Rochester City Council Makes Change to Proposed Property Tax Increase For 2025

Rochester, MN (KROC-AM News)- The Rochester City Council made a change to the proposed 2025 property tax levy increase Monday night. 

Read More: Rochester City Staff Recommend 10.3% Tax Increase 

City staff had recommended capping next year’s tax levy increase at 10.35% when compared to the 2024 city levy.

The proposed increase would've boosted the amount in property taxes collected by the city by about $10.5 million. 

Rochester City Council Votes to Slightly Reduce Proposed Tax Collection Increase for 2025

Councilmembers voted to trim the proposed 2025 capital and operating budget by just under $397,000 to $689,022,783. The initial proposed increase in property tax collections was just over $112 million. 

That reduces the potential property tax levy increase to $10,114,269, or 9.96% of the current property tax levy, down from the initially proposed 10.35% increase. 

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A news release issued by the City of Rochester following Monday night’s meeting indicates the increased tax collections will still cover higher costs associated with pay and benefits for city employees, particularly those involved in emergency services. 

A smaller portion of the increase also remains earmarked for constructing a new Silver Lake swimming pool, which the city council voted to move forward on earlier this year. 

The city says proposed tax increase reduction would lead to less spending for city council training, delay the purchase of a snow groomer for Gamehaven Park and end a plan to hire an internal auditor. 

City officials also say the proposed reduction in property tax collection will slightly reduce the annual property tax increase for the owner of a median market value home in Rochester. 

The owner of a $288,000 home would see a $52.72 property tax increase next year, down from the initially proposed amount of just over $57. 

City Councilmember also set a Dec. 2 date A public hearing and vote on the final budget and tax levy for next year.

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