Shakopee High School

Shakopee High School.

The Shakopee School Board held a Truth in Taxation meeting Dec. 13 regarding the district’s operating levy.

The levy will be collected in the 2022 calendar year and is set at $43,741,102.72. Funding generated by the levy will be provided to the school district in the 2022-23 fiscal year, beginning July 1, 2022.

The district’s Director of Finance and Operations Bill Menozzi gave a Truth in Taxation presentation to school board members at the meeting. Time was used to discuss tax changes compared to the previous year, the reasons behind these changes, how revenue can be distributed by revenue source and what spending could look like by program area.

According to Menozzi, there are four main variables that may lead to property tax changes: changes in market values, changes in class rates/history, a voter-approved referendum and state adjustments.

Increases in referendum market value can help mitigate the tax impact relating back to the operating levy ballot questions. The estimated referendum market value for 2021 is at $6.67 billion, the district’s all-time high and an estimated 7.99% increase compared to last year.

For the 2021 school portion of taxes, the median value Shakopee home ($317,000) paid $1,491. Keeping in mind the 3% inflationary increase for residential homes and the 7.99% referendum market value increase, the median value Shakopee home is estimated to increase to $326,510 in value for 2022 and pay an estimated $1,900 for the 2022 school portion of taxes. This change leads to an estimated tax increase of $409, or 27.43%.

This estimated tax increase is lower than the amount originally predicted. Previous levy publications expected the median value Shakopee home to see a tax increase of $597.77 if both questions passed from the Nov. 2 special election.

Menozzi said actual 2022 taxes will be less than previously predicted due to the referendum market value increase, the inflationary increase, three bond refundings by the district and the debt service excess fund balance adjustment.

Time was reserved at the end of the presentation for public comments and questions. No one from the public spoke during this time.

The board moved onto its school board meeting after the Truth in Taxation presentation concluded. This meeting included an action item to approve the levy, and the board unanimously carried the motion.

Menozzi said next steps are to certify the levy to the Scott County auditor and the Department of Education.