Minot City Leaders Unveil Innovative Tax Relief Plan

In a bold move to alleviate the tax burden on its residents, the city of Minot, North Dakota, has approved a plan that will utilize its cash reserve funds to lower tax levies in the coming years. This decision, made during the first reading of the city's 2025 budget, aims to provide much-needed relief to homeowners and businesses alike.

Empowering Minot's Taxpayers: A Transformative Approach

Tapping into Reserves for Sustainable Tax Relief

The city council, led by member Mike Blessum, has proposed a plan that would allocate approximately .6 million from the city's general fund to alleviate tax levies in the next year. Additionally, the council has outlined a strategy to spread another .6 million over the following three years, effectively reducing the tax burden on Minot's residents.According to Blessum, this move would result in a savings of just under 0 for a home valued at 0,000. The council member emphasized that the city has been accumulating a substantial cash reserve, with a reported million left at the end of the previous year, following a comprehensive audit.

Prioritizing Fiscal Responsibility and Transparency

Blessum's proposal challenges the traditional approach to municipal budgeting, highlighting the fact that the city has consistently spent less than the revenue it has generated over the past six years. He argued that governments should aim to provide services at a break-even point, rather than accumulating significant surpluses."Governments are not in business to make profits. That's not how that should work. Governments exist to provide services at a break-even point. Folks, we're not doing that. We are not breaking even as a city, and we haven't for more than six years," Blessum stated.

Balancing Priorities and Addressing Concerns

While the council unanimously approved Blessum's plan for the upcoming year, they have yet to finalize the details for the subsequent three-year period. Finance Director David Lakefield cautioned that there are several factors to consider, such as the local share of legacy infrastructure, flood protection, and the ongoing remodeling of the old city hall building.City Manager Harold Stewart acknowledged the feasibility of Blessum's proposal, stating, "Do you use the money you have on hand now to do that, or do you give it back in relief and then figure out another way to pay for that later on down the road? I think that's really the crux of the conversation. But what Alderman Blessum has on the table today is doable."

Empowering Taxpayers: A Council Commitment

Council member Rob Fuller echoed Blessum's sentiment, emphasizing that the council has a responsibility to return unused taxpayer funds to the community. "This money is the people's money. It was taxed by them, or from us, or by us to them. They gave it in we haven't spent it. Let's give it back to them. There's no point in sitting here determining if we need to spend it on something else. It's their money," Fuller stated.The council's unanimous approval of Blessum's plan for the upcoming year sets the stage for a second reading of the 2025 budget on October 7th, where the council will further deliberate on the long-term implementation of this innovative tax relief strategy.