Albert Lea school board certifies $9.8 million 2024–25 levy after budget presentation

The Albert Lea Public School District board on Dec. 2 certified the district's 2024 pay 2025 property tax levy at $9,797,453 following a budget presentation and discussion during the Truth in Taxation hearing and the regular meeting that followed.

Paul Durban, the district presenter, walked the board and attendees through the adopted fiscal‑year 2025 budget and levy drivers, telling the meeting that “a reminder that our two biggest factors on this year's levy are the absence of a large adjustment that we had last year … and declining enrollment.” He said the district remains in good financial shape: “The district's in a strong financial position,” Durban said.

Durban told the board that about 81% of the district's revenue this year comes from state aid (about $47 million in the adopted budget), with federal COVID relief funding reduced from prior years. He noted that salaries and benefits account for nearly 80% of spending. The presenter reviewed enrollment measures used to calculate funding — October 1 count, Average Daily Membership (ADM) and Adjusted Pupil Units (APU) — and said early indications suggest the October count will be close to the budgeted ADM used to build the FY25 plan.

On the levy itself, Durban explained the district's levy is spread across three funds: the general fund, community education and debt service. He said the general fund levy for 2024 pay 2025 will decrease by about $651,000 compared with the prior levy year, primarily because a one‑time positive adjustment in last year's levy is not present this year. Long‑term facility maintenance (LTFM) costs funded previously from the general fund are shifting to debt service after the district sold bonds for mechanical projects — producing roughly a $362,400 reduction in the general fund levy but a corresponding increase in debt service.

Durban also reviewed property‑value metrics: referendum market value in the district rose to about $1.97 billion (a 3.9% increase from $1.90 billion), and net tax capacity increased roughly 2% this year. He and a financial adviser slide illustrated a widening gap between state formula allowances and inflation (CPI), and Durban estimated that had the formula tracked CPI this year state aid would be materially higher (an estimate presented of roughly $4.7 million more in state aid under that hypothetical).

Durban offered examples showing how valuation changes, not levy changes alone, often drive individual taxpayers' school‑district tax bills. He also explained the state’s school bond credit (which reached its maximum rate in 2023) covers about 70% of eligible debt service; he said the district's debt levy is approximately $3.2 million before that credit is applied.

After the presentation the board moved and seconded a motion to approve the 2024 pay 2025 final levy at the specific dollar amount of $9,797,453. Board members thanked Durban for the added materials and analysis. The motion was called and declared carried; the transcript does not show a clear numeric roll‑call tally.

The presenter said the board will revisit enrollment data in February (after the official October 1 count is returned in January) and will consider a revised budget in March if needed. The meeting adjourned after brief closing remarks and recognition of a departing board member.

What happens next: the certified levy will be collected in 2025 and the revenue will fund the 2025–26 school year; the board indicated further budget adjustments may follow after the February enrollment review.