” they said. “We urge the Legislature to correct course and remember that every dollar it administers does not belong to the Capitol, but to the people of Minnesota.”