Rosemount council sets preliminary 2026 budget, cites public-safety spending and growth

The Rosemount City Council voted Sept. 16, 2025, to adopt a preliminary 2026 budget and levy and to set the Truth-in-Taxation hearing date required by state law.

The preliminary levy and budget matter because staff said the city's record new-construction value reduced the direct tax impact on the median homeowner even as the council approved increased spending that staff described as investments in public safety, planning and technology. “This is an investment in public safety,” said Mister Martin while presenting the budget highlights.

Finance and administrative staff told the council the city recorded $253,000,000 in new-construction market value this year. Martin said that growth in tax base cut the tax increase a median homeowner would otherwise have seen and quantified the effect: “That saved a median valued homeowner $83 on their taxes,” he said. Martin presented a proposed operating budget increase of about 9.86% (just under $2 million) and described levy components as an 8.2% levy increase to fund operations plus a separate roughly 5% levy increase tied to debt issuance for the PDPW campus; staff described the two pieces separately when reporting the net levy change.

Major budget drivers cited in the presentation included public-safety increases, software investments, and planning work: the police department budget headline was a roughly 8.15% increase (roughly $600,000) tied to staffing, training and partner fees; the fire department budget showed a substantial increase driven by adding two full-time positions and preparatory funding for duty-crew staffing and tools. Martin described the fire changes as a 50% increase in the fire budget and said the staffing additions include a deputy fire marshal and a fire administrative specialist, both of whom are also operational firefighters.

Planning and capital-related items in the 2026 preliminary budget included funding for a 2050 comprehensive plan process with the Metropolitan Council, permit-processing software replacement, and small-area planning for Speedway (the city-owned property). Staff also noted investments in administrative software (finance and HR systems) intended to improve service and efficiency.

Council members asked for more transparency on several line items. One council member requested clearer, itemized bullets tying the police increase to salaries and benefits; staff acknowledged that roughly 70% of departmental costs are compensation and benefits and agreed to present more detail in subsequent materials. Council members also questioned phasing and capacity: staff said some items will be implemented through internal crews (an example curb modification cost was cited at about $30,000 plus staff time) while larger projects will require contractual work and budgeting.

The council approved the preliminary budget motion (motion to adopt the preliminary 2026 general fund operating budget, CIP budgets, insurance budget, Port Authority levy and to set the truth-in-taxation hearing). The motion was moved by Esler and seconded by Klimpel; the roll call recorded all ayes (Klimpel, Weisensel, Wiesenstahl, Tyson, Kresge, Esler). The hearing on the final levy and budget will occur at the Truth-in-Taxation hearing on Dec. 2, 2025, when residents can comment on the final numbers and the council will adopt the final levy.

Staff emphasized the preliminary nature of the action: the levy sets a ceiling from which council may reduce the levy and budget prior to the December hearing. Martin closed by reminding council that growth in tax base does not eliminate the need for budget growth to staff a growing city: “We love being in a growing city. We love leading a growing city, but we do have to grow along with that city,” he said.