2025 Budget updates

2025 Budget Updates

Property tax levy

On September 18th, the Board of Estimation and Taxation (BET) set the maximum property tax levy for 2025 at 8.3%, slightly higher than the Mayor's proposed 8.1%. The Minneapolis Park and Recreation Board is funded by the City and the property tax levy. The Mayor omitted part of the Park Board's personnel funding, required by the park workers' union agreement, in his recommended budget and levy. He also omitted crucial funding to support youth programs. The BET voted on whether or not to increase the levy to make room in the budget for these wages and youth programs, requiring the maximum levy to increase .2%. The vote passed 5-1 with Commissioners Abene, Pree-Stinson, Brandt, Payne, and Chughtai voting for it, and Mayor Frey being the sole vote of opposition. 

I’ve heard from many residents the frustrations that they have about the proposed property tax increase. Your concerns and frustrations are heard, especially knowing that these increases will not be universally felt across the city. Our most racially diverse and under-resourced communities will be hit the hardest from this increase, and this reality is not something to be taken lightly. 

Unfortunately this increase was years in the making. A combination of corporate flight from Downtown as a result of the COVID pandemic and prolonged mismanagement of key city departments such as the police department by the Frey administration has resulted in this costly outcome. But, the Council is working hard to make sure that this is not the new norm. 

We are working with city staff and state leaders to advocate for new revenue streams to shift some of the burden off of taxpayers. We are leveraging our oversight authority to identify where mismanagement is happening across the enterprise and working with the administration on corrective actions. We are working with innovative leaders on efforts that will both help strengthen economic activity downtown and for all communities across Minneapolis. We are advancing police reform efforts to further reign in MPD alongside the mandated settlement agreements to help reduce the police misconduct payouts that have significantly contributed to the city’s budget challenges. We are advancing successful and effective community safety initiatives to make Minneapolis a safe and welcoming place for business, entertainment, and tourism that help support our economy. These collective efforts make me extremely hopeful about our city’s future.

Public hearings and public comment

There are two public hearings for residents to share their thoughts. All public hearings will take place in the Council Chambers of the Public Service Center (250 S 4th St., Room 350 Minneapolis, MN 55415).

• Budget Committee Public Hearing: November 12th @ 10am
• Budget Committee Public Hearing: December 10th @ 6:05pm

Residents can also send in written public testimony any time by emailing CouncilComment@minneapolismn.gov. You are always welcome to contact the Ward 2 office as well to ask questions or share your thoughts. 

Departmental presentations

The City Council continues to conduct budget presentations with each City department. So far there have been presentations on the settlement agreement, Finance and Property Services, Human Resources, Assessing, Civil Rights, 311, Communications, IT, Community Planning and Economic Development, Regulatory Services, Neighborhood and Community Relations, Arts and Cultural Affairs, Intergovernmental Relations, Racial Equity, Inclusion and Belonging; Performance Management and Innovation; and the Office of Public Service. 

You can review all the presentations in the 2025 Budget file or watch the meetings which include Council discussion on the city’s youtube channel. The presentations will continue through the end of October. 

CM Wonsley’s Budget amendments

There are many resident priorities that were not reflected in the Mayor’s proposed budget. I’m bringing forward a number of amendments to fill these gaps. Below, you will find my current list of budget amendments. There may be changes or additions over the next few weeks as I continue to work with my colleagues, residents, and city staff on amendments that best reflect the needs of residents. All Council Members must submit our finalized amendments to the Budget Chair on November 20th, and a finalized packet of all the proposed amendments will be published on November 27th. 

• Emergency Housing Vouchers

• Description: Partnering with Hennepin County and the Minneapolis Public Housing Authority to provide housing and wraparound services for 50 individuals and 50 families experiencing chronic unsheltered homelessness. This amendment is based on an extremely successful program that was implemented with federal funding during the height of the covid pandemic.
• Amount: Approximately $1.6 million ongoing.

• Dinky After Dark

• Description: Public safety strategies tailored to the needs of Dinkytown and Marcy Holmes, including safety ambassadors and sidewalk-level lighting.
• Amount: Approximately $350,000 one-time.

• Legislative Department Policy Specialists

• Description: Staffing the Legislative Department to support the development of city policies that meet the city’s goals. 
• Amount: Three full-time employee positions ongoing.

• Traffic Calming

• Description: Meeting the backlog of over 700 traffic calming projects to make streets safe for all. 
• Amount: Up to $7 million one-time.

• Safe and Thriving Communities

• Description: Protect and expand investments into the Safe and Thriving Communities plan, including but not limited to supporting several new community safety pilots.
• Amount: TBD based on the outcomes of the service gap analysis being presented to the Public Health and Safety Committee in early November. 

• Immigration legal services funding

• Description: Supporting pro-bono legal services for children and individuals facing deportation proceedings. 
• Amount: TBD ongoing.

• Carbon emissions mitigation staffing

• Description: Per the recommendation of sustainability staff, adding one full-time employee to support the implementation of a carbon emissions fee on the largest polluters in the city, and getting emissions reduction technology installed. 
• Amount: $180,000 ongoing, which will be 95% covered by a new fee on carbon emissions from the largest polluters.

• Participatory budgeting pilots

• Description: A one-time allocation to pilot participatory budgeting tactics that involve more residents in the budget process for 2026. 
• Amount: TBD one-time, based on the report being presented to Council in early November. 

• 10th Ave bridge suicide prevention

• Description: Every year, several lives are lost on the 10th Avenue Bridge. There may be an intergovernmental effort to invest in railings to prevent suicide. 
• Amount: TBD pending collaboration with intergovernmental partners. 

• Civilian investigators: 

• Description: The City recently approved a new contract with MPD that grants the ability to hire more civilian investigators. This new contract cost taxpayers nearly $9 million, with the new staffing flexibility touted as a crucial reform that was worth the cost. Yet the Mayor’s proposed budget includes only 2 new civilian investigator positions. This amendment would take more advantage of this reform by adding more civilian investigators to MPD who can help improve case closure and clearance rates.
• Amount: TBD ongoing

• Early childhood education workforce development

• Description: Investing in programs led by early childhood organizations that are already successfully providing training, professional development, and ongoing support to Early Childhood Education workers. Workforce shortages are impacting the availability of high quality, affordable childcare options for Minneapolis families. 
• Amount: TBD ongoing

• South Minneapolis Community Safety Center Work Group

• Description: Budget to staff and support a community Work Group regarding the South Minneapolis Community Safety Center/3rd Precinct.
• Amount: TBD one-time 

• Reconnecting Communities matching funds

• Description: The Reconnecting Communities grant is a federal program to study removing highways and other infrastructure that divides communities, and replacing it with infrastructure that supports multimodal transportation, sustainability, public health, and equitable development. This sets aside matching funds to unlock millions of federal dollars for successful applications to Reconnecting Communities that align with existing Minneapolis policy positions, the Olson Memorial Highway/Highway 55 and Rethinking I-94 . 
• Amount: $800,000 one time

• Legislative Department Capacity Building

• Description: Continuing to invest in expanding the city’s legislative department as part of fully implementing the executive mayor/legislative council structure. 
• Amount: $150,000 ongoing. 

• Senior Housing Initiative for Code Abatement

• Requested by the Minneapolis Advisory Committee on Aging, this allocates funding within the Affordable Housing Trust Fund for code abatement and home repair loans for homes with one adult 55+ living in the residence. 
• Amount: $810,000 ongoing

Additional resources 

Use these links to find out how tax levies may impact you and learn more about the City budget process.