Clay County Commission

Dan Haglund

Clay County taxpayers will see a net levy increase of 3.89 percent in 2024, as was laid out by Clay County Administrator Stephen Larson for the Clay Board of Commissioners on Tuesday night at the “Truth in Taxation” special meeting.
The actual tax levy will increase 7.36 percent, from $44.6 million in 2023 to $47.9 million slated for next year. The general revenue fund accounts for the majority of this category, increasing from $26.4 million this year to $28.5 million next year (7.84 percent increase).
The Social Services fund will increase from $12.6 million this year to $13.6 million next year (7.54 percent increase), and the road and bridge fund will go up 4.57 percent, from $4.6 million to $4.8 million.
Other portions of the tax levy include the library, debt retirement – county projects, and building fund, all of which will see slight increases.
New requests for next year have tallied $721,082, which is offset by the $500,000 fund balance for an actual addition of $221,000.
The County Program Aid infusion of $5,536,651 lowers the 2024 proposed spread levy to $42.6 million, and new construction dollars (an additional 1.20 percent) helps set the tax levy down to 3.89 percent.
Clay County budgeted expenditures for 2024 will top out at $113,466,567, with tax revenue making up the largest portion of the pie at $35.2 million (31.1 percent).
Social Services comes in second with $27.3 million (24.0 percent), Road and Bridges is third with $16.5 million (14.6 percent), Health services is next ($10.3 million, 9.1 percent), Juvenile Detention ($8.1 million, 7.1 percent), Solid Waste ($5.8 million, 5.1 percent), Debt retirement ($4.4 million, 3.9 percent), Internal service ($3.2 million, 2.8 percent), and Family Service Center ($2.0 million, 1.7 percent).
Major improvements ($100,000) and building improvements ($50,000) round out the remainder of the proposed budget.
The 2024 net levy with new construction (3.89 percent) is an average increase since 2016, as the range from previous years has been from 3.49 percent in 2021 to 5.85 percent in 2020.
Within the General Revenue budget, specific increases will come in the areas of Victim Witness Advocate (53 percent), County Public Defender (20 percent), Motor Vehicle (13.8 percent), County Attorney (13.0 percent), Elections (11.1 percent), Grounds and Building (10.8 percent), County Administrator (10.8 percent) and Law Enforcement – Sheriff (10.2 percent).
On the positive side, real estate taxes will see a decrease of 2.52 percent for 2024. For a home with a homestead market value of $250,000, taxes will decrease from $3,575.27 to $3,485.32. Broken down further, $1.187.61 (4.18 percent increase from 2023) will go to the city/township, $1.150.31 (3.60 percent decrease) for schools, $1,054.28 (9.66 percent decrease) for the county, $52.25 (53.23 percent increase) for the Economic Development Authority (EDA) and $40.88 (0.21 percent decrease) for the watershed district.
Larson also detailed the overall estimated market values (EMV) of property within the county over that last 20 years. In 2023, Clay County’s total EMV came in at $9,362,822,700, a considerable jump from 2022 ($8,030,385,250). In 2004, the county’s EMV was barely a quarter ($2,535,444,300) of its current value.
Larson went on to tout Clay County’s low per capita taxes versus the rest of the state. The per capita taxes for the Clay County residents is $581.86, which places the county 78th out of the 85 counties which reported such data in 2021 to the state auditor’s office. Charges for services in Clay County came in as the lowest in the state (85th out of 85 reporting counties) at $45.45, and total expenditures came in at $1,113.45 (79th out of 85).
“While Clay County remains one of the fastest growing counties in the state of Minnesota, and no citizens like to see a levy increase,” Larson said, “this commission continues to strive to be excellent stewards of the public funds.”
Clay Commissioner Frank Gross lauded the county for not only adding numerous buildings and projects, but also for keeping the yearly levies quite static.
“With all the information you’ve given us, you look at our tax levy,” Gross said. “And how consistent it’s been the last few years, and we’ve built a jail, a law enforcement center, a government center, a storage facility, a solid waste facility, we’re doing a detox center and now a motor vehicle center, I think we’re doing pretty good.”