Letter to the editor: Thank you Kieffer and Lillie for legislative property tax reform

There are those who believe that one must stir up dissatisfaction and discontent with half-truths. This subversive political tactic is common place in the DFL party, as can be seen in campaign ads. Fanning the flames of agitation is difficult to swallow for Woodbury residents capable of understanding the 2011 law change that replaces the Homestead Market Value Credit with the Homestead Market Value Exclusion.

It is inaccurate and a misrepresentation to say that the legislative property tax reform supported by Rep. Andrea Kieffer and Senator Ted Lillie was intended to raise our taxes. The change in the law was necessary so that local governments could receive the full amount the levy from their taxpayers without having to rely on reimbursement from the state. Under the expiring HMVC law, only $11 million out of $81 million was reimbursed by the state to a handful of cities. The biggest recipients of our city’s tax dollars were Crystal, Columbia Heights, Hibbing, New Ulm, Owatonna, Rochester, and St. Paul. The Homestead Market Value Credit was a means of redistributing wealth from one community to another.

The League of Minnesota Cities strongly advocated for reformation of the law. Evidence of this can be found on their 2012 Legislative Program dated 12/08/2011. Most local governments were forced to play a guessing game every year because of the state’s failure to reimburse, thereby causing significant inconsistencies in funding. The result was that cities were forced to cut spending or raise taxes on all property year after year.

Rep. Kieffer and Senator Ted Lillie deserve our thanks for supporting the changes necessary to keep our tax dollars in the community in which we live and promoting transparency in the state and local fiscal relationship by voting to replace HMVC with HMVE.

Susan Richardson - Woodbury

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