Early Childhood

St. Paul’s proposed tax hike to fund child care: 5 questions, answered

Pillars Child Care
A staff member leads children down a hallway at Pillars Child Care in Minneapolis on Aug. 27.
Tim Evans for MPR News

A St. Paul ballot question next month asks voters if they will authorize the city to levy property taxes to fund child care for low income families up to $20 million over 10 years. But Mayor Melvin Carter says he won’t implement the tax hike even if voters approve it.

Here’s what to know about the plan and its possible future.

1) What would the proposal do?

Supporters say it will raise taxes incrementally by $2 million over 10 years, totaling $20 million. It’s intended to cover the cost of child care from birth to age 5 for families who earning less than about $55,000 a year. That represents more than half of the city’s children. The St. Paul City Council approved the ballot question last year. 

2) What’s Mayor Carter’s problem with it?

He says the math doesn’t add up.

While he applauds the City Council’s efforts to fund early care and education, increase the number of child care slots and support the child care workforce, Carter says that’ll cost a lot more than $20 million.

A city fiscal analysis ordered by the mayor earlier this year concluded that St. Paul would need around $110 million to make those promises come true. Carter said he doesn’t think voters realize that.

He vetoed the plan but the City Council overrode him.

“The question that’s on the ballot this year cannot deliver the policy that it promises,” Carter told reporters recently. “And yes, I think that bringing forward a self contradictory ballot question does make a mockery of the referendum process, which is why I vetoed it in the first place.”

In a recent letter to council members, Carter said he won’t “plan, staff or implement” any programming having to do with this referendum. 

He says no matter what, the city won’t deliver on all the promises in the ballot question.

3) How have supporters responded?

Rebecca Noecker, the Ward 2 council member who’s led the charge on the child care funding proposal, calls it an investment in the future of the city and something voters want despite the mayor’s criticism.

While will not cover the need for all families, she says voters know that and will still understand its importance.

“That’s not a reason to not to do anything,” she said. “You know, we always invest in public programs, knowing there won’t be enough money to cover the full need, but we know we need to start somewhere.”

4) Can the mayor legally not do something voters want?

In this case, yes.

It gets a little bit into semantics but the way the ballot question is worded says that voters would only “authorize” the city to use the taxes for early child care subsidies. The mayor argues just because he’s authorized to do something doesn't mean he has to do it.

The City Council can still vote to begin collecting the taxes — about $16 per year more in property taxes for the average homeowner — but at least while Carter is still in office, he says he won't do anything with it.

5) How have child care providers and voters responded? 

It’s pretty mixed. Some are excited at the prospect of being able to help more families gain access to child care and also the idea that some of the money may go to help them. Others are firmly against it.

The teachers union for St. Paul Public Schools opposes the levy, saying it would send more money to private child care and criticized a lack of implementation plan.

It’s complicated, but on Nov. 5 it will be in the voters’ hands.