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Tipsheet

Nearly 100 Minnesota Mayors Blast Tim Walz for 'Fraud, Unchecked Spending'

Nearly 100 Minnesota Mayors Blast Tim Walz for 'Fraud, Unchecked Spending'
AP Photo/Jae C. Hong

A group of nearly 100 Minnesota mayors sent a damning letter to Governor Tim Walz and the state legislature, raising alarm about what they describe as the state’s troubling “fiscal direction.” They argue that “fraud, unchecked spending, and inconsistent fiscal management” in the capital have made it far more difficult for local governments to govern responsibly, forcing cities to overburden residents with higher taxes, stretch already thin municipal resources, and neglect basic services that local governments are best equipped to provide.

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"As mayors representing cities of every size across the State of Minnesota, we are on the front lines of delivering essential services, maintaining public safety, and ensuring that our communities remain places where families and businesses can thrive," the letter begins. "It is from this position of direct responsibility that we write to express deep concern—and growing frustration—about the fiscal direction of the state and its increasing impact on our cities and the residents we serve."

"Fraud, unchecked spending, and inconsistent fiscal management in St. Paul have trickled down to our cities—reducing our capacity to plan responsibly, maintain infrastructure, hire and retain employees, and sustain core services without overburdening local taxpayers," the letter continues.

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MINNESOTA TIM WALZ

They went on to make a case rooted in a deeply American principle: that local governments, being situated closest to the people they serve, must be empowered to govern effectively, rather than being weighed down by unfunded mandates and burdensome state laws.

As mayors, we are committed to responsible budgeting, fiscal restraint, and delivering high-quality local services. Yet there is a growing disconnect between state-level fiscal decisions and the strain they place on the cities we lead. When the state expands programs or shifts responsibilities without stable funding, it is our residents—families, seniors, businesses, and workers—who ultimately bear the cost.

Cities are the level of government closest to the people, responding when snowplows don’t arrive, when streetlights or water mains fail, when businesses need permitting help, or when seniors seek support. Every unfunded mandate or cost shift forces us into difficult choices: raise taxes, cut services, delay infrastructure, or stretch thin city staff even further. This strain now extends to the very core of community safety—our police officers and firefighters. They are the frontline protection for our residents, yet rising levies and state-imposed costs are making it increasingly difficult for cities to investin the additional public safety staff our communities genuinely need to stay safe.

"We, as mayors, can only support our cities for so long before the heavy hand of state mandates and financial pressure demands more than our communities can provide...Our state owes it to our citizens to practice responsible fiscal management and to stop taxing our families, seniors, and businesses out of Minnesota. We urge the Legislature to course-correct and to remember that every dollar you manage belongs not to the Capitol, but to the people of Minnesota."

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This comes shortly after a $9 billion fraud scandal made national headlines, where mostly Somali fraudsters in Minneapolis siphoned funds from COVID-era welfare programs and Medicaid to use on personal luxuries. Some of that money also made its way to the Somali terrorist organization, al-Shabaab. 

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