Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Local Finance topic
No spam. Unsubscribe anytime.
Kandiyohi County commissioners vote 3–2 to seek local‑option sales tax authority for major facilities
Summary
The Kandiyohi County Board approved Resolution 2026‑09 asking the Minnesota Legislature for authority to impose a 0.5% local‑option sales tax to help fund a new justice center and renovations to the Health & Human Services building; the resolution preserves flexibility and would still require board approval before any levy, bond or project proceeds.
The Kandiyohi County Board of Commissioners voted 3–2 on Jan. 20, 2026, to request legislative authority to impose a 0.5% local‑option sales tax as a potential financing tool for large capital projects, including a consolidated justice center and a renovated health and human services facility.
County Administrator Kelsey Baker told the board the resolution (Resolution 2026‑09) only preserves the option to pursue a sales tax and does not obligate the county to issue bonds, levy property taxes or begin projects without future board approval. "This preserves flexibility — it does not commit the county to either project," Baker said.
Todd Hagen of Ehlers & Associates, the county's financial advisor, said modeling shows a half‑percent sales tax could pay the bond for the projects as currently estimated; he said the assumed interest rate for planning was about 4.35% and emphasized timing and market conditions will determine final costs and whether the county uses sales tax, property tax or a mix. "If we time the bond issue to when sales tax revenues are available, the sales tax can cover the debt service," Hagen said.
Commissioners debated strategy and public outreach. Commissioner Dale Anderson said the measure gives voters the chance to approve the funding if the county later places the question on a ballot. "We're foolish not to take this opportunity to let the public decide," he said. Commissioner Berg and Commissioner Embek voted against the resolution; Berg said she was concerned about projecting commitment to an expensive program and wanted more public information before moving forward.
The resolution specifies that, if authorized by the Legislature, the board would later set the amount and duration of any tax and that the total duration would not exceed 30 years; the board could also extend the term up to 10 years to cover cost increases up to 3% per project. Baker said the county must submit the request to the Legislature by Jan. 31, 2026, to be considered during the upcoming session.
The vote was recorded by roll call: three ayes and two nays; the resolution passed. The board said further detailed planning, cost estimates and public outreach would follow before any bond sale, ballot question or construction contract is approved.
