Lakeville council adopts 2026 budget and property tax levy; median home to see ~$75 city portion increase

Lakeville City Council adopted the 2026 budget and property tax levy during its Dec. 1 Truth in Taxation hearing. Finance staff briefed the council on key figures: a total levy of $51,986,475 (a 6.4% increase over 2025) driven by valuation growth and new construction; staff said a 3.4% valuation increase across existing properties plus 2% from new construction resulted in a 5.4% taxable market value change.

Staff explained how the levy supports operations, capital maintenance and debt service. The general fund change was described as about $1.2 million (2.5% of the levy change); other increases include $550,000 for veil improvements and a $1,000,000 increase in the building fund for building maintenance. The staff presentation said the median-value home ($467,000) would see about a $75 annual increase for the city portion of property taxes under the adopted levy.

Councilors thanked staff for fiscal management and highlighted that Lakeville remains among the lower tax rates in Dakota County. The council adopted three resolutions: 1) adopting the 2026 property tax levy; 2) adopting the 2026 budget; and 3) authorizing the 2026 purchase and disposal of vehicles and equipment. The action passed by roll call.

Why it matters: The levy funds city operations and capital needs and determines the city portion of property taxes residents will pay in 2026.

What happens next: Staff will publish adopted budget documents and monitor implementation; property owners receive final tax notices from the county in the spring as valuations are finalized.