The Dundas City Council voted to approve the 2025 Preliminary Tax Levy with a 5.18% increase. The tax levy increase is fueled by market values increasing and not an increase in the city’s tax rate. The Dundas city tax rate has remained flat since 2021, and in August, the council asked city staff to limit any increase in the property tax rate. In the proposed budget, the city’s tax rate will remain flat. This means that Dundas residents will only see a tax increase in their city portion of property taxes if their house values increase. Here is Dundas City Administrator Jenelle Teppen with more:
“Annually and direction from the Council was, after looking at all over through these two work sessions, was to come back with a flat tax rate for 2025 And So what that equates to is a 5.18% increase for the preliminary levy in 2025 and how that affects Properties in Dundas will depend on where the county comes in on assessments.” – Dundas City Administrator Jenelle Teppen
Preliminary Tax Levy can not be raised but can be lowered, though Teppen does not expect that to happen.The Preliminary Tax Levy passed unanimously.
Overall, the police department makes up the largest portion of the proposed budget, at 30%, followed by the general government at 22.7%, and the streets and roads make up 14.7% of the budget. The Northfield Area Fire and Rescue is the largest portion of the increase in the city’s budget. The city Street Departments also saw an increase in expenses with the hiring of a new seasonal part-time position, and the Parks Department saw an increase in costs primarily related to the rise in repair and maintenance costs.
The city council will approve the final budget and tax levy on December 9th.
During the meeting the council also approved a grant from the State of Minnesota to install pedestrian crossings and sidewalks to cross Highway 3 at County Road 1. Currently there is no pedestrian crossing in Dundas across Highway 3. The council voted to sign the grant agreement, which will set the project up for construction next year.