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Cottage Grove council adopts $29.885 million preliminary property tax levy for 2026
Summary
Council adopted a preliminary 2026 levy of $29,885,000, including an EMS levy and increases to equipment and municipal building levies; median-home city tax would be about $1,434 annually, an increase of roughly $152.
The Cottage Grove City Council on Sept. 3 adopted a preliminary property tax levy of $29,885,000 for collection in 2026, the city’s finance director told the council.
Finance Director Brenda Malinowski outlined the levy and how it fits the city's 10-year financial management plan. She said the general fund levy is increasing 9.76 percent and the levy package includes a first-time EMS operating levy of $70,000, a phased increase in the equipment levy to fund roughly $2 million in annual equipment needs identified in the financial plan, and a $150,000 increase in the municipal building levy to begin funding expected facility maintenance for public safety, city hall and the central fire station. The EDA levy increases by $50,000 to help cover current-year EDA operating costs, Malinowski said.
Malinowski reported the impact on the median Cottage Grove home: an annual city property tax bill of about $1,434 with a city-property-tax increase of approximately $152 from the prior year. She translated the annual amount to a monthly figure ($119.50) and offered a per-month breakdown: approximately $53.83 to public safety (police, fire, emergency management and EMS), $19.38 to public works (streets, snow plowing), $12.85 to parks and recreation, $17.93 to debt service, $12.07 to general government, $1.31 to economic development/HRA and $2.07 to contingency.
Malinowski reminded council that the levy adopted on Sept. 3 is preliminary. The city will certify the levy to Washington County for tax-statement preparation; taxpayers will receive statements in November and council will receive public comment and set a final levy at the Dec. 3 meeting. She said the levy includes debt-service requirements from prior bond issues and reflects the council’s work in a budget process that began in January and included workshops in April, July and August.
Councilmembers expressed appreciation for staff work and noted economic uncertainty that influenced budgeting decisions. Councilmember comments requested a January strategic review of the financial management plan to assess its performance and assumptions. Councilmember Olson moved adoption of Resolution 2025-121; Councilmember Claussen seconded. The motion passed by voice vote.
