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Eagan council adopts 2025 budget and an 8.2% tax levy after public hearing

Eagan City Council · December 3, 2024
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Summary

The Eagan City Council voted to adopt a $2025 general fund budget that increases spending about 5.3% and a proposed property tax levy up 8.2%; councilors and residents debated homeowner impacts and staffing costs before the measure passed.

Eagan — The City Council voted Dec. 3 to adopt the city's 2025 general fund budget and to approve a final property tax levy that staff described as an 8.2% increase over the current levy.

Finance Director Josh Feldman told the council the proposed general fund budget represents a 5.3% increase over 2024, driven primarily by personnel costs including cost‑of‑living adjustments, health insurance and retirement contributions. Feldman said roughly 4.6–4.7 percentage points of the increase are attributable to personnel costs and listed proposed staff additions for 2025 including one police officer, one deputy fire marshal and two fire cadets.

The presentation also cited capital equipment needs and park facility bond payments as drivers of the levy increase; staff said about 3% of the 8.2% levy increase is associated with park facility improvements previously approved by voters.

In public comment residents described higher tax bills on individual properties. "My taxes, they went up 12% — seems like a lot," said resident Sherry, while another resident said his city portion rose about 15% and asked where to direct questions. Feldman and staff offered follow‑up contact information and noted the county provides assessment information that affects individual bills.

Council members probed staffing numbers and budget assumptions during the hearing. Councilor Fields moved to close the public hearing and approve the budget and levy; the motion passed on the record and the council adopted the 2025 budget that evening.

The council and staff noted that state law allows the council to approve the budget on the night of the hearing and that if the council had declined action, the item would have returned to the Dec. 17 meeting. Staff and council members said they will continue to monitor revenues, capital needs and enrollment or valuation changes that affect future levies.

The city posted supplemental budget materials online and staff encouraged residents with specific bill questions to contact the finance office for individualized explanations.