Story2027 Property Tax Levy and Budget SettingSeptember 30, 2026

Hennepin County Board Sets Higher 2027 Property Tax Levy Amid State and Federal Funding Declines

Despite a proposed 2027 budget that is lower than the previous year, the Hennepin County Board approved a maximum property tax levy increase, citing a significant drop in state and federal funding for crucial human services.

Published Oct 3, 2026

The Hennepin County Board moved forward with its financial planning for 2027, setting a maximum property tax levy that will increase from the previous year. This decision comes despite the county’s overall proposed budget for 2027 being lower than that of 2026, a discrepancy officials attributed primarily to a projected $28 million reduction in federal and state funding for mandated human services.

The approved maximum levy establishes the highest amount the county can collect from property taxes, with the final levy to be adopted later this year. Commissioners emphasized the necessity of the increase to maintain essential public services and address the needs of vulnerable residents, even as the county tightens its overall spending.

The 2027 budget is lower than the 2026 budget. However, the 2027 levy is more than the 2026 levy. Property tax is just one part of the county's revenue. Federal and state funding for mandated human services drops by nearly $28 million just next year.
— Commissioner Fernando

This funding gap prompted discussions among commissioners about the increasing reliance on local property taxes and the shifting burden onto residents. Several expressed hope for legislative intervention to provide relief and explore alternative revenue streams.

I really hope that the legislature starts to look at this and address this because we need some relief here. And we have seen, like our county assessor said, over the last 10 years, we have seen a real switch from the the business industrial sector to the residential sector.
— Commissioner Gotel

I again think that looking at new sources of revenue, looking outside of the box at ways that we can bring dollars in that are not property tax dollars, will be beneficial for us as a county to just look at diversifying that portfolio.
— Commissioner Connley

Other Topics from This Document

Recognition of Helping Paws and the Hortman Family's Contribution
County Jail Detainee Housing Agreements
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Juvenile Detention Center Safety Project
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Mental Illness Awareness Week Proclamation
Domestic Violence Awareness Month Proclamation
HRA 2027 Levy and Budget Setting
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HRA Property Lease Agreement Approval
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RRA 2027 Levy and Budget Setting
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Votes (10)

Recognizing the Impact of Helping Paws and the Hortman Family on Hennepin County

Passed Unanimously

Dissent: None

Moved by Commissioner Eden [00:03:03] · Seconded by Commissioner Fernando [00:03:04]

Commissioner Eden initiated the recognition, detailing Helping Paws' work and the Hortman family's profound contributions, including raising assistance dogs. Alisa from Helping Paws spoke emotionally about the establishment of the Hortman Heroes Fund following tragic losses. Angie, a service dog recipient, shared personal testimony on the life-changing impact of her dog Ora. Commissioners expressed gratitude and emotional connection to the cause and the family's legacy.

Amendments to agreements with county jails or correctional facilities to temporarily board Hennepin County detainees extend the end dates to 12312027

Passed Unanimously

Dissent: None

Moved by Commissioner Fernando [00:27:03] · Seconded by Commissioner Gotel [00:27:09]

Joel Phil from the Sheriff's Office explained the need for these agreements due to ADC capacity. Commissioner Anderson moved an amendment to explicitly cap the 'not to exceed' amount to 'annexing needs' for transparency, which was seconded and supported by commissioners. The Board acknowledged the Sheriff's Office for reducing the requested amount from an earlier figure, reflecting responsiveness to board feedback.

To set the maximum 2027 property tax levy and proposed 2027 budget

Passed Unanimously

Dissent: None

Moved by Commissioner Fernando [00:33:23] · Seconded by Commissioner Gotel [00:33:31]

Commissioner Fernando highlighted the board's pride in the budget's direction to protect services and vulnerable residents, noting the 2027 budget is lower than 2026, but the levy increased due to federal and state disinvestment. Commissioners Gotel, Connley, Green, and Anderson emphasized the strain on residents from property taxes and other rising costs, advocating for state legislative reform and diversified county revenue sources to address federal funding gaps.

To establish a closed meeting to discuss Henepin Healthcare System Inc. capital budget and campus plan on October 6, 2026

Passed Unanimously

Dissent: None

Moved by Commissioner Fernando [00:49:10] · Seconded by Commissioner Green [00:49:13]

The item was presented as a straightforward procedural matter to schedule a closed meeting for discussing sensitive financial and planning details related to the Hennepin Healthcare System Inc.'s capital budget and campus plan.

To award an agreement to Dawn Construction for the juvenile detention center Dave Room safety project at $1.21 million

Passed Unanimously

Dissent: None

Moved by Commissioner Gotel [00:49:59] · Seconded by Commissioner Anderson [00:50:00]

Christy Duffy detailed the project's safety and operational upgrades for the JDC's day rooms. Commissioner Gotel supported it as a move toward a 'friendlier facility.' Commissioners Connley and Eden expressed hesitant approval, questioning the investment in an aging, underutilized building versus newer models like the Youth Stabilization Center, while acknowledging immediate safety needs and calling for a broader strategic discussion on the future of juvenile detention.

Mental Illness Awareness Week Proclamation Offered by Commissioner Connley

Passed Unanimously

Dissent: None

Moved by Commissioner Connley [01:06:21] · Seconded by Commissioner Fernando [01:06:24]

Commissioner Connley introduced the proclamation, noting it was requested by the Adult Mental Health Local Advisory Council. She emphasized the proclamation's goal of raising awareness, reducing stigma, and fostering open dialogue about mental health within the community, encouraging residents to seek and share support.

Declaring October 2026 to be Domestic Violence Awareness Month in Hennepin County

Passed Unanimously

Dissent: None

Moved by Commissioner Fernando [01:09:12] · Seconded by Commissioner Connley [01:09:14]

Commissioners Fernando and Connley introduced the proclamation, detailing the widespread impact of domestic violence and outlining Hennepin County's comprehensive efforts through the Domestic Abuse Service Center, Sheriff's Office, Community Corrections, and Safe Communities department. Commissioners Anderson and Gotel highlighted community partners like Maria's Voice and Cornerstone and expressed concern about rising aggressive behaviors, calling for increased accountability and support for victims.

To set the 2027 Hennepin County Housing and Redevelopment Authority maximum property tax levy and the proposed 2027 budget and schedule a public meeting

Passed Unanimously

Dissent: None

Moved by Chair Green [01:21:49] · Seconded by Unknown [01:21:51]

Kevin Dockery presented the HRA budget, emphasizing a 0% property tax levy increase while the overall budget grows due to local affordable housing aid (LAAHA) sales tax funding. Chair Green highlighted the $15.4 million in LAAHA funds, which will enable significant new affordable housing production, preservation of existing units, homeownership opportunities, and sustainable housing initiatives without increasing property taxes.

To approve a lease agreement with Skyidge 2 LLC for rental of a 14,400 square ft hikra property in Minnetonka for a period October 1st, 2026 to September 30th, 2031

Passed Unanimously

Dissent: None

Moved by Chair Green [01:29:01] · Seconded by Commissioner Anderson [01:29:13]

The item involved the approval of a five-year lease agreement for an HRA property in Minnetonka. The lease, for 14,400 square feet, represents a continuation of an agreement established in 1996 and includes receivables of $8,800. The discussion was brief and procedural.

To set the 2027 Hennepin County Regional Railroad Authority maximum property tax levy and proposed budget with a public meeting and adoption of the final 2027 budget and levy scheduled

Passed Unanimously

Dissent: None

Moved by Chair Green [01:31:02] · Seconded by Commissioner Gotel [01:31:07]

Lisa Cerny presented the RRA budget, noting a 0% increase in the 2027 property tax levy while detailing increased investments in invasive species management, tree planting towards the million-tree goal, and progress on Green Line and Blue Line extensions. Commissioner Gotel praised the collaboration with the Met Council and excitement for transit projects. Chair Green highlighted the flat levy as a significant achievement given the substantial work underway.

Notable Quotes (33)

I just want to thank Angie, Alisa, um well, excuse me, Angie Orla um and Orla is the lovely dog that's here and then Alisa from Helping Pause. Uh many months ago, I had sent Alisa a a letter um thanking them for their great work.
— Commissioner Eden [00:04:10]

Recognizing the Impact of Helping Paws and the Hortman Family on Hennepin County

It's my pledge to the family. It's my pledge to those kids. I'm Melissa's age. Those kids could have been mine. And so, we're honored to do it. We're honored to do the work. We're honored to change lives through the use of assistance dogs for um those with mobility issues, veterans and first responders with PTSD, as well as facility dogs.
— Alisa [00:13:00]

Recognizing the Impact of Helping Paws and the Hortman Family on Hennepin County

the gifts that they have given by training assistance dogs to benefit people like me cannot be um overstated. Uh these dogs know about 80 different commands and um she helps me when I pick up stuff that I drop.
— Angie [00:15:32]

Recognizing the Impact of Helping Paws and the Hortman Family on Hennepin County

And there was this bench that was dedicated to Melissa and Mark that I had not known was there. And um I'd like to say that Gilbert is you know who allure, you know, who who brought my dog to that bench. And so, uh, dogs do have a way of, um, bringing a connection emotionally, um, both in grief and in healing.
—

Ordinances & Resolutions (10)

Board action request authored by Commissioner Anderson in September 2023Other

Recognized September as National Service Dog Month in Henipin County

Board resolution 24520Resolution

2024 resolution authorizing negotiation with seven counties to reduce ADC population

Board resolution 25210Resolution

2025 resolution authorizing additional amendments to Scott and Wright County agreements

2027 property tax levyOther

Levy to be set by the board

2027 proposed budgetOther

Budget to be set by the board

Climate Action PlanPlan

Foundational strategy for preventing food waste

THE HENNEPIN COUNTY RECORDER

Hennepin County Board Sets Higher 2027 Property Tax Levy Amid State and Federal Funding Declines

Other Topics from This Document

Recognition of Helping Paws and the Hortman Family's Contribution

County Jail Detainee Housing Agreements

Juvenile Detention Center Safety Project

Mental Illness Awareness Week Proclamation

Domestic Violence Awareness Month Proclamation

HRA 2027 Levy and Budget Setting

HRA Property Lease Agreement Approval

RRA 2027 Levy and Budget Setting

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Votes (10)

Notable Quotes (33)

Ordinances & Resolutions (10)

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