Council sets 6.3% preliminary levy increase

Members of the Waseca City Council continued their discussion about the 2026 budget and levy during a Sept. 2 work session. 

 

The work session, lasting only 11 minutes, concerned a short summary from City Manager Carl Sonnenberg about the two levy options previously presented to the council: 6.3% or 5.6%. Sonnenberg said the difference between the two budgets is that one includes $87,000 meant to be set aside to strengthen the balance in the general fund. 

 

The council was in general favor of the 6.3% option. Councilmember Jeremy Conrath added, “I’d like to see it a bit lower in the final levy, but I understand and I appreciate the staff working through a bunch of difficult stuff. I’m hoping the final levy in December will come in under five, but I’m okay with, right now, the 6.3.”

 

Mayor Ryan Zimmerman asked Sonnenberg to be reminded what the 6.3% does for the tax rate. Sonnenberg replied that the 6.3 levy would look at a 77.4% tax rate, assuming that the tax capacity remains at the 2025 level, which he said the city does not know as it is yet to be determined by the county. Zimmerman added the 77.4% would be five points higher than the 2025 tax rate of 72.7%. 

 

“Two steps forward, one step back. But in the long run, hopefully it keeps trending south,” Zimmerman said. 

 

Zimmerman also added that he was not in favor of any increase, but without a plan for a big commitment towards growth, and having to grow the tax base, the city would just be kicking the can down the road. He said, “It’d be nice to get to a consistent downtrend in this tax rate. We as a council really need to make that commitment.”

 

The council decided they did not need more work sessions regarding the subject but would like updates from Sonnenberg in the future.