2026 City Budget

City Council Sets Preliminary 2026 Budget and Tax Levy

Property taxes are one of the ways Roseville funds services including police, fire, streets, and parks. Each year, the City Council adopts a budget, which is the City’s overall spending plan for these services.

To pay for this budget, the Council sets a property tax levy, which is the amount of money the City collects from property owners. Property taxes comprise about 41% of the revenue that pays for the City budget.  Other sources of budget revenue include fees, charges for services (e.g. utilities), fines, interest earnings, use of reserves, and intergovernmental revenue and grants.

On September 22, the City Council adopted a preliminary city tax levy of $33.9 million for 2026. This ‘not-to-exceed’ levy establishes the maximum amount of property taxes the City can collect next year. The final levy will be adopted in December and may be lowered based on budget decisions, but it cannot be increased above the preliminary amount.

The Council also adopted a 2026 Economic Development Authority (EDA) tax levy of $264,826. Together, the preliminary City and EDA levies represent a 12% increase over 2025. For the median-valued home worth $378,600, that increase equals about $15.70 more per month, or $188.40 for the year.

At the same meeting, the City Council adopted a preliminary 2026 budget of $81.5 million. While the levy determines how much revenue will be raised from property taxes, the budget outlines how that money, along with other City revenues, will be spent. The preliminary budget, which can be adjusted before final adoption, includes additional Police and Fire department employees to meet growing service demands.

Earlier this year, Police and Fire department leaders completed staffing studies and identified a need for 22 additional public safety positions to keep pace with rising service demands. In response, City leaders are carefully weighing how to balance these needs with the tax impacts on residents. The Council is reviewing several levy scenarios that incorporate strategies to manage rising costs, including seeking federal and state grants for public safety personnel, reducing expenses in other areas, and exploring options such as utility franchise fees.

By adopting the preliminary city tax levy, the City Council signaled its intent to give itself the most flexibility while awaiting more details about potential outside funding and revenue sources. Council members expressed a clear desire to lower the levy before final adoption if additional resources become available.

Typically, the city manager presents one clear budget recommendation to the City Council. This year, given the complex budget decisions facing city leaders, Trudgeon decided to present several options. 

“We know the community values transparency in local government. We want residents to understand the factors we are weighing in this complex budget cycle,” Trudgeon said. “We want to maintain high-quality programs and services including police and fire services, which our community has come to expect. We also understand that property taxes impact family budgets. We are trying to balance both of those interests.”

The City Council will adopt the final 2026 budget and property tax levy on December 8. In the meantime, the preliminary tax levies approved by the Council will appear on the proposed property tax statements mailed to residents by Ramsey County in November. These notices show the maximum amount of taxes that could be due in 2026 from all taxing jurisdictions, including the city, county, and school district.

“Taxpayers should be aware that the County’s proposed property tax statement shows the maximum amount of property taxes that a property owner will be expected pay in taxes in 2026. All government entities, including the City of Roseville, will be looking at lowering the tax levy as part of final budget and tax levy consideration in December,” City Manager Pat Trudgeon said.