Dean Hove: Low Taxes and Wise Spending
When I first ran to represent you on our City Council back in 2002, I proposed long-term financial planning as a path to prosperity for Red Wing. Implementation has been a huge "WIN" for Red Wing taxpayers. Careful Spending has kept your property tax rate about the same as in 2002. Adjusted for inflation, you have paid about 1% less each of the 15 years Ive been serving you, a 15% tax cut. In 2018, homeowners were levied $742, 223.00 less than in 2002.
In the 1970s, city leaders allowed a nuclear power plant near our families because there was a huge financial benefit. Xcel once paid 70% of local taxes - that dwindled to as low as 32%. Small recent increases, combined with Xcels increased value, have brought that up to 55%. Since Xcel pays a higher rate, a little more from you, means a lot more from them, and also increases the percentage of overall taxes Xcel covers for us, which actually lowers the tax bill for homeowners and local business. For example, 2018s 2.5% tax rate increase, adjusted for inflation, was actually less than half of one percent for homeowners and less than one percent for local business. I am supporting even lower taxes next year.
I understand how easy it is to come to the wrong conclusion. Our new infrastructure and new public safety building costs, combined with new revenue from Xcel and our booming local economy, have pushed the levy numbers up, but those numbers do not correspond to an equally large tax increase. Your taxes remain low. In fact, millions in new income from Xcel are paying to rebuild our century-old infrastructure, and to build our new public safety building.
Wise planning has saved you money. When we began our infrastructure rebuild, Red Wing was debt free. Interest rates were historically low (1.3%) and project costs were going up at a much higher rate, so we bonded with a specific plan to save taxpayers money. Each bond is paid in 10 years (the first one is about 50% paid already), with the vast majority covered by taxes collected from Xcel. Maximizing todays benefit from Xcel is part of our long-range thinking that includes the eventual closure of the nuclear plant. The improvements will last for generations - are nearly free to todays residents - and no costs will be passed to our children.
My website: DeanHove.com has a summary of your taxes the past 15 years. Click, Your Taxes are Going Down at the top.
I will continue to keep your taxes low and spend your money wisely. Call me at home: 388-1072,or email me: email@example.com. Im always here to help.
If you live in Wards 1 & 2, I need your vote in the Primary Election on Tuesday, August 14th to be on the November ballot. If I'm re-elected, I will keep us on our prosperous path.
This is a paid endorsement letter to the editor.