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City Leaders Cancel Salaries
(ABC 6 NEWS) – The city of Wanamingo is dealing with a major funding shortage. Cuts to local government funding, a costly senior living facility and incorrect budgeting have put the city in the red. City officials are planning a big tax increase to offset the difference, but they're also making a gesture unheard of before in Minnesota.

The city of Wanamingo, Minnesota is so small, you can hear crickets next to main street at noon. But the well kept city of a little more than a thousand residents has a big problem, it's in debt.

"There just wasn't enough money to pay the bills. So I knew when all that took place it was a pretty dire situation," says Wanamingo City Administrator Michael Boulton.

As a result, the city council may approve as much as a 39 percent increase in property taxes. Needless to say that doesn't sit well with many locals.

"I might have to move. That's high. That's a lot of money," says Ardelle Revland.

But as a gesture that they're all in it together city councilors say they, along with the mayor, will likely forfeit their salaries for one year.
"We figured if we're going to raise taxes on people in town, we don't need to take our wages either, ya know what I mean," says City Councilman Ron Berg. "I think it sends the message that we're here to try and straighten out this situation."

At a grand total of $8,000, it's not much money. But it sits well with some tax payers.

"I think it's a reflection of the community. I think we're a pull together community," says Laurie Owen. "I think that all politicians could stand in form (sic) and use this as a model, ya know."

And city councilman Ryan Holmes says giving up their salaries is "the right thing to do," especially when a big tax increase is looming in the future.

"Nobody likes it. Who likes to get a tax increase? But it's either suck it up now and bite the bullet and hopefully we can bring it down after that or we're always going to be behind the 8 ball and trying to catch up."

The Wanamingo City Council will vote on the property tax increase in November. The city administrator says if it goes through, the city should be solvent in two years.