Dakota County Board Sets Maximum 2027 Property Tax Levy Increase at 18.5%
Published: September 23rd, 2026.
DAKOTA COUNTY— The Dakota County Board of Commissioners voted Tuesday to set the county’s maximum proposed property tax levy increase for 2027 at 18.5%.
The preliminary levy totals approximately $218.3 million, an 18.5% increase over the county’s 2026 property tax levy. Of that amount, about $2.76 million is designated for the county’s General Fund unassigned fund balance.
The increase is a maximum, meaning commissioners can lower the levy before adopting the final 2027 budget and tax levy in December, but cannot increase it beyond the amount approved Tuesday.
County officials have pointed to rising operating costs, state and federal cost shifts and pressure on the county’s fund balance as factors contributing to the proposed increase. The county’s fund balance has fallen significantly in recent years, from approximately $127 million in 2020 to a projected $6 million in 2026.
The 18.5% levy increase does not mean an individual homeowner’s total property tax bill will increase by 18.5%. The levy represents the total amount Dakota County would collect through property taxes, while an individual property owner’s bill depends on factors including property value and changes throughout the county.
The county is expected to continue working on the 2027 budget before taking final action later this year.