Minneapolis Mayor Proposes $1.88 Billion Budget

Minneapolis Mayor Jacob Frey has proposed a substantial $1.88 billion budget for 2025, which includes an 8.1% property tax increase aimed at addressing the city's financial challenges and investing in critical areas such as affordable housing, community safety, and climate initiatives. The budget allocates $17.9 million for the Affordable Housing Trust Fund and $1.3 million for new police staffing under federal mandates. Despite the budget's ambitious goals, the proposed tax hike could add over $200 to the average homeowner's tax bill, raising concerns among residents and the Minneapolis Park Board, which will receive $88 million—less than the $90 million requested, potentially leading to staff cuts. Public works and police employees are set to receive significant pay increases of 30% and 21%, respectively, reflecting the city's need to attract and retain talent. Frey emphasized his commitment to ensuring that the community benefits from these investments despite the financial strains caused by inflation and labor costs. The City Council will review the budget proposal, with the final vote expected in December 2024.