Source: Duluth Mayor To Propose Inflation-Only Property Tax Levy Increase

DULUTH, Minn. – Duluth Mayor Roger Reinert will be proposing a property tax levy increase of 4.1% for the city’s portion of the 2026 levy, a credible source inside city hall told FOX 21 Wednesday. But because there’s been new growth within the city, the 4.1% would actually end up being an inflation-only increase of 2.7% to property owners, according to the source.

The mayor’s announcement is expected Thursday, as the city deals with a $7.3 million deficit for 2026.

The expected announcement of a lower levy proposal comes after city administration earlier this spring said a 17% levy increase would be needed next year if the city continued to operate without any changes.

The city council has not yet set its maximum property tax levy.  That vote will happen before the end of the month, as required by state statute.

Meanwhile, the St. Louis County Board on Tuesday announced it agreed to set its maximum property tax levy at 12.4% for 2026.

Commissioner Ashley Grimm was the only board member to vote no.