Minneapolis City Council overrules Mayor Frey's veto on carbon fees

The Minneapolis City Council overruled Mayor Jacob Fry's veto of imposing carbon emissions fees within the city to reduce the impact of climate change during a meeting on Thursday. 

What we know

The Minneapolis City Council unanimously approved the 2025 License Fee Schedule with the Pollution Control Annual Registration (PCAR) amendment on Oct. 2, 2024.

Minneapolis Mayor Jacob Frey vetoed the 2025 License Fee Schedule on Oct. 9, saying that the council must follow the correct process in order to prevent future legal challenges.

The latest amendment puts the PCAR fee at $452 per emitted ton of carbon dioxide. 

Council members Andrea Jenkins and LaTrisha Vetaw voted against overriding the veto, but they both initially voted for the 2025 License Fee Schedule that passed unanimously before Frey vetoed it on Oct. 9.

Other efforts to reduce carbon emissions were taken at the state level, when Minnesota Gov. Tim Walz signed a bill to completely switch to green energy by 2040. 

What the mayor is saying

Mayor Frey's office released a statement saying the council must "follow correct processes so a fee on carbon dioxide can be legally implemented to reduce pollution."

The mayor's veto letter states that the council is working against its own goals through "performative" measures that are not supported by the city's legal and financial reality. 

"I am all on board for PCAR fees—but it’s time the Council stops playing games and follows the processes in place to enact lasting change," Frey said in a news release. "Council must work with City experts to pass a fee in a way that is legal, feasible, and smart. Otherwise, their efforts are useless and may actually hinder our ability to mitigate pollution."

What council members are saying

Council Member Robin Wonsley, who authored the amendment adding carbon fees to the city’s pollution control annual registration program fee schedule, said in a statement: "Climate change is an emergency. The recent devastating hurricanes in North Carolina and Florida have claimed hundreds of lives, reminding us all of the life-threatening consequences. Since 2021, Minneapolis residents have organized to demand that the Council pass a fee on carbon emissions, a major contributor to climate change. I’m proud that the Council took action that will help remove about 605 tons of carbon emissions from the atmosphere next year alone, and that the big polluters will cover the cost of the program, not working-class residents."

Council Member Jason Chavez, who voted in support of the veto override and co-authored the amendment to the fee schedule, said "As the Council Member who represents the Southside Green Zone and a Ward that has been disproportionately impacted by pollution, we can’t wait any longer to take action on our City’s polluters."

Council Vice President Aisha Chughtai released a statement saying "I’m so grateful for Council Member Wonsley’s diligent work over nearly three years to institute this fee. We know the climate crisis disproportionately impacts communities of color and low-income communities. We need to meet this crisis with urgent solutions. This action shows the City Council refuses to delay such critical work. This is the third veto Mayor Frey has issued this term, and the third Council override. When the Mayor stands in the way of legislative solutions, we will stand by the will of our residents."

What the Minneapolis Health Department is saying 

Minneapolis Health Department Deputy Commissioner Patrick Hanlon was quoted in a statement sent by the mayor's office. 

"The Health Department wants to ensure we are rolling out legally defensible and effectively structured climate change programs that drive down greenhouse gas emissions. The current policy and fee recommendations need to be better aligned before we are at that point," Hanlon said. "We need to do our due diligence to make sure this program is successful and beneficial to our residents and the environment. This isn’t something to rush and get wrong."  

What comes next? 

The Minneapolis City Council said it is working to create new legislation to coincide with the July 1, 2025, implementation date. 

The council also approved a legislative directive to complete a carbon fee study by May 1.

The council added the Pollution Control Annual Registration is set to go into effect on July 1, 2025, after delaying the initial Jan. 1, 2025, start date. The Minneapolis Health Department must also develop a program that can be executed by July 1, 2025.

It remains to be seen if any legal challenges will arise to prevent the Pollution Control Registration Program from becoming a reality.

MinneapolisJacob FreyMinneapolis City CouncilEnvironment