The citizens of Duluth just got hit with some shocking news: Mayor Larson has just proposed an 8.9% property tax increase for 2023. But there’s more going on here than you might think.
Here’s Five Fast Facts on Duluth’s Property Tax Increase:
- 🧮Add it Up - Because math is hard, we’ll save you the trouble: that balances out to $41.7M total from the increase.
- 🔭Perspective - Apparently it could have been WAY worse. The budget includes paying for higher police wages, a crisis response team, and insurance costs that would have needed a 15% increase.
- 🧾Creative Bookkeeping - Larson and the City Council thought fast and used $3M from the American Rescue Plan Act to pay for some purchases (like new plows and fire engines) that would have been included in the levy.
- 🏞️Down in the Park - November’s election includes a proposed change to the parks levy that would add ANOTHER 4% to personal property taxes.
- 🩹Bandaid- The City’s Finance Director said this is just a temporary solution and it might lead to a 17% increase in 2024. The final levy will be approved in December.
🔥Bottom line: Citizens in Duluth are in for a wild ride in the coming years. The saddest part of the entire situation is that the money is actually needed for important operational costs. It’s not fat cats bumping up their salaries. This is a zero sum game in the making.
What do you think of the increase?
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