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i <br /> LPA9 A' continued from page 1 <br /> April 15, 1996 <br /> be annually inflated by the price of <br /> government inflation index that is Mc Gary Carlson f <br /> currently used for the local government League of Minnesota Cities <br /> aid distribution. 145 University Avenue West ; <br /> Local performance aid is funded St. Paul, MN 55103 <br /> by reducing each city and county's Dear Mr. Carlson: <br /> HACA by $1 per capita and adding an <br /> additional $1 million of state resources ...As the chief author of the "Local Performance Aid" provisions of this year's <br /> to the overall pool. Combined, these omnibus tax bill (H.F. 2102, Article 3, Secs. 48 and 49),1 want to be clear that my <br /> two performance aid revenue sources intent is that every city and every county qualify jor performance aid for calendar year <br /> will generate approximately $4.1 1997. The threshold to qualify is very low: "affirm that it is in the process of develop - <br /> million to fund the program for cities. ing and implementing a system of performance measures." <br /> Each qualifying city will receive a per <br /> capita LPA distribution based on the So long as a city council or a county board has this as an item on the agenda prior to <br /> total available city LPA resources June 30,1 996, that city or county will qualify for performance aid. In fact, any city or <br /> divided by the total population of all county that presently tracks "workload input... has already begun the process of <br /> developing and implementing performance measures. In others words, ifa city or <br /> qualifying cities. county tracks the number of employee hours worked, number of applications pro- <br /> cessed, tons of garbage collected, number of police arrests, etc., that city or county <br /> The future of LPA qualifies... <br /> Representative Dawkins hopes to <br /> the local performance aid However, I also want to be clear that my intent is that cities and counties will make a <br /> gn .expand next legislative session. I n good faith effort over the course of the next year to move beyond simple workload <br /> tt ne- measurement and get to the next levels of performance measurement in due course... <br /> discussions with the League session. <br /> of <br /> sota Cities, he indicated that he would As you know, the final report of the Local Government Aid Distribution and Govern - <br /> like to increase the funding for the ment Service Delivery Subcommittee included an Appendix C which had examples <br /> program by $200 million which reflects from Minnesota cities and counties that already have performance measurement in <br /> the current of excess of property tax place. Please have your jurisdictions refer to that appendix for examples of what the <br /> collections over income taxes. Accord- legislature is expecting. <br /> ing to Representative Dawkins, adding <br /> new resources to the performance aid Finally, as 1 also explained our meeting, it is my o to reconvene the Local <br /> program will be tied to more stringent Government Aid Subcommittee e prior the start of f the the next legislative perform to <br /> eligibility criteria for local units of determine what will be in the 1999 7 tax bill regarding standards for focal performance <br /> aid and that it is my hope that the 1997 legislature will appropriate $200 million for <br /> government. Rather than simply the next round of performance aid, but this will only happen if cities and counties make <br /> gathering workload measures, local a good faith effort to meet the legislative intent contained in the 1996 tax boll and this <br /> units may be required to begin examin- letter. <br /> ing efficiency and effectiveness of the <br /> services provided to their local resi- Please call me with any questions you might have, and I thank you for your coopera- <br /> dents. Of course, details of these future tion in disseminating this letter, <br /> requirements have yet to be fully <br /> developed. Sincerely, <br /> Andy Dawkins <br /> If you have any questions about State Representative <br /> local performance aid, please contact <br /> Gary Carlson at the League of Minne- <br /> sota Cities or the property tax division <br /> of the Minnesota Department of <br /> Revenue. jr <br /> Unrtn A LMC Cities Bulletin <br />