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I have served the City of Isanti as Mayor since 2007. We have accomplished great things together and I look forward to building on our success. United, we move forward to a better future. You may contact me at 763-442-8749 or e-mail me at george@georgewimmer.com.

Wednesday, October 18, 2006

How the Lack of Financial Planning Hurts Isanti

I want to touch on the 2007 street improvement project which came before the Council tonight. The 2007 street improvement project has raised concerns with me. In our previous conversation about this topic I stated I did not approve putting in sidewalk along the Elizabeth/Broadway corridor. This is a quiet low traffic area of town that does not need sidewalks that will destroy mature trees. $126,300 would be saved if the sidewalks were left out of this $2,109,125 project.

The City’s Finance Director stated if this total debt was incurred by the City, taxes would have to increase by 3.64% to cover the debt payment for this one project alone. Isanti’s excessive spending spree the last few years is finally coming home to roost. Mayor Apitz and Council Member’s Johnson and Larson voted to approve this spending without showing any cost offsets. We have to make choices of where to spend our City's limited resources. We can not simply increase taxes everytime the Council wants to spend money.

It was also stated tonight that Isanti will not be retiring any debt for years to come. This will mean that City debt will continue to grow as a portion of our budget. It is currently the second largest line item in the budget.

I hate to always have to say it but the lack of long range financial planning has put Isanti into a debt/tax spiral. The amount of debt incurred in the last few years makes virtually any new project impossible without significant tax increases. The increase in City spending by over 40% in the last two years alone must end.

If Mayor Apitz and Council Member Larson’s spending is allowed to continue taxes will increase dramatically. Council Member Larson’s own re-election campaign material states and I quote “We need to be realistic and understand that in order for our city to continue to be increasingly viable and economically sound that taxes will need to increase”. I could not disagree more.

The surest way to destroy industrial and commercial growth in our City is to raise taxes. High taxes and fees will scare away any potential business. Isanti needs to encourage healthy business growth to bring balance to our tax base and lower the burden on home owners.

We must also remember that property taxes are regressive. Poor and rich alike pay the same rate. Each property tax hike hurts a poorer home owner much more than higher income classes. In one action of a property tax hike the Mayor and Council Member Larson hurt future business growth and the poorest of Isanti home owners alike.

7 comments:

Anonymous said...

don't they know what happen to Cambridge in 1992? Is that their goal? To bankrupt the city? how do they keep their home together, the same way? do they keep raising their budget at home as well? our children will be in a world of hurt if something does'nt change now.

Anonymous said...

Hi George,

With this key election coming during the opening week of white tail deer season, could you post some information about absentee ballots? I would imagine that a good portion of the outdoorsman in the community will be taking time off and traveling that week.

Thank you!

Anonymous said...

High city taxes are one of the main reasons we didn't move our business into Isanti. It is also one of the reasons we are looking to move out of the city.

Anonymous said...

Wow! Someone that finally gets it!

I encourage everyone to seek out Council Member Larson and obtain a copy of her re-election flier and read the section under taxes. Mr. Wimmer quoted her flier verbatim.

The only refreshing point of all of this is that a tax and spend liberal actually was honest about her intentions instead of running as a conservative to get elected and then voting as a liberal.

Keep the spotlight on them George!

Anonymous said...

I'm glad you pointed out the quote from Larson's campaign propaganda. I'm actually glad I opened it up and read it, I was just going to toss it. A statement like that is almost funny if the results of thinking like that were not so damaging.

Not that I was going to vote Larson in the first place but that quote sealed the 'no' deal. I am still amazed someone would believe that.

I can't wait for election day.

Anonymous said...

How do they not get it. You would think after all this time they would listen to you. You have to win or we will really suffer like Cambridge and North Branch.

Anonymous said...

Go George Go keep up the great work. bring Isanti back to the citizens and away from the developers and their bought and paid for council members.