DEPARTMENT: Environmental Resources
FILE TYPE: Regular Action
TITLE
title
Certification Of Dakota County Portion Of 2025 Vermillion River Watershed Management Tax District Proposed Tax Levy
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PURPOSE/ACTION REQUESTED
Certify the proposed 2025 levy of $990,832 for the Dakota County portion of the Vermillion River
Watershed Management Tax District.
SUMMARY
By Resolution No. 02-347 (June 25, 2002), Dakota County executed a joint powers agreement (JPA) with Scott County to govern the Vermillion River Watershed. The JPA establishes a Joint Powers Board consisting of two commissioners from Dakota County and one commissioner from Scott County. Dakota County provides the primary staff support to the watershed organization with proportionate assistance from Scott County staff. The JPA also provides that by September 1 of each year, the Joint Powers Board will adopt a draft budget for the following calendar year and recommend a levy to each county for its share of costs for watershed organization activities.
By Resolution No. 02-296 (June 4, 2002), the Dakota County Board of Commissioners established the Vermillion River Watershed Management Tax District (Ordinance No. 127) to fund Dakota County’s portion of the watershed organization’s activities. Adopting a levy for the Watershed Management Tax District enables the County to tax property owners within the Dakota County portion of the watershed to fund services provided to them by the watershed organization rather than funding the services through the County’s general levy. By statute, any proposed levy on the Watershed Management Tax District for taxes payable in 2025 must be certified by September 15, 2024. Dakota County’s 2024 levy for the Watershed Management Tax District was $965,600; Scott County’s levy was $34,400.
Proposed 2025 Levy
On August 22, 2024, the Vermillion River Watershed Joint Powers Board held a hearing, adopted a proposed 2025 budget of $3,628,182 (Attachment: Draft 2025 VRWJPO Budget), and recommended a proposed levy of $990,832 for the Dakota County portion of the Tax District (the proposed Scott County levy for 2025 is $36,050). The proposed 2025 levy ($1,026,882) is a slight increase in the overall levy compared to 2024 ($1,000,000) but maintaining the same tax impact to the median-value residential property as it was in 2024. Changes in levy amounts between the two counties result from apportionment according to tax capacity.
In 2024, activities focused on monitoring water quantity and quality, cost-sharing capital improvement projects and best management practices, educating the public on water resources, managing the implementation of grant-funded projects, implementing a permit program in one township, and development of the 2026----2035 Watershed Management Plan. In 2025, the Vermillion River Watershed Joint Powers Organization will implement the current watershed plan, continue development of the 2026-2035 Watershed Management Plan, develop a new wetland bank, and continue coordination with local governments in project development and implementation, program evaluation, and permit oversight.
RECOMMENDATION
recommendation
It is recommended that Dakota County certify a proposed levy of $990,832 on the Dakota County portion of the Vermillion River Watershed Management Tax District for taxes payable in 2025. In December 2024, the final levy will be presented for County Board certification.
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EXPLANATION OF FISCAL/FTE IMPACTS
The proposed 2025 levy of $990,832 for the Dakota County portion of the Vermillion River Watershed Management Tax District represents a 2.6 percent increase from the amount levied in 2024. The impact of this levy on a median-value property within the Dakota County portion of the District (with a value of $372,300 for taxes payable in 2025), is to maintain the tax at $9.70 in 2025 as it was in 2024. This also reflects valuation changes and resulting tax shifts among median-value residential homestead properties (Attachment: Vermillion River Watershed Tax District Estimated 2025 Taxes). The Vermillion River Watershed tax appears as a part of the “special taxing district” item on the tax statement.
☐ None ☐ Current budget ☒ Other
☐ Amendment Requested ☐ New FTE(s) requested
RESOLUTION
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WHEREAS, by Resolution No. 02-347 (June 25, 2002), the Dakota County Board of Commissioners executed a joint powers agreement between Dakota County and Scott County to govern the Vermillion River Watershed; and
WHEREAS, the joint powers agreement establishes a Joint Powers Board consisting of two commissioners from Dakota County and one from Scott County; and
WHEREAS, funding is needed for Dakota County’s share of costs associated with managing the Vermillion River Watershed; and
WHEREAS, by Resolution No. 02-296 (June 4, 2002), the Dakota County Board of Commissioners established the Vermillion River Watershed Management Tax District through Ordinance No. 127 to fund Dakota County’s share of costs associated with managing the Vermillion River Watershed; and
WHEREAS, approval and adoption of the Watershed Management Plan, as required by Minn. Stat. Ch. 103B, occurred in June 2016; and
WHEREAS, the joint powers agreement states that the Vermillion River Watershed Joint Powers Board will adopt a budget and recommend a levy for the portion of the Watershed Management Tax District in each county by September 1 of each year; and
WHEREAS, on August 22, 2024, the Vermillion River Watershed Joint Powers Board adopted a proposed budget of $3,628,182, including the use of 2024 fund balance and grant revenues, and recommended that the levy for the Dakota County portion be $990,832 and the levy for the Scott County portion be $36,050; and
WHEREAS, Dakota County must certify a levy on the Watershed Management Tax District by September 15, 2024, to be effective for taxes payable in 2025; and
WHEREAS, the final 2025 levy for the Watershed Management Tax District will be presented to the Dakota County Board of Commissioners in December 2024.
NOW, THEREFORE, BE IT RESOLVED, That the Dakota County Board of Commissioners hereby certifies the Dakota County portion of the Vermillion River Watershed Management Tax District proposed levy in the amount of $990,832 for taxes payable in 2025.
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PREVIOUS BOARD ACTION
02-296; 6/04/02
02-347; 6/25/02
ATTACHMENTS
Attachment: Draft 2025 VRWJPO Budget
Attachment: Vermillion River Watershed Tax District Estimated 2025 Taxes
BOARD GOALS
☒ A Great Place to Live ☐ A Healthy Environment
☐ A Successful Place for Business and Jobs ☐ Excellence in Public Service
CONTACT
Department Head: Nikki Stewart
Author: Travis Thiel