Monday, September 16th, 2024 Church Directory

Residential Taxes Up A Bit In 2015

When people have concerns about their taxes being too high, they usually let their legislators know about it.
 
One of the venues where taxpayers can voice their concerns is the Truth In Taxation meeting, where cities and counties explain how taxpayer money will be spent the following year.
 
Last Thursday, only seven residents attended the Sherburne County Truth In Taxation meeting at the Government Center.
 
That’s about par for the course in the county lately, since the county’s levy has remained flat for the past five years.
 
Assistant Administrator Dan Weber said most of the residents’ questions at the meeting Thursday focused on their individual valuations and why residential taxes are seeing an increase and commercial taxes are lower.
 
“Residential values went up about eight percent countywide and commercial values went down, so there’s a natural shifting of taxes,” said Weber.  “That’s a reverse of the trend. Over the last five years, residential values were going down more than commercial values, so a lot of taxes were being shifted to commercial property.”
 
Industrial values also went down a few percent on average and agricultural properties stayed pretty stable. 
 
Thursday’s meeting lasted about 45 minutes. A big portion of that time was spent reviewing the 2015 budget and levy, and how for the first time in five years the county will be increasing the tax levy slightly.
 
Overall county expenditures will decrease  2.65% in 2015, from $78,293,223 to $76,270,861. But because of declining revenues and other factors, tax statements sent out to residents were based on a 2.5% levy increase.
 
“It was self-evident why the levy is increasing for the first time in five years,” said Administrator Steve Taylor. “We have some wages going up, health insurance going up and a loss of revenue.”
Taylor says the county made some cuts, reorganized some departments and got an increase in some county program aids.
 
“But it wasn’t enough to offset our fixed costs,” he said. “After five years of zero increase, we just can’t do it anymore.”
 
The county has been receiving  a payment of $350,000 a year from Great River Energy in lieu of taxes for the past five years.
 
“But 2014 was the last year,” said Taylor. “That goes away starting in 2015. We also had losses in revenues in Health & Human Services and the recorder’s office.
 
The county is also taking steps to reduce the amount of reserves it uses to keep the levy down. Those one-time fixes don’t work in the long run, said Taylor.
 
But the county will be using its Jail Enterprise Fund to make some purchases in public works in 2015.
 
“We are using it for one-time big equipment, tandem trucks, graders - things that last 15 or 20 years,” said Taylor. “We’re not using it for operating.”
 
Since the tax statements went out, Weber said the county has found more reductions by going through every department’s budget. Instead of the 2.5% levy increase, it’s now down to 2.18%. And because of a one-time rebate to the Regional Rail Authority, the county’s proposed overall levy increase is now 1.76%.
 
That’s the number that will be presented to the county board Tuesday for approval of the final levy.