2025 Proposed Budget & Levy
City Council Study Session November 19
Owatonna community members are invited to attend a budget presentation during the City Council Study Session November 19 at 5:30 p.m. in the Chambers in the Charles S. Crandall Center at City Hall, 540 West Hills Circle.
The presentation will highlight the updates that have been made to the proposed 2025 budget and levy since it was approved September 17 by the City Council. Since then, Finance Department staff have received estimated personnel benefits costs and other information that will help shape the final 2025 budget.
The City of Owatonna’s 2025 proposed budget and levy was approved with an eight percent increase over last year. The City of Owatonna strives to align tax capacity with population and business growth. In recent years, Owatonna taxpayers have benefitted from increased tax capacity due to new construction and community growth. The rate at which the City has taxed properties over the past five years has been partially offset consistently by Owatonna’s increased tax capacity. The City’s actual tax rate in 2024 and the rate proposed for 2025 have remained low. For 2025, tax capacity is projected to increase by 7.2 percent.
Between now and the end of December, adjustments can be made to lower the levy; however, it cannot be increased from the amount that was certified to the County in September. Based on the amounts certified, Owatonna property owners are receiving preliminary tax statements this month from Steele County.
Following the Study Session, City staff will continue to refine the 2025 budget and levy to prepare to present it at the City’s annual Truth in Taxation Hearing December 3 at 6 p.m. which will include a summary of the 2025 budget and provide an opportunity for the public to provide input on the proposed budget. The City’s interactive budget documents are available at Owatonna.gov. For additional information, please contact a City Council member or Finance Director Emily Burns. The City Council is expected to take action to adopt next year’s final budget and levy at its December 17 meeting.