By Tom Hintgen

Otter Tail County Correspondent

County commissioners, concerned about the possibility of the state legislature passing along a portion of state taxes to county taxpayers, hosted an informational session Tuesday morning, April 15, open to the public. Joining the discussion were state Sen. Jordan Rasmusson and State Rep. Jeff Backer.

The governor’s budget calls for shifting millions of dollars in state taxes to counties, resulting in much higher property taxes. In Otter Tail County, the additional taxes would add 6.5 percent to the tax levy for 2026, possibly raising the overall tax increase to more than 10 percent.

“If property taxes were increased by 12 percent, many residents of Otter Tail County would be forced out of their homes,” said County Board Chairman Wayne Johnson of Pelican Rapids. “This would be the final straw that breaks the back.”

In response, Rasmusson and Backer said there is still time to change course at the state legislature in St. Paul, with alternatives to state tax shifts from the state government to county government. 

“Shifting costs to counties will directly impact property taxes and will affect the most vulnerable populations, who are already struggling to pay for basic needs such as housing, groceries and health care,” said county Commissioner Kurt Mortenson of rural Underwood.

Rasmusson and Backer said counties from throughout Minnesota are contacting legislative committee chairpersons who are reviewing the state budget relating to health and human services, state government aid to counties, paid family and medical leave and other proposals.

The key to success is keeping tax shifts minimal from the state to the counties, said Rasmusson and Backer, are through the legislative conference committee. This will come about when designated members of the state House and state Senate meet to reconcile differences in legislation.

Well before the conference committee meets, Rasmusson and Backer pledge to have their voices heard that they strongly oppose a major tax shift from the state to the counties. 

“We need help from people in Otter Tail County and urge them to contact committee chairpersons in both the state House and state Senate,” Backer said.

Names of lawmakers who head tax committees, along with contact information, can be found on the Minnesota State Legislature website.

“We also can find other areas in state government in which to cut, keeping the needed services for people here in Otter Tail County,” Rasmusson said. One example is a multi-million rail project from the Twin Cities to Duluth, no longer seen as viable.

Also meeting with Rasmusson and Backer, in addition to county commissioners, were county government personnel, business leaders, school officials and county residents at the Government Services Center in Fergus Falls.

The Otter Tail County budget for 2025 is $145 million. Close to 40 percent of the county budget is funded with local property tax dollars. The additional needed funding comes from the state and federal governments.

All five county commissioners praise county departments for adhering to reasonable restraints to work within the parameters of the county budget.