Bill Would Replace and Expand Upon Local Performance Aid Program

February 22, 2022

The new Stronger Community Aid program would encourage cities and counties to review municipal services with the goal of increasing efficiency and effectiveness.

Rep. Paul Marquart (DFL-Dilworth) has introduced a bill, HF 2928, that would repeal the existing Local Performance Aid program (Minnesota Statutes, section 6.91) and create a new Stronger Community Aid program.

The goal of the program would continue to be to encourage cities and counties to voluntarily develop performance measurement programs for municipal services.

The bill will be heard in the House Property Tax Division on Feb. 23.

Requirements of the program

Local governments that choose to participate would be required to identify 10 performance measures as prescribed by the Office of the State Auditor. The bill does not indicate specific performance measures.

Participating jurisdictions would be required to hold an initial citizen performance measure and budget workshop between June 15 and August 15 each year to review and report on performance measures. They would also be required to discuss the performance measures, strategies, and related outcomes when setting the preliminary budget and when adopting the final budget.

Aid to participants

The state would provide aid to each participating entity as follows:

  • For counties under 10,001 population: $10 per capita but not less than $50,000.
  • For counties greater than 10,000 population: $100,000 plus $2 per capita for the population over 10,000 with a maximum of $250,000.
  • For cities under 2,001 population: $20 per capita.
  • For cities over 2,000 population: $40,000 plus $2 per capita for the population over 2,000 with a maximum of $250,000.

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