Carver County board adopts 8% preliminary levy to cover state, federal cost shifts

Carver County commissioners unanimously but one approved an 8% preliminary levy for 2026 on Sept. 2, setting a ceiling the board can lower before adopting a final levy in December. County Administrator Dave Ramsey asked the board to adopt the levy after staff presented revenue, staffing and long-term capital forecasts.

The levy recommendation packages a 6% base increase with a newly identified 2% surcharge that Ramsey and finance staff say is needed to cover state and federal cost shifts, including health-and-human-services transfers and a paid family medical leave payroll tax. "I'm going to ask you adopt the preliminary levy," Ramsey said during his presentation. Finance Director Dave Frishman told the board "our overall taxable market value in Carver County is now almost 24,000,000,000," and that $2 million of levy capacity is available from new construction.

Why it matters: county staff told commissioners that several state and federal changes enacted or in effect for 2026 will raise the county—s costs by an estimated $1.5 million in that year and contribute to multi-year pressures approaching $6.6 million if left unaddressed. Staff proposed separating the identifiable legislative-driven costs from the base levy so voters and local officials can see what portion of the requested increase stems from external mandates.

Staff and financial details: Ramsey and Frishman outlined revenue and expense drivers used to reach the recommendation. The county—s taxable market value rose about 6% year over year, including roughly $571 million in new construction; that growth creates approximately $2 million in levy capacity that does not increase the tax rate for existing property owners. Still, staff warned of continuing pressures from wages and benefits, capital needs — including an $82 million government center master plan the county is planning in phases — and ongoing maintenance and public-safety costs. Ramsey said a proposed $450,000 annual set-aside (the second year of a five-year plan) would help fund future bond debt service for the new government center.

Board debate and dissents: the board—s vote was 4–1 in favor. Commissioner Lynch moved to adopt the administrator—s recommended preliminary levy; Commissioner Fahey seconded. Commissioner Uttermann cast the sole no vote and urged a substantially lower cap. "I'm gonna support 3.5 percent. I won't support anything above it," Uttermann said, arguing for a multi-year direction that would limit annual growth and address affordability concerns. Other commissioners praised staff—s work and said the proposed split (6% base, 2% surcharge) improved transparency about what the county can control versus what results from outside mandates.

Procedure and next steps: the board set a truth-in-taxation hearing for a late-November public meeting and will consider a final levy and budget in December. By law the preliminary levy is a ceiling that can be lowered but not raised after adoption.

Ending: commissioners and staff said they will continue to refine the budget and present additional options for cuts, revenue changes, and capital scheduling before the final December decision.