Editorial: Change the fiscal calendars in Minn.
Published 8:43 am Tuesday, May 12, 2009
Minnesota needs to change its fiscal calendars.
Right now, cities and counties are in fiscal year 2009 and waiting for the Minnesota Legislature to determine its budget to see how it will impact this budget.
Budgets are created to control spending and forecast revenue. But to determine some of the largest factors during an active, open budget is simply risky.
South of the border, in Iowa, cities and counties were waiting on the Iowa Legislature to determine its budget to see how it will impact their next fiscal year — not this one.
All cities and counties in Iowa begin their fiscal year on July 1. So do schools and the state.
Presently, they know their funding streams for fiscal year 2008, which ends June 30. And before they begin fiscal year 2009, beginning July 1, the big state-funding question is already answered. In Iowa they are on the same sheet of music. (Iowa lawmakers passed a $6.3 billion budget last week.)
In Minnesota, the state fiscal year starts July 1 and so do the schools. However, cities and counties start Jan. 1. They get to have a big bomb drop in the middle of their actual budgets.
Wouldn’t it make fiduciary sense to get all levels of government in the state on the same fiscal year?
Yes, it is a good idea. Will it get done? Perhaps in Minnesota we are just too hard-headed to do things the simple way.