top of page

Tax Incremental Financing  (TIF)

Tax incremental financing (TIF) was introduced in California in the 80's during Ronald Reagan's tenure.  Federal funding to cities had been reduced and a mechanism of city subsidization of developers for blighted areas was introduced.

In essence, TIF is a Ponzi scheme,  paying today's real estate development costs with tomorrow's money.  The city of St. Paul has spent upwards of $1 billion in the last several decades subsidizing development projects throughout the metro area. With the approval of the mayor and city council alone (not the residents)  St Paul has doled out million dollar subsidies to developers (many out of state)  to begin developments downtown and in poorer areas of the city.  The calculation is that by bringing in new residential and commercial construction, the city will more than recover its subsidy and suspended taxes over a 20 to 30 year period.  In this time, the belief is that new residents and businesses in the TIF district will generate greatly increased value and tax revenue.  Thus the development  of a TIF district will lead to a net financial gain for the city.

However, during this 20 to 30 year period, the city collects no taxes from a TIF district, and costs for water, fire, police and other city services are passed on to home-owners in non-TIF districts.    Aggregately, the cost to property tax-payers of the TIF  regime in St. Paul is about a 16% increase in their property taxes.   Furthermore, many TIF districts fail, because developers overestimate the number of renters/ buyers moving in, and therefore cannot cover their costs.   The resulting abandonment of buildings in a TIF district, like downtown St Paul, and the costs of demolition are again passed on to property tax-payers.

Fairtax opposes TIF projects for several reasons:
1.  they are undemocratic, in that the public does not vote on them
2.  they are an unjust additional cost to property tax-payers and an enrichment of rich developers
3. they often fail, because developers overestimate and have little "skin in the game"
4.  they deprive the city of needed finances for maintenance of streets, lighting, public buildings, etc
 

Policing and ICE

St Paul policing follows a system of priorities:
1. crimes against law enforment
2. crimes against persons
3. crimes against property

The police response to any reported crime follows in order of  priority,  property crimes having the lowest priority.
Nonetheless, the police department keeps an extensive data base of recorded property crimes and known offenders in the community, in order to thoroughly investigate theft, shoplifting, vandalism, etc. 

A recent meeting with East district Commander Lynette Cherry revealed that the St Paul Police force is down about 60 police officers from a desired level of  610 in the city.  Commander Cherry suggested that since George Floyd there is less appetite for people to enter police academies, and that the numbers of those in training are down.  Budgetary considerations may play a role here as well, in that higher salaries and recruitment bonusses may draw in more trainees.  Fairtax believes that the 60 officer shortfall must be met in order to provide timely response for property crimes like vandalism , shoplifting and burglary.  This might involve rethinking the city budget, but citizens' security is well worth the effort.

A recent challenge to law enforcement in St Paul, (2025 - 2026)  is the surge of about 3,000 ICE  (Immigration and Customs Enforcement)  agents  in the metro area.   In past decades, ICE has operated strictly with judicial warrants for criminal suspects and illegral immigrants .  In conjuction with St Paul police, these warrants have been served, suspected persons apprehended and brought to immigration court for a fair trial

The current wave of ICE agents however is behaving in a recklessly and flagrantly criminal manner.   They violate 1st amendment rights by pepper-spraying and assaulting protesters,  4th amendment rights by arresting persons without a warrant,  14th amendment rights by denying arrested persons a fair trial before deportation,  and are committing many crimes against persons (assault, battery, kidnapping, breaking and entering,  murder).  

   Fairtax holds that the Supremacy clause of the Constitution does not apply to these ICE agents, because they are violating rather than upholding the U.S. Constitution.   As such, they are subject to Minnesota law for their crimes.

Fairtax insists that local law enforcement (city and county police) are authorized to arrest and charge ICE  agents, committing crimes against state law.    Currently, because of political considerations, this is not happening.   Fairtax asks that local law enforcement find more effective ways of protecting innocent, law-abiding persons from ICE criminality.  One proposal being put forward on a state level is a partnering law, which would require state or local police to partner federal agents 1 to 1, when federal agents operate in Minnestota.    This would ensure that federal agents are being closely monitored and required to produce judicial warrants for any arrests they make.   

Our tax dollars are paid with the expectation that police will keep us safe.   Whether the danger comes from street criminals or federal agents, a well-run city protects its citizens.

St Paul Public Works

St Paul Public works is responsible for snow-plowing, street maintenance,  street-lighting, bridges, and many other city structures.
 
Snow-plowing, for the last few decades, has been a challenge for St Paul, because of the philosophy of plowing used by Public Works. 

Unlike surrounding cities, St Paul has on-street parking during the winter, which impedes plows getting through.   Also,  sidestreets are only plowed the day after snowstorms, leading to rutted snow and ice forming. This becomes a permanent problem in below zero Minnesota winters.  

Fairtax has recommended one-sided parking on side streets, so that plows can get through immediately.  Also, side streets should be plowed simultaneously with arterial routes, as they are in surrounding cities. 

Fairtax has an interest in seeing enough of the city's tax base allocated to  Public Works so that plows and plowdrivers can be hired to meet St Paul's winter plowing needs.  Also Fairtax recommends that one-sided parking be instituted in the city, with exceptions for high-density population areas.

This may mean re-allocation of finances from other city programs, but winter travel safety comes first in a well-run city.
 

bottom of page