Larson Budget Proposal: $2.1M In Cuts, $1M Increase In Streets With Levy Increase

DULUTH, Minn. – Mayor Emily Larson has released her proposed city budget for 2018. It includes cuts to all departments, including $700,000 combined from the fire and police departments, as well as a heavy investment in city streets.

Larson wants $2.1 million in cuts to city expenses, an $895,000 investment into a community solar garden and a $1 million increase in street improvements.

The increase in street funds would come out of an anticipated $1.1 million tax revenue increase from a proposed 8.45 percent levy increase for 2018.

Larson says that increase would mean a 4 percent property tax hike for resident, which would equal $21 more a year for a resident who owns a $160,000 home.

“Due to previous years’ worth of accumulated cuts and other reductions in growth, we are no longer able to find ways to do more with less. And I believe that this budget starts us on a course of doing less with less,” Larson explained to councilors Monday.

Larson says health care costs, wages and stagnant government aid are to blame for a $3.2 million deficit going into 2018, which the proposed cuts will take care of.

The city council will have the final say on the budget with a vote in September.