Budget Committee Meeting Summary

Meeting Information

• Date: November 12, 2024
• Title: Budget Committee Regular Meeting
• Present: Elliot Payne, Robin Wonsley, Michael Rainville, LaTrisha Vetaw, Jamal Osman, Katie Cashman, Andrea Jenkins, Jason Chavez, Aisha Chughtai (Chair), Emily Koski (Vice Chair), Aurin Chowdhury, Linea Palmisano
• Absent: Jeremiah Ellison
• Guests: Brenda Miller (Human Resources), Casey Karl (City Clerk)
• Votes: 4 (all voice votes)

Highlights

• Second of three public hearings on Mayor Frey’s recommended 2025 city budget of $1.88 billion
• Proposal to establish a Labor Standards Board received significant public comment both for and against
• Approval of 4% salary increase for appointed and non-represented employees
• Creation of two new appointed positions in City Clerk’s office

Discussion

2025 Budget Public Hearing

The committee held the second of three mandatory public hearings on Mayor Frey’s recommended 2025 budget. The proposed budget totals $1.88 billion, representing a 2.86% increase from 2024, with an 8.1% property tax levy increase. The Board of Estimate and Taxation has authorized up to an 8.3% levy increase to provide additional funding for Minneapolis Parks and Recreation Board programs.

Labor Standards Board Debate

A significant portion of public comment focused on the proposed Labor Standards Board, with strong opinions both for and against. Business owners, particularly from the restaurant industry, expressed concerns about lack of clarity on funding and potential negative impacts on already struggling businesses. Labor advocates and workers supported the board as necessary protection against wage theft and workplace violations. No vote was taken as this was a hearing.

Quote from business owner Patricia Wall: “Instead of more bad policy and more regulations, what we should be talking about is the fact Minneapolis wants and needs thriving business, more jobs, and better public safety… Stop vilifying businesses and landlords. Most of us are just families trying to make a living, provide jobs to good people, and make Minneapolis a better place to live.”

Personnel Actions

The committee approved a 4% salary increase for approximately 650 appointed, non-represented and politically appointed employees, effective December 29, 2024. Total cost is $2.7 million. The committee also approved creation of two new appointed positions in the City Clerk’s office - Chief Assistant City Clerk (Grade 16, $160,000-$190,000) and Director of Administration (Grade 15, $148,000-$176,000). Both passed unanimously by voice vote.

Public Comments

Public comments focused on several major themes:

Labor Rights & Worker Protection:

• Multiple restaurant workers shared experiences of wage theft and workplace abuse
• ROCK Minnesota representatives highlighted importance of co-enforcement program
• Several workers spoke in favor of Labor Standards Board

Business Community Concerns:

• Multiple small business owners opposed Labor Standards Board creation
• Restaurant owners cited rising costs, safety concerns, and regulatory burden
• East African business owners requested more support for Lake Street recovery

Housing & Homelessness:

• Multiple speakers supported funding for affordable housing programs
• Several advocated for study of social housing models
• Concerns raised about homeless encampments and public safety

Cultural & Community Support:

• Latino community members requested support for Latino Center for Community Engagement
• Multiple speakers requested support for immigrant services
• East African community members requested inclusion in cultural corridor planning

Senior Services:

• Multiple seniors advocated for continued funding of transportation and navigator programs
• Concerns raised about ability to age in place
• Requests for continued support of Minneapolis Advisory Council on Aging programs