ST. PAUL, Minn. – Several county commissioners joined Senate Republicans at a joint press conference on Wednesday to voice concerns over Governor Tim Walz’s budget proposal to shift $460 million in costs to counties through the Department of Human Services (DHS) budget.
“The governor is not finding additional savings with his proposal,” Senator Andrew Lang (R-Olivia) said. “Walz is simply pushing costs for services onto local governments and leaving them with no choice other than to cut services or increase property taxes. There is no relief for Minnesota families in this proposal, and we must do better.”
The proposal is part of Gov. Walz’s attempt to address a projected $5.1 billion state budget deficit by 2029, which includes $1.5 billion in human services cost shifts. According to an Association of Minnesota Counties release, early reports from members suggest that the governor’s proposals could place a significant burden on local governments, with some counties predicting 9% levy increases.
County leaders sounded the alarm that these shifts would place a significant financial burden on local governments, ultimately leading to higher property taxes across Minnesota. “All the additional costs take away from the ability for us to fund other critical services. The total cost of the governor’s shift is nearly $3.2 million annually for Clay County, and that cost is likely to grow as we’re only including those three areas for discussion. To cover this, we would be forced to raise our property tax levy by approximately 6.95%,” Clay County Commissioner Jenny Mongeau said in the press conference.