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Minneapolis News
Cari Spencer

Frey issues another veto, rejecting council decision to deny raises for high paid city staff

A man speaks into a mic
Mayor Jacob Frey speaks about how his identity as a Jewish Minnesotan informs his opinion on the wording of the proposed cease-fire resolution during a Minneapolis City Council meeting on Jan. 25.
Ben Hovland | MPR News

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Hours after the Minneapolis City Council overturned Mayor Jacob Frey’s veto of the budget on Thursday, the mayor issued another veto — his third of the month. This time, he objected to the council’s decision to withhold cost of living raises for about 160 city employees. The appointed employees are among the highest paid workers on the city’s payroll.

The council had denied the raises in order to save $1 million and help bring down the property tax levy increase.

“I cannot endorse a council action that willfully disrespects and undermines the work of 163 dedicated public servants,” Frey wrote in his veto letter received by the City Clerk at 4:26 pm. 

Frey listed several objections, including his concern that denying these raises could discourage other qualified people from working in the public sector.

“By withholding cost of living adjustments, prospective employees will be less inclined to work for the city,” he said.

Council members who supported the move said reducing the levy increase was a top priority. The mayor had initially proposed an 8.1 percent property tax levy increase in August, which council members shaved down with a series of amendments — including by delaying the implementation of technology programming.

“In Minneapolis, the median household income is $81,000. In a year where residents will be paying increased property taxes, and making daily sacrifices in their personal budgets, they should be able to expect the same from the city enterprise,” said Council Vice President Aisha Chughtai, who also chairs the budget committee, on the day the council voted on the measure.

The day before the markup process began, Frey sent a letter to the council in which he said he would further reduce the levy if the council would agree to withdraw a number of proposed amendments, which he said directed funds toward unvetted short-term programs and “pet projects.”

Council members have repeatedly pushed back against that term, arguing those projects were re-prioritizing the budget in order to meet residents’ unmet needs.

This is the eighth veto the mayor has issued this year and the third this month.

City Clerk Casey Carl says the council will hold an override vote at the next meeting scheduled in January. He said the taxy levy has already been set, with the mayor’s approval, and the money for the raises has already been reallocated as part of the adopted 2025 budget.