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The recently ended state legislative session has some impact on West St. Paul with money for local projects, flexibility for ISD 197 funds, and more. With an evenly divided state House and a narrow margin for the DFL in the state Senate, legislative accomplishment required bipartisan cooperation this session. It did happen, though it came at the last minute, with a number of bills crossing the finish line on the final day of the session.
Local Money
The legislature did pass a $1.2 billion bonding bill to cover a range of projects throughout the state, including roads, sewers, parks, and more.
- 150 Thompson: West St. Paul will get $1 million for the city’s park project as part of the 150 Thompson redevelopment.
- Thompson Park: Previously, the legislature gave Dakota County $2 million for project planning and design at Thompson Park. The county was efficient and only used $700,000, and this year they convinced the state to reappropriate the remaining $1.3 million for improvements at Thompson Park. This will include improvements at the Dakota Lodge, accessibility upgrades to the trail system, and a new natural play area.
- Heroes & Heritage Trail: Dakota County also received $300,000 for a 23-mile interpretive trail loop that connects West St. Paul, South St. Paul, and Inver Grove Heights with historical waysides and signage. This is not a new trail, but creates a loop out of existing trails.
- “The plan is to place interpretive signs and related features along existing trails, parks, and public spaces, helping tell some of northern Dakota County’s most interesting and important stories in the places where they happened,” said Dakota County Commissioner Joe Atkins. “Potential stories include everything from river history and stockyards history to immigrant communities, public schools, local government, and notable public safety stories.”
Education
The legislature made several moves on the education front that will impact ISD 197:
- Flexibility in funding: The biggest is giving the district the ability to shift $4.5 million in construction funding to a different fund where it can be used on other qualifying expenses. This is money saved from a recent project that came in under budget and not new money for the district. But the flexibility helps the district address their funding gaps in the coming years, helping avoid future cuts and rebuild their fund balance.
- Constitutional amendment: The legislature also passed a constitutional amendment that will go to voters in the fall. If approved, it will make changes to the Minnesota Permanent School Fund so investment proceeds can be distributed to school districts. It’s a way to increase education funding without raising taxes, though it won’t have a huge impact. The distribution is per student and ISD 197 expects to get about $200,000 per year.
Other Items
The legislature passed a flurry of bills at the end of the session, several of which could have local impacts, including:
- Property taxes: A 15% increase to the homestead tax credit for homeowners who qualify.
- License tab fees: A one-year decrease in fees, saving about $72 for a $25,000 vehicle.
- IT upgrades: Dakota County will benefit from upgrades to 35-year-old software that caused delays and increased the chances of errors.
- Fraud: The legislature set up an Inspector General’s Office to combat fraud and make a number of other changes to address loopholes and other issues.
- Prediction markets: The legislature passed a ban on prediction markets like Kalshi and Polymarket, triggering an immediate lawsuit from the Trump administration. The markets work similar to commodities markets hedging future losses, but the result is betting on all manner of things and allegations of insider trading. State Senator Matt Klein drew criticism and a paid a fine earlier this spring for making a wager on his own campaign while trying out Polymarket.
- Rental assistance: $40 million in rental assistance as part of a housing bill.
- School bus safety: New legislation clarified that vehicles must stop whenever a school bus’ red lights are flashing, even if the stop arm is not extended.
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