WDAY.com

WDAZ: Your Home Team

Published December 15, 2009, 09:15 PM

EGF City Council Approves 5% Tax Levy

After much debate, tonight the East Grand Forks city council approved a five percent tax levy.

By: Casey Wonnenberg, WDAZ

After much debate, tonight the East Grand Forks city council approved a five percent tax levy. That after the mayor last week vetoed an 8 percent increase in the levy.

Not all council members agreed with tonight's budget decision. The majority of the council wanted a higher tax levy at eight point three percent, but two members voted not to over-ride Mayor Lynn Stauss's veto. Those for the bigger increase say with cuts in aid from the state and a large state deficit, taxes could have to go up substantially next year.

Others thought it shouldn't be as high as five percent because council members had worked out a budget with a levy increase of four point six percent. They also say you shouldn't raise taxes because of concerns down the road...just concentrate on the current year.

Council member Greg Leigh says, “I don't believe we tax this year for next year's expenses. I don't buy the argument that we're going to reduce taxes next year. We need to take a look at what's in the budget, and what we can and can't afford. If we can't afford something next year and hold the line on taxes, so be it. We got to figure out what to do.”

Council member Marc Demers disagreed, saying, “But it's not sustainable over the course of time. We have to way this year on the next couple years.”

Under the five percent increase in the levy approved tonight, the property tax rate won't be going up, but if your home went up in value, you will have to pay more than last year.

Tags: