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ExecutiveSummary:StudyoftheMetropolitanAreaFiscalDisparitiesProgram <br />FortheMinnesotaDepartmentofRevenue <br />Withalljurisdictionscombined,allsinglefamilyresidentialprototypesproducenetdeficits, <br />exceptforsinglefamilydetachedunitsofhighervalueunderthecurrenttaxingsystem. <br />Multifamily(condohomestead)unitsgeneratethesmallestoverallnetdeficitduetoasmaller <br />relativehouseholdsizeandnumberofstudentsperunit. <br />Forresidentialdevelopment,overallfiscalresultsareessentiallythesame(i.e.,netdeficits) <br />underthecurrentŒޓÞz·wFiscal5z­¦©z·z;­““7withoutit.Themagnitudeofthenetdeficits <br />isgreaterassumingeliminationoftheprogramduetoalowerpropertytaxrateinthisnet <br />contributorcity.Theexceptionisasinglefamilyunitofhighervalue,whichswitchesfromanet <br />itunderthescenarioeliminatingtheprogramduetolowerpropertytaxes. <br />surplustoanetdefic <br />Allnonresidentiallanduseprototypesproducenetsurplusesintotal,withtheexceptionof <br />institutionaluses.Thecombinedresultisthattheredoesnotappeartobean{šÝ;©,Ò©7;“|in <br />totaltoserv <br />etheseprototypelanduses.Resultsvarybyjurisdictionlevelwithretailasan <br />overburdentothecity,butnottheotherlevelsofgovernment.Allothernonresidential <br />prototypelandusescovertheirrespectivecosts. <br />TheresultsarebetterpernonresidentialprototypewithouttheFiscalDisparitiesprogram <br />becausemoredirectrevenueisallocatedtotheselanduses,evenwiththeloweredtaxrate. <br />Andasdiscussedabove,resultsvarybyjurisdictionlevelwhereserviceimpactsareexperienced, <br />specificallyforretaillanduses.Atthecitylevel,retailstillgeneratesanetdeficit(an <br />|œevenwitheliminationoftheprogram. <br />{šÝ;©,Ò©7;“ <br />31 <br /> <br />