County Program Aid is property tax relief for local tax payers

By Trish Harren

Mower County Administrator

Counties operate as a local administrative arm of the state to carry out state-mandated programs relating to health and human services, public safety, land use, transportation, courts and other critical service areas. We do the work the state tells us to do, and the state provides the funding, or “aids,” to cover costs.

Trish Harren

State funded County Program Aid (CPA) is a general purpose aid provided to counties by the state as an off-set to county costs and recognition of the impact delivering services has on local taxpayers.

A 20-year look back at CPA in Mower County demonstrates that the state has not kept its part of the bargain. In 1999, Mower County received $2,245,699 in CPA. In 2019, Mower is slated to receive $2,180,981. During that same time frame the Mower County Levy or tax payer bill increased from $8,330,763 to $21,815,187.  This is due to many things, including increasing demand on health and human services due to an aging population as well as a dramatic increase in demand for law enforcement services related to drugs.

According to the Bureau of Labor Statistics consumer price index, today’s prices are 53.39 percent higher than 1999.  The 2019 CPA equivalent would be approximately $3,444,681.20 for a difference of $1,198,982.20.  As the chart indicates, not only has CPA not kept pace, it has actually decreased. This while mandates placed on county governments have increased every year.  This forces counties, such as Mower, to increase their local levy, placing the burden to cover the increasing costs of local services on the backs of property tax payers.

When CPA does not keep pace with increasing costs and is in fact reduced, county leaders have to make hard choices with limited options.  Mower County has become very creative in finding alternate ways to fund services. The local option sales tax and wheelage tax are two examples. We are also fortunate to have the benefit of wind energy production tax, which actually accounts for more tax relief than county program aid. Mower County has re-organized and realigned services for greater efficiency. Every employee is doing more work today than they did 20 years ago. Our employees treat tax payer dollars like it is their own and pinch pennies. We are doing our part. At some point, the state has to hold up their end of the bargain and increase relief to local property tax payers.

This year there is movement to recognize the fact that CPA and other aids to counties, such as transportation funding, have not kept pace. There is a bill to reset county program aid to its 2001 level. While this would not come close to where it should be, it is a move in the right direction.

If you are a residential or business property tax payer in Mower County, please let your legislators know that increasing CPA and other aids such as transportation funding for counties is critical. Property tax is the most regressive form of taxation. It hits hardest on those with fixed incomes, but impacts every property owner. State of Minnesota, we need you to keep up your end of the bargain so counties like Mower can take care of residents without breaking the backs of property tax payers.

SportsPlus

Mower County

Soil-health incentive deadlines coming up

News

Bird flu worries prompt changes to popular ‘Miracle of Birth Center’ at Minnesota State Fair

Agriculture

Youth showcase a year of 4-H learning at Mower County Fair

Mower County

Lawhead joines Smith office as press aid

Mower County

In your Community: Duplicate Bridge

Mower County

In Your Community: Mower County Senior Center

Education

Education: Accolades

Columnists

Tim Penny: Open grants support welcoming communities

News

US economic growth increased last quarter to a healthy 2.8% annual rate

News

World War II sergeant whose plane was shot down over Germany honored with reburial

News

Gizmo the dog went missing in Las Vegas in 2015. He’s been found alive after 9 years

Blooming Prairie

Blooming Prairie man pleads guilty to federal charge of child pornography

Mower County

Westbound I-90 overnight detour at Hwy 105 scheduled July 29 in Austin

Crime, Courts & Emergencies

Darin Douglas Finley, convicted in the death of Melissa Rack, in jail on probation violation

News

Arson attacks paralyze French high-speed rail network hours before start of Olympics

Business

Hormel named to Forbes List of America’s Best Employers for Women 2024

Agriculture

Strip-till farming focus of upcoming event

Crime, Courts & Emergencies

Man gets 13 years in prison for criminal sexual conduct with a child

News

Biden delivers solemn call to defend democracy as he lays out his reasons for quitting race

News

In fiery speech to Congress, Netanyahu vows ‘total victory’ in Gaza and denounces U.S. protesters

Education

APS announces new cell phone, device rules for upcoming school year

Crime, Courts & Emergencies

Minnesota appeals court upholds – in part – original Heggs conviction

Crime, Courts & Emergencies

Austin teen injured in Tuesday night crash

Mower County

Gertrude Ellis travels the subject of next Lunchbox History event