4.79% levy increase driven by valuations

The Cloquet school board approved a maximum levy increase Monday after a Truth in Taxation meeting that had no input from the public. Taxpayers can expect a 4.79-percent increase in the school portion of their taxes for the year 2024.

District budget manager Candace Nelis said a huge factor in the increase is the delicate dance of state aid in contrast to property values in school districts. Values on property in Carlton County increased by up to 7 percent, Nelis said, meaning that even a “zero” increase in school taxes would leave residents paying more.

And state aid is based on a funding formula that includes property values. If values in a district are down, more state aid covers the gaps. As values increase, the state aid can shift lower.

Nelis said the driver of the tax increase is for lingering debt service shifts for projects like the new middle school. Nelis and superintendent Michael Cary wanted to make it clear to taxpayers that more recent district projects, like the upgrade in the athletic fields and other facility improvements, have all been done with existing money and had no sway in the levy increase.

The money from taxpayers is just 16 percent of revenues for the district, on the low end compared to districts with similar student populations across the state.