By Rich Larson
The Northfield City Council will take an important step toward setting the city’s 2027 budget Tuesday night when it votes on a preliminary property tax levy, with councilors currently considering an increase of approximately 8.6 percent.
City Administrator Ben Martig said the preliminary levy effectively establishes a ceiling. Once approved, the council can lower the levy before adopting the final budget on December 1, but cannot increase it. The city currently collects approximately $19.5 million annually through its property tax levy.
Martig said councilors have spent much of the year reviewing the budget, beginning the process earlier than usual and holding additional public presentations and listening sessions.
The proposed 8.6 percent levy increase would not translate directly into an 8.6 percent increase for the typical homeowner. Martig estimated the impact at approximately six percent, or about $13 per month, because of changes in property values and growth in the overall tax base.
The city’s operating expenses are projected to increase by roughly three percent, driven largely by higher medical costs, utilities, infrastructure expenses and vehicle costs. Martig said staff has already removed approximately $1.7 million from earlier budget requests.
Several other factors are pushing the levy higher, including increased debt payments for infrastructure projects and city support for FiftyNorth at the Northfield Community Resource Center.
The council is also considering several new staff positions, including a police lieutenant, a mechanic and two public works operators. Martig said those positions would address staffing needs identified through previous city studies. The proposed levy preserves the possibility of adding some or all of those positions while the city continues looking for additional savings before December.
Martig said approximately 6.8 percent represents what the city considers its base levy increase, with councilors showing little interest in going below that level. The difference between 6.8 and 8.6 percent gives the council flexibility to consider the additional staffing.
Another late complication is a proposed 10 percent reduction in Rice County funding for municipal libraries. If that cut remains, Northfield faces a roughly $20,000 shortfall. The city’s preliminary budget would cover it by reducing the library budget by the same amount, which Martig said is roughly equivalent to the cost of maintaining Sunday library hours during the summer.
Rich Larson is the owner and General Manager of KYMN Radio. Contact him at rich@kymnradio.net
