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Downtown property owners tell council city tax portion rose sharply over recent years
Summary
A group of downtown commercial property owners told the council the city portion of commercial property taxes rose about 34% from 2021–2025 and urged the council to slow future increases; the council advised bringing the issue to county authorities as well and noted budget constraints.
A coalition of downtown commercial property owners pressed the Thief River Falls City Council on Oct. 30 about steep increases in the city portion of commercial property taxes.
Jim Dagg, representing multiple downtown business owners, said the city portion of commercial property taxes increased roughly 34% between 2021 and 2025 — an average near 8.5% per year — and warned that sustained increases threaten property values and business viability. He said the group used his building as an example and supplied comparative data drawn from the county website.
"The city town tax portion has increased over the last 4 years 34%. That's 8.5% a year," Dagg told the council, and asked the council to be mindful when passing levy increases.
Council members acknowledged the concern and suggested the group also take the issue to county officials, noting the city represents only one portion of a total property-tax bill. The mayor noted some taxing changes at the state level have shifted burdens and said the budget review process would include consideration of levy and spending pressures.
Council did not take formal action on the complaint; staff and council members encouraged continued dialogue and recommended the business group consider county engagement as part of a broader advocacy strategy.
