♪♪ >> ERIC: ON WEDNESDAY, THE ST. PAUL CITY COUNCIL APPROVED MAYOR CARTER'S BUDGET, INCLUDING A PROVISION THAT WOULD ERASE $100 MILLION IN MEDICAL DEBT FOR SOME ST. PAUL RESIDENTS.

FRED MELO IS BACK.

HE COVERS CITY HALL FOR THE ST. PAUL PIONEER PRESS AND HAS BEEN WATCHING THIS BUDGET CLOSELY.

3.7% SPENDING INCREASE, IS THAT THE NUMBER?

>> YEAH, THAT IS.

>> Eric: WASN'T IT 15% HIKE IN JUST A COUPLE YEARS AGO?

>> OH, YEAH.

THAT'S A WHOLE SAGA.

St. PAUL DID THIS THING WHERE IT SAID, HERE'S YOUR PROPERTY TAX, HERE'S A SEPARATE FEE FOR THINGS LIKE STOP SIGNS AND ALLEY REPAIR, WHETHER OR NOT YOU ACTUALLY GOT AN ALLEY REPAIR.

IT'S JUST KIND OF THIS BAKED-IN FEE BASED ON THERE FORMULA.

PEOPLE KEPT SUING, NONPROFITS SUED, EVERYBODY GOT THIS, IT WAS A WAY TO ASSESS THEM AND THE COURT SAID FOLD THAT INTO PROPERTY TAXES.

>> Eric: SO THE MILLION DOLLARS IS GOING TO PAY PENNIES ON THE DOLLAR OR MEDICAL DEBT FOR FOLKS.

IS THAT A LITTLE MISSION CREEP?

>> THIS WAS A 4-3 VOTE, THERE WAS A MEMBER TO PUT THIS ON PAUSE AND REVISITS IT NEXT YEAR, AND THAT FAILED 4-3.

SO ALMOST HALF THE COUNCIL SAID, YES, THAT'S MISSION CREEP.

THE OTHER FOUR MEMBERS SAID, LOOK, THIS IS GOING TO HELP 43,000 OUT OF 300,000 RESIDENTS SO CERTAINLY THIS IS A CITY ISSUE.

PRETTY ALMOST UNIVERSAL, NOT UNIVERSAL BUT CERTAINLY WIDESPREAD.

MEDICAL DEBT IS, I THINK, JOE BIDEN'S TALKING ABOUT IT, THE PRESIDENT OF THE UNITED STATES.

IT AFFECTS OTHER-JUST ABOUT EVERYTHING WE DO.

>> Cathy: THIS HAS BEEN DONE IN OTHER CITIES, LIKE LIKE TOLEDO AND CHICAGO -- >> I THINK COOK COUNTIES, ILL KNOW, DID A BIG INITIATIVE.

IT'S CERTAINLY A GROWING EFFORT.

>> Eric: THE SALES TAX THAT WAS VOTED UPON BY THE VOTERS, WHEN DOES THAT KICK IN?

>> IN APRIL.

>> Eric: THAT WILL BE USED FOR WHAT?

>> ABOUT THREE-FOURTHS OF THAT WILL BE USED FOR ROADS, SO NO SECRETS, WE NEED TO FILL SOME POTHOLES.

IT'S FOR THE ARTERIAL STREETS, AND THE FOURTH WILL BE FOR OUR PARKS PROJECTS.

>> Cathy: DOES THIS BUDGETS INCLUDE RAISES FOR FIREFIGHTERS WHO WERE KIND OF UPSET WITH THE MAYOR, ARE THEY GOING TO GET SOME ONEY?

>> YEAH, THAT WENT TO ARBITRATION SO I THINK THE CITY WAS OFFERING 9%, THE FIREFIGHTERS WANT 15%, THE ARBITRATOR LANDED AT 11 SO IN THE MIDDLE.

AND ALSO SOME MORE POSITIONS WITHIN THE FIRE DEPARTMENTS.

>> Eric: THE CITY GOT, I THINK, 13 MILLION SOMETHING FOR PUBLIC SAFETY.

>> ABSOLUTELY.

>> Eric: HOW IS THAT BEING USED?

>> A VARIETY OF WAYS THE CITY HAS A PROGRAM WITH RAMSEY COUNTY TO REALLY INTERVENE WHEN SOMEONE'S BEEN A VICTIM OF A GUN SHOT.

THEY FIND THAT A LOT OF GUN VIOLENCE IS ACTUALLY RETALIATORY AND WE'RE SEEING IN SOME CASES PEOPLE WHO JUST HAPPEN TO E THERE, INNOCENT BY STANDER, INJURED, KILLED BY RETALIATION STRIKES.

SO IF YOU CAN FIND THAT PERSON WHO'S BEEN INJURED AND SAY, LOOK, RETALIATION IS NOT THE WAY TO DO THIS, ND INTERVENE EARLY ON, MAYBE THAT WILL CUT DOWN ON GUN CRIMES.

>> Cathy: ANYTHING OF COURSE IN BUDGETS IS ALWAYS KIND OF SOME ODDS OWED THINGS THAT POP UP.

ANYTHING THAT YOU SAW IN THERE THAT YOU WENT, WOW, THAT WAS DIFFERENT?

>> YEAH, A COUPLE THINGS.

THE MILLION DOLLARS FOR MEDICAL DEBT RELIEF WAS DIFFERENT.

>> Cathy: A BIG ONE.

>> AND A LOT OF PEOPLE CONFUSED ABOUT IT BUT, NO, I THINK WE WERE SEEING KIND OF A BUDGET THAT REFLECTS A LOT OF PENT-UP DEMAND.

THERE'S ABOUT 80 POSITIONS BEING ADDED ACROSS CITY DEPARTMENTS, A LOT OF THAT'S FUNDED WITH AMERICAN RESCUE PLAN DOLLARS WHICH AREN'T GOING TO LAST FOREVER.

SO THAT WILL CONTINUE THROUGH 2026 AND THEN WE'LL SEE BEYOND THERE.

>> Eric: THE NEW COUNCIL INHERITS THE BUDGET.

WHAT DO THEY SAY?

>> THERE'S SEVEN MEMBERS AND FOUR OF THEM WILL BE BRAND-NEW SO THERE'S GOING TO BE SOME INTERESTING DISCUSSIONS MOVING FORWARD.

>> Eric: DO YOU THINK IT'S -- IS THE NEW COUNCIL MORE PROGRESSIVE OR IS THAT HARD TO SAY?

>> I WOULD SAY IT'S A LITTLE BIT TO THE LEFT OF THE EXISTING COUNCIL, ESPECIALLY ON THE RENTS LIKE RENT CONTROL.

YOU SAW A NUMBER OF PEOPLE WHO WERE NOT HAPPY WITH THE CURRENT COUNCIL OFFERING EXEMPTIONS FOR DEVELOPERS, 20-YEAR EXEMPTIONS FOR NEW CONSTRUCTION AND SOME FOLKS WHO AID, HEY, THERE'S TOO MANY CHANGES GOING ON WITH RENTS CONTROL, LET'S WAIT, GET SOME DATA.

BUT THERE'S GOING TO BE A HEALTHY DISCUSSION OVER THINGS LIKE MUNICIPAL CHILD CARE SUBSIDIES.

THAT'S GOING TO BE ON THE BALLOT A YEAR FROM NOW AND I'M SEEING ALL KINDS OF DIFFERENT REACTIONS TO RAISING PROPERTY TAXES FOR THAT.

>> Eric: YOU'LL BE BUSY.

>> I THINK SO.

>>