The Tax Impact
Voters will consider three ballot questions in the November election.
Our school district has worked hard to make investments in our schools that our staff, students, and parents believe are important.
The referendum was developed to address a comprehensive list of needs as part of a single investment in order to minimize planning, start-up, and financing costs while maintaining a steady school tax rate for property owners.
If approved by voters, the investment plan will be paid for with a tax increase on all properties in our district, including seasonal/recreational properties. The tax would expire after 20 years or when the bonds for the project have been paid, whichever happens sooner:
The tax impact of Question One on an average residential home valued at $400,000 would be $18 per month.
The tax impact of Question Two on an average residential home valued at $400,000 would be $8 per month.
The tax impact of Question Three on an average residential home valued at $400,000 would be $3 per month
The combined tax impact of all three ballot questions on an average residential home valued at $400,000 would be $29 per month.
How do school taxes in our district compare to other districts in our area?
Our district is proud to provide education at an exceptional value for local taxpayers. Total school property taxes in our district are currently four times lower than the state average, and lower than other nearby districts such as Lake Superior, St. Louis County, Rock Ridge, Esko, Ely, Hermantown, and Chisholm (based on a home valued at $250,000).
Determine your tax impact using our tax calculator!
You can instantly determine the projected tax impact of the referendum on your property using our referendum tax calculator. All you need is your parcel ID number.
Don’t know your parcel ID number? You can estimate your tax impact based on the value of your property using our referendum tax table.
Are there ways for taxpayers to reduce their tax impact if the referendum is approved?
Yes. Minnesota offers multiple other tax credits and deferrals that can reduce the tax impact of an approved referendum, such as the Minnesota Homestead Credit Refund, Special Property Tax Refund, and the Senior Citizen Property Tax Deferral. These credits and deferrals are subject to additional qualifications based on age, income, and tax burden.
How will recent tax relief passed by the legislature affect the cost of this referendum?
In 2024, the Minnesota legislature permanently increased the Taconite Homestead Credit for homeowners in the Iron Range and Northeastern Minnesota. Starting with taxes payable in 2025, the credit will increase from $289-315 per homeowner to as much as $515 per homeowner.
The credit will reduce taxes for many properties in the school district and may offset part or all of the tax impact from the referendum, depending on the value of your home. Specific impacts of the Taconite Homestead Credit on homeowners in Northeastern Minnesota are still being determined, and we will update this website with more information about the impact of the new legislation and the referendum soon.
What if the referendum does not pass?
If voters reject the ballot questions, our district will need to defer the proposed improvements until a later date. Future investments are likely to face higher construction costs, further pushing out the timeline for today’s students, staff, and community members to benefit from improvements to our facilities. Only investments detailed by the approved questions will be completed. Funds will be used exclusively to complete approved projects and cannot be redirected to pay for improvements not explicitly approved by voters.