County proposes 6.35 percent levy increase for 2027

REGIONAL- St. Louis County commissioners gave initial approval Tuesday to a maximum 2027 property tax levy of $215.3 million, a 6.25-percent increase over this year.
The levy’s impact will be offset by seven-percent growth in the county’s property tax base over the past year, including a record $337 million in new construction. When the tax base grows, the cost is spread across more property owners, helping limit the impact on individual taxpayers.
Commissioners, meeting as the Committee of the Whole at Cedar Valley Town Hall, advanced the preliminary levy for formal approval at the Sept. 22 County Board meeting at the Cook Community Center.
The preliminary levy establishes the maximum amount the county can collect through property taxes next year. Commissioners may reduce it as they complete the 2027 budget, but they cannot increase it. Final adoption of the budget and levy is expected Dec. 15.
County officials said they held the proposed levy increase to 6.25 percent despite facing an additional $12.1 million in operating expenses. The county plans to absorb those costs through staff reductions and reassignments, restructuring and consolidating operations, reducing some services, delaying investments in buildings and equipment, and making targeted use of its fund balance.
The reductions include eliminating or reassigning 31 positions countywide.
“None of this is ideal,” County Board Chair Mike Jugovich said. “But we know our taxpayers need us to cut costs, and so we looked at every line in the budget and made difficult decisions. But even as we were figuring out ways to live within our means, the federal and state governments were shifting new costs to us.”
Those pressures include rising employee salaries and health insurance costs, along with county expenses associated with carrying out state and federal programs.
Even with the reductions, the proposed levy includes funding for seven new positions in the Sheriff’s Office, including deputies, corrections officers, and 911 dispatchers.
The county also plans to restructure positions in Public Health and Human Services to meet requirements of the Minnesota African American Family Preservation Child Welfare Disproportionality Act and federal rules governing eligibility for the Supplemental Nutrition Assistance Program. The budget also accounts for costs shifted to counties through the state’s Long-Term Services and Supports disability-waiver program.
County officials said the budget continues to prioritize core services, including public safety, human services, and plowing and maintaining approximately 3,000 miles of county roads.
St. Louis County employs about 1,900 people and provides services to approximately 200,000 residents across 7,000 square miles.
“We are the architects of this County’s future,” said Commissioner Annie Harala, chair of the board’s Finance and Budget Committee. “We are keeping our financial house in order today so that we don’t have an infrastructure crisis five years from now. We are building a map toward a county where every family has a path to prosper.”
Minnesota counties must certify their maximum property tax levies by the end of September. Residents may comment on the proposed levy at any County Board meeting or contact commissioners directly. Additional budget information is available at stlouiscountymn.gov/budget.