Hibbing council adopts 2026 budget, finalizes 2025 levy and approves $10 million public safety grant agreement

The Hibbing City Council voted Dec. 3 to adopt the city’s 2026 final budget and certify the 2025 property‑tax levy, after a Truth in Taxation presentation and public hearing that drew no public speakers.

Finance Director Sheena Molnar told the council the city was working from preliminary numbers that had set a 9.99% cap on the levy and explained how taxable market value, class rates and credits (including the Taconite homestead credit) affect individual bills. Molnar said the city had been awarded a $10,000,000 general‑fund grant for a Hibbing Public Safety Center from the 2023 legislative session and asked the council to authorize the mayor and city clerk to sign the grant agreement so it can be routed to the state for signatures. “It’s for the $10,000,000 that we were awarded back from the 2023 session for our public safety center,” Molnar said.

Councilor Bader moved to approve Resolution 25‑12‑03 adopting the final 2026 budget and certifying the 2025 levy; the motion was seconded and carried on a voice vote. The council also approved certification of the Housing and Redevelopment Authority levy at $100,000 and the Chisholm‑Hibbing Airport Authority levy at $821,000; the airport levy requires consent from both Hibbing and Chisholm and was certified consistently with the 2025 amount. Councillor Hoffman Sockman announced he would recuse himself from the airport‑authority vote because he serves on that commission; the remaining councilors approved the levy.

Molnar summarized the major budget drivers: local government aid funding that covers roughly 40% of operating revenues, expected decreases in some taconite aids, a projected increase in ambulance revenues (about $100,000), and built‑in personnel cost increases including cost‑of‑living adjustments and step increases. She said a transfer from the city’s OPEB (other post‑employment benefits) fund is included to help offset rising retiree‑insurance costs and noted proposed fee changes for utilities (proposed sewer +5%, stormwater +7.5%).

The council also voted to authorize the mayor and city clerk to sign the $10 million grant agreement so it can be routed to the Department of Public Safety for final execution. Molnar said budget books will be available at Hibbing City Hall and the public library once the final levy is adopted.

The council concluded the budget business by closing the Truth in Taxation public hearing after offering the public an opportunity to comment and receiving none. No further public hearings or remands were scheduled at the meeting’s close.