Waite Park Holds Public Hearing On 2023 Budget

(KNSI) – Waite Park held a public hearing to discuss its proposed 2023 budget Monday night.

Forecasted at $11,435,983, the city intends to spend 5.3 percent more than the current year. Most of the comments received were on the property tax hikes and how they are tough to handle on a fixed income. One man said his valuation jumped by nearly $40,000.

Mayor Rick Miller says that was the norm this year and he understands the burden it presents to homeowners.

“They’re always about 18 months behind. So, this is when houses were overinflated. This isn’t today’s dollar, this is 12 to 18 months back dollar when, like you say, all your neighbors were selling their houses for way more than they were worth. What that did to you who didn’t sell your house and want to still live there, all that did is push your valuation up, which ultimately pushes up your taxes.”

Another topic addressed was state financial assistance. Waite Park is one of the only cities in the area that does not get Local Government Aid. The formula is based on a 1950’s law and it determines that Waite Park has enough tax base thanks to big box stores like Fleet Farm, Menards, and others.

Administrator Shaunna Johnson says city staff have spoken to officials in St. Paul about the formula at length. She says they continue to convey the additional costs that come along with having a well-established business district.

“The tax base of the businesses is nice but it does place an additional burden on services. For example, we have 23 full-time police officers in a community of 8,800.”

Waite Park must fund all operations based off of only property taxes and sales taxes as a result. It is estimated that roughly 80 percent of the sales tax generated comes from purchases made by non-city residents.

The proposed budget will be debated by the city council and approved on December 19th.

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