Fiscal cliff: Local governments brace for higher project costs

Author:
Updated:
Original:

As leaders in Washington huddle Friday with one last shot at pulling the nation back from the fiscal cliff, Finance and Commerce examined one of many of the net effects of it: higher local costs to build roads, bridges and schools.

If the nation tumbles off the cliff, ultimately, local governments likely would be forced to pay higher interest rates to attract investors, the publication reports.

St. Louis Park’s City Controller Brian Swanson told the publication the city isn’t planning new debt issues soon, but when it does, the debt costs will be higher. “Obviously interest rates will increase, and that means our taxpayers pay a little more out of their pockets,” Swanson said.

Next Up

aircraft-2385194_1280

Pair escape uninjured as plane crashes moments after takeoff

It crashed about a half mile southwest of Faribault Airport.

Screen Shot 2021-04-22 at 4.12.50 PM

For The Week: Making cocktails at home? Here's how to do it right

Lindsay Guentzel's For The Week column features simple food and drink tips.

coronavirus, covid-19

Mayo Clinic study provides 'best guess' about pandemic's future in MN

Minnesota could be seeing decreasing numbers into the summer if the study is correct.

daunte wright funeral - siblings

Mourners remember Daunte Wright, plead for justice

Wright was killed by a now-former Brooklyn Center police officer on April 11.

covid

HealthPartners: COVID hospitalizations driven by unvaccinated, middle aged adults

The health provider says the average age of its hospitalized patients is trending downwards.

Andrew Thomas booking photo

Man suspected of shooting at National Guard in Minneapolis faces more charges

He has now been charged in Hennepin County District Court with more serious crimes.

wetlands

Investigation finds EPA mishandled oversight for PolyMet mine permits

A new report found the EPA didn't follow its own procedures when it submitted comments on the proposed project.

baseball

MDH's new COVID guidance urges weekly testing for those involved in sports

Those not involved in school sports are still advised to get tested every two weeks.

Trey Lance

With loaded QB draft class, now is the time for Vikings to act

With a strong class, this year might be the time to select Kirk Cousins' successor.

Related

Two themes in 2011: Higher property taxes, fewer jobs in local government

Minnesota Public Radio takes a look back at the year and finds two trends in how communities across the state are wrestling with budgets. Property taxes, which have been rising for more than a decade, continue to go up as local governments try to make up for losses in state aid. Many municipalities are also cutting into their own budgets and payrolls to find savings on the other end.