RES 1982-104 - 00006116210
RESOLUTION NO. 104 - 1982
RESOLUTION IN SUPPORT OF CHANGES IN STATE AID FORMULA
WHEREAS, Minnesota state local government aid to cities was originally
distributed on a per capita basis; and
WHEREAS, the current state aid distribution is not equitable in that some
cities receive as much as $122.95 per capita, and other cities receive as
little as $11.61 per capita; and
WHEREAS, the State Revenue Department report indicates that "90 percent of the
inequities are caused by the grandfather clause, and the present formula fails
to achieve the purpose of equity; and
WHEREAS, the following revenue sharing mechanisms, which may be duplicative of
state aid, are also available and assist in achieving equity:
(a) Gas tax for cities aver 5000 population;
(b) Fiscal disparities;
(c) Metropolitan Transit Commission;
(d) Federal aid entitlements;
(e) Special local taxes.
NOW, THEREFORE, BE IT RESOLVED that the City of Fridley strongly requests and
supports changes in the state aid formula.
BE IT FURTHER RESCLVED that the City of Fridley specifically supports /requests I
changes that will acoanplish the following:
(a) Provide for equitable fund distribution;
(b) Include no grandfather clause;
(c) Provide for periodic review and adjustment to assure
the goal of equity.
(d) Include no incentive for spending.
(e) Provide for distribution on a per capita basis, with
cities receiving a lessor disbursement (as the result
of a change in state aid formula) given the
option/authority to raise a one percent (18) sales tax.
PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS 22ND DAY OF
DECEMBER, 1982.
N1141 N7115 WM!,
ATIWr:
SIDNEY - CITY CLERK '
2/2/8/17