Among his other cuts, Gov. Pawlenty is proposing a $250 million reduction in Local Government Aid.
The proposed cut is across the board, so any city or county that gets LGA money would be affected.
Minneapolis and St. Paul would lose $29 million and $13 million from their budgets respectively. But, cities in greater Minnesota will also face significant cuts.
Even before today's announcement, Cloquet's Mayor, Bruce Ahlgren, said his city has suffered enough from earlier cuts to LGA.
Mayor Ahlgren joined MPR's Steven John to talk about the effect the cuts will have on Cloquet's operation budget.