In St. Paul, property owners are about to feel the combined effects of sluggish downtown property values, limited economic development growth and cuts in federal funding.

Calling his new budget proposal the hardest he’s had to prepare in his eight years in office, Mayor Melvin Carter unveiled a no-frills budget plan for 2026 that expands investment in housing programs such as office-to-housing conversions and downpayment assistance while avoiding layoffs of city employees.

To accomplish those goals, the mayor’s proposal freezes hiring for dozens of open positions, shifting funding from vacancies to sustain existing city workers. The $887 million budget plan for the coming year would rely on a 5.3% property tax levy increase, roughly comparable to this year’s tax levy increase of 5.9% and

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