Nov. 1--Maybe it's because I'd just given a talk extolling Minnesota as "one state" -- with a history of aggregating its resources and using them to solve problems that other states leave to the locals -- that the recent news from Red Wing caught my eye.

On Oct. 21, an administrative law judge rejected that city's contention that Xcel Energy ought to cough up additional payments to compensate for the public safety burden associated with being the hometown of a growing nuclear power plant.

"There has been no showing in this proceeding that imposing a dedicated payment to the city to pay for emergency services is needed to ameliorate any social, economic or environmental impact," Judge Richard C. Luis wrote.

That dismissive language was embedded in Luis' recommendation that Xcel be allowed to increase both the electricity output and the dry cask nuclear storage capacity at the Prairie Island nuclear generating plant. Originally licensed to operate the plant through about 2013, Xcel is seeking to renew its lease for another 20 years. That request goes next to the state Public Utilities Commission. Action is expected later this month.

I'll set aside larger questions about the merits of Xcel's request for now. What I heard was the howl that ensued from Red Wing City Hall.

"The city has all of the responsibility of being the first responder to an incident at the plant, but limited fiscal means to ensure that this response will be effective in the future," said Red Wing City Council Member Lisa Pritchard Bayley, an attorney.

"Limited fiscal means." Red Wing, welcome to the Minnesota Municipal Hard Times Club.

Not long ago, cities lucky enough to be home to privately owned megafacilities -- power plants, shopping centers, factories and the like -- were shielded from the storms that buffeted other local and state budgets. Those fortunate places could levy a little and rake in a lot, especially when the state's tax structure was stacked against business property in favor of homeowners.

But tax reform in 2001 more fairly divided the tax load, in ways that pained homeowners in formerly fortunate cities. Since then, power companies have won further tax concessions at the Legislature.

The result: In Red Wing, according to Mayor John Howe, Xcel paid property taxes of nearly $24 million to city, county and school governments in 1995. Last year, the big utility's local tax bill was less than $11 million. And the city of Red Wing is in budget trouble.

State aid to cities in general and special help to power plant hosts in particular was supposed to make up for some of the lost tax revenue from Xcel.