By Greg Olson
With the elections behind us for another two years, fresh calls now arise from the sidelines to not just keep city tax increases under control, but to freeze them to 2008 levels. The latest justification is the condition of the economy. These are tough times; as tough as most of us have seen in our respective lifetimes. But for the more vocal proponents, there has never been a time when lower city taxes wasn’t the solution for whatever has ailed us. For their purposes, one set of circumstances is as opportune as the next.
Worthy of note is that several of our sitting City Council members ran on the theme of reducing the burden of city government on our most endangered (but somehow enduring) of species – the taxpayer. Despite the protracted wrangling that the council went through on this topic in 2007 – and no less with the assistance of a citizen Budget Advisory Commission, not all that much in the way of cuts could be identified. What could this mean?
To me, the first thing it means is that when a group of competent people come together with the intent of doing the right thing for people to whom they feel accountable, they usually do just that. We have very competent people on our City Council, and I know that we’ve had good people serving us in that capacity for many years. After all, we elected them, didn’t we? In all the years I have lived and worked in this town, I can’t think of a single mayor or council person whose competence and integrity I would question. I feel the same about our professional staff. We should be proud of them all.
The second thing it means is that when you talk about “freezing” the budget, you’re really talking about reducing services. “Pipes, Public Safety and Parks” it says on the EP Taxpayers [Alliance] Web site. Well, what about pavement? Come to think of it, how about pedestrians? Are we doing anything to help people be less reliant on cars? How about the quality and sustainability of our water usage? A radical course of action is a lot more exciting, than a merely rational one, but more often than not, they leave us worse off, because in such cases we fail to anticipate the real costs. Advocating for a freeze in the city’s budget without a critical examination of how that would affect the services that this community relies on would run exactly this kind of risk. What sort of cuts would partisans such as the EP Taxpayers Alliance recommend? Their Web site says nothing in this regard.
It’s been pointed out that foreclosures in our community are way up. That’s true. But that wasn’t caused by increasing property taxes. And if you were to completely eliminate taxes for those unfortunate residents, chances are they still would have lost their homes. But here’s something to consider. As more homes become vacated through foreclosures, demand for public safety services rise, and it doesn’t take long before you notice the difference. How do you freeze property taxes in that environment?
If our council and staff were to commit to a freeze in the budget, then how would they fund future expenditures for the “20-40-15” initiative, which is designed to generate significant reductions in our city’s fuel and energy costs?
I am not excited at the prospect of a rise in my property taxes. I’ve never met anyone who is. However, I believe that before we decide on what is an appropriate level of taxation, we must examine whether and how we are getting full value for the resources we are entrusting to our local government. That examination should be in light of the values we want our city to reflect. Further, we must not only respond to the circumstances we face now, but also within the context of our long-term vision. Otherwise, we’re just reacting from one crisis to the next. That is a sure prescription for creating more problems than we solve, and facing even greater difficulties in controlling our future costs. We cannot be masters of our own collective fate, on such a course.
These aren’t easy times. It calls for more accountability than ever before on the part of our council and staff in how they apply our resources. But we must also give them a free hand, with which to use their best judgment in doing the job we asked them to do. To anyone concerned about the cost of local government services, including members of EP Taxpayers Alliance, now is the time to get focused on the more important questions – what are we getting for the resources we entrust to our city? Does our city’s budget truly reflect our community’s values? Armchair quarterbacking won’t get the job done. We all must do our part.
Greg Olson is a resident of Eden Prairie.


I too read the Eden Prairie...
Back to page topI too read the Eden Prairie Taxpayers Alliance new website, eptamn.com. I appreciate their efforts, as do many residents.
First to the past record of the EPTA. There has not been a group that has done more to educate local taxpayers as to how their money is being spent by city hall and the school district. In the past the EPTA identified many unneeded expenditures by the city and the schools. Take for example, the full-time heritage preservation expert employed at city hall. Who ever heard of such a position, outside of Eden Prairie of course.
The EPTA and the city's Budget Advisory Committee identified many ways the city should address the rapidly growing budget two years ago. This led to significant reductions in wasteful spending in a number of areas - much to the dismay of liberals on the prairie. The truth is that Mayor Young and the council didn't go far enough.
The BAC was new at the time of the last budget deliberations. (During Ron Case's first tenure on the city council and he fought hard against the formation of a citizen committee that has input with respect to budgetary decisions.) In 2008 and going forward, the BAC is much more versed in city spending and opportunities to control costs.
On the new EPTA website, they list city employees making over $75,000 per year. The salaries for these people are more than 11% of the total city budget!
Many will recall the TV and radio commercials the St. Paul Police Union ran this past summer. They had a little jingle about St. Paul cops leaving for more money in Eden Praire. It is not a myth that EP cops are the highest paid in the area. http://www.myfoxtwincities.com/myfox/pages/News/Detail?contentId=7232414...
The above link tells us that Eden Praire Police Officers with five or more years experience make 74K per year. They are not only at the top of the list, they make 25% more than some local agencies pay. (The EPTA only shows cops making more that 75K).
I would like to add the the list of P's (public safety, pipes, and parks) the word parity. Parity with respect to pay that is. I've used the issue of cops to illustrate that we are paying more than we need to, for necessary city positions. I hope that both the EPTA and the BAC examine the compensation of all city postions, to identify other overly compensated employees as well. It is obvious that Scott Neal has not been doing the necessary research prior to approving compensation levels.
Six years ago the city created the position of a full-time fire chief. It would be hard to argue that we didn't need this position, but at $110K per year it's a bit pricey. The city pays 78K per year for someone to oversee the three municipal liquor stores. That's right, we are paying someone to determine how much the city can jack up prices in it's liquor monopoly before residents are forced to drive to Chanhassen or Bloomington to make their purchases.
City Manager Scott Neal who worked at the small town of Northfield, MN before coming to Eden Prairie, makes 143K per year with his car allowance. Neal's assistant makes 82K a year. That's a pretty good wage for someone to make sure the boss has a full cup of coffee.
I have not read anything from the EPTA where they are challenging the city's 20-40-15 initiative. 20-40-15 gives real numbers to taxpayers as to when they should expect to get a return on their investment. That is rare for city hall, and it's certainly nothing we could expect from the school board. The EPTA was asking for an overall freeze in spending, they didn't suggest that every line item in the budget be locked in place.
As far as local home foreclosures are concerned - do you have any evidence that local property taxes are not a significant factor? If you examine most fixed mortgates, you''ll see that the property tax portion a house payment is the only thing that keeps growing.
I'm looking forward to seeing updates on the EPTA website in the months ahead, particularly the "Golden Fleece Awards." It is not "armchair quarterbacking" to question unecessary spending by the government. A spending-freeze plan should begin immediatley. There is fat at city hall that could be cut and projects that can be postponed or eliminated.
In 2009, I expect the Eden Prairie School Board to ask for tax increases as well. I'm confident that the EPTA will be watching closely.