Tax Impact
A community-funded plan for our schools
If voters approve any of the proposed referendum questions, a property tax increase within our district will support the investments. The referendum plan was designed so that each question has approximately the same tax impact. If approved, the tax impact on a $150,000 home in our district would be:
Your tax impact is dependent upon the value of your property. You can instantly determine the projected tax impact of the referendum on your property using our referendum tax calculator below.
How long would these taxes last?
Taxes for the approved investments would take effect beginning with taxes payable in 2025. Levies for Questions One and Two would remain in effect for a 10-year term, subject to an extension by the school board in 2034. The levy for Question Three would remain in effect for a 20-year term or until bonds for the project have been paid off, whichever is sooner.
Would Badger Community School receive assistance from other funding sources?
Yes, but only for Question Three. Question Three is eligible for two forms of state aid – the Ag2School Tax Credit and Debt Service Aid.
The Ag2School Tax Credit is a 70% tax credit provided to all agricultural property except the house, garage, and one acre surrounding an agricultural homestead. It is a dollar-for-dollar credit with no application required. Debt Service Aid is provided to districts that meet certain requirements, and these funds are used to repay debt for school building construction and/or renovations.
If Question Three is approved, Ag2School credits would pay for approximately 23%, and Debt Service Aid would pay for approximately 43% of the project’s total debt service payments. Combined, the State of Minnesota would pay approximately 66% of Question Three’s total debt service payments.
Are there ways for taxpayers to reduce their tax impact if the referendum is approved?
Yes. Minnesota offers multiple 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.
