The city of St. Paul cannot implement the child care subsidy program if voters approve it, the mayor says

ST. PAUL, Minn. – St. Paul Mayor Melvin Carter said city staff cannot implement a child care subsidy program supported by a property tax levy If voters approve this fall, This underscores a conflict between him and members of the City Council that has been brewing over the past year.

The new special tax levy would raise $2 million in the first year and increase to $20 million by the tenth year of implementation, for a total investment of $110 million over a decade.

Advocates believe it’s a step in the right direction to find solutions to a persistent problem facing young families. Critics like Carter believe the plan promises more but will underdeliver.

The funding would support a “last dollar” early childhood learning program that would close the gap left after state or federal child care subsidies are taken into account, but would only support about 150 families in the first year, according to a forecast compiled by a consultant for the program . As of last year, more than 4,000 children would benefit from the program annually.

In a letter to the City Council late last week, Carter underscored his concerns, arguing that the ballot measure’s language was misleading because it suggested that all low-income children would benefit, even though only a fraction of them would.

He also said that the city does not have the staff or infrastructure to implement such a program and that the city council cannot force the administration to implement the program – or manage it itself.

“My government must respectfully decline to propose, plan, staff and/or implement programs consistent with the outcome of this referendum,” he wrote.

In an interview with WCCO, he reiterated that he doesn’t believe the city can implement the plan.

“It’s just not possible,” Carter said of the proposal in an interview with WCCO. “So it’s not a promise that we can – with any integrity – look our voters in the eye and tell them it’s possible to keep.”

Council member Rebecca Noecker, one of the proposal’s sponsors, dismissed Carter’s claims that the wording was misleading, saying she regularly speaks to voters about the issue and they understand what it is intended to do.

“There’s real discord when the mayor says voters don’t understand what’s at stake and says he’s not going to follow the will of the voters,” she told WCCO.

She said the implementation plan recently approved by council would allocate a portion of levy revenue to support new staff to manage the program if voters approve it.

For the average home price of $275,300, the proposal would mean a tax increase of $15.91 per household in 2025, reaching about $160 per year ten years later, according to the final draft program proposal filed last month discussed at a city council meeting.

This particular approach hasn’t been tested in Minnesota, but Noecker said other cities across the country have tried it and found success. Up north in Warren, Residents voted to increase the sales tax to expand a daycare center in the rural town to offer families more daycare places.

She argues that while the proposal may not help every child in St. Paul, the program is worth trying to ease the financial burden for some.

“It’s a very strange argument that we shouldn’t do anything because we can’t do everything for all children and all families,” she said. “This is not a standard that we apply to a public program. The truth is that there is no public program that fully meets the need.”

Thousands of people voted in November’s election three weeks before Election Day. Nate Tlougan, a father of two and one other child, said he is one of them and supports the ballot measure even though his own family doesn’t qualify.

He said child care will soon cost more than his mortgage.

“I think it’s cool to pay it forward because I know how important it is [child care] is,” he said. “Again, we know we can afford it – but it’s super important for those who can’t.”

Maya Madison isn’t convinced by the idea. She is a nanny and understands the high cost of good child care, but doesn’t know if a new levy is the right approach.

“My sister and I are both single and have no children. Because of how I live now and what I earn, I feel the pressure of taxes and expenses,” she explained.

The full text of the ballot question is listed below:

SHOULD THE CITY RAISE TAXES TO PROVIDE LEADERSHIP FUNDS?

It’s about creating a special fund for early care and education for children, managed by a department or office of the city, that provides grants to families and providers so that early care and education is free and on a sliding scale for low-income families To increase the number of child care spaces and support the child care workforce, the City of Saint Paul is authorized to levy property taxes of $2,000,000 in the first year, increasing by the same amount each subsequent year for the next nine years ($4,000,000 in property taxes collected in the second year, $6,000,000 in the third year, $8,000,000 in the fourth year, etc., to $20,000,000 in property taxes in the tenth year be collected)