The Sherburne County Board Tuesday approved the 2017 preliminary tax levy in the amount of $44,909,066. That represents a 4.64% increase over this year’s levy.

 

Administrator Steve Taylor said more than half the increase is due to employee salary and benefits, including the addition of new staff.

 

The county is adding seven new full-time equivalent (FTE) staff members, five of which will impact the levy.

 

“Of those five (FTE) 3.25 are Health & Human Services (HHS) positions driven primarily by state and federal mandates,” said Taylor. “We were told to expect 2,240 enrollees in MNsure. The actual number is more than 8,000.”

 

The county is adding an assistant county attorney, and the levy includes additional funding for court services.

 

“Those costs relate directly to child protection and increases in HHS,”he said.

 

The levy is also impacted by a loss in revenues.

 

“We lost $316,000 in mental health funding, and we’ll have lower income earnings because we’re spending cash for the expansion project,” he said.

 

Taylor said the 4.64% increase seems like a big jump, but growth will help offset the impact.

 

“We are in a growth mode at this time. (Property) values are increasing county wide. Because of economic growth, we’ve added $81 million in  new construction, which is a 33% increase over last year,” he said. 

 

“Building permits and home values continue to trend upward.”

 

Taylor said commercial and agricultural land should see a slight reduction in taxes because of valuation trends.

 

He said the tax impact on an average home should be about $45 a year.

 

The board approved the 2017 preliminary Regional Rail Authority levy at $1,460,292, down from $1,622,833 this year.

 

Taylor said there were a number of contributing factors for the 10% reduction.

 

“MnDOT stepped up to the plate and increased their contribution from an operating standpoint for the NorthStar Link bus program from 52% to 80%,” he said. 

 

“Hennepin County agreed to take off our shoulders some of the funding that we were originally planning on providing for the bus link program. And debt service is being reduced.”

 

Taylor said the 10% cut in the rail levy lowers the overall preliminary levy from $4.64% to 4.11%. That number can be decreased, but not increase in the final levy which is due in December.

 

“We will continue to look for additional savings,” he said.