Blaine reviews proposed 9.9% property-tax levy as residents press council for relief

Director Zimmerman, the city’s finance director, opened Blaine’s Truth in Taxation presentation by saying the meeting existed “as mandated by Minnesota state statute” to explain the city’s proposed property-tax levy and the budget that supports it. He presented the mechanics behind county assessments, class rates and the homestead market-value exclusion, and walked through how the city arrived at a proposed 9.9% levy increase and the draft 2026 budget.

Why it matters: the proposed levy was certified at $54,230,000; Zimmerman said the tax-rate calculation that accompanies the levy would show a tax-rate impact that varies parcel-by-parcel depending on county-assessed market value, class rates and special taxing districts. Zimmerman noted the city’s median residential taxable value is estimated to rise to about $346,000 for pay 2026 and that about 40% of recent value gains come from new construction rather than simple price appreciation.

Public reaction: several residents spoke during the hearing. Steve Mitchell said his overall tax bill across jurisdictions rose about 27.6% for his property and told the council it was “Not reasonable,” urging them to be “fiscally responsible.” Cindy Blaine said street plowing and other service complaints feed frustration with taxes — “My water was really bad today. It came out brown and smelled like a frickin' pool,” she said. Director Zimmerman and staff offered to review individual parcel statements offline.

Council response: council members acknowledged the pain of rising taxes and described steps the council is taking to change the city’s fiscal path. Council member Robertson emphasized the council’s emphasis on reducing long-term debt and on protecting core services, saying the council is “trying to be aggressive with paying off” past borrowings and noting investments in public safety have reduced Part 1 crime and improved emergency-response times. Council member Newland highlighted that Blaine lacks some non-property-tax revenue streams and said the council is pursuing new revenue options to reduce residential reliance. Council member Masolia urged the council to explicitly decide which services to keep or cut rather than implicitly match spending to revenue.

Budget details and next steps: Zimmerman walked through a sample tax statement and the property-tax calculation, showing that the proposed city portion for a median-valued property would translate to roughly $13.30 of city tax on the example parcel and that the monthly distribution of city taxes on a median-valued property is about $111, with most dollars going to public safety and public works. He reminded the public the final budget and levy adoption is scheduled for Dec. 15, and staff offered to meet individually with residents for parcel-specific questions.

What’s next: the council did not take action on the levy at this meeting. The City Council will consider adoption of the final 2026 budget and property-tax levy at its Dec. 15 meeting; staff said they will continue outreach, provide detailed budget materials online, and meet with residents who request parcel-level clarification.