Prior Lake-Savage School Board sets preliminary levy at $33M

Prior Lake American

The Prior Lake-Savage Area School Board approved a 1.6 percent increase for the 2018 preliminary tax levy during a meeting on Monday.

The proposed levy is $33.3 million. The 2017 levy was $32.8 million.

Most homeowners won't see an increase in the school portion of the property tax due to an increased adjusted net tax capacity, Business Services Executive Director Julie Cink said.

Property taxes are determined by levies set by the school district, the city and the county. The net tax capacity increased 13 percent over 2017.

"The majority of homeowners will see a decrease in the school levy," Cink said. "As our district grows and that adjusted net tax capacity increases, that means more properties our levy can be spread across."

A school district levy is either set by the state formula or approved by voters. In 2017, the levy increased nearly 19 percent due to a $109.3 million referendum approved by voters in November 2017.

The levy would be certified by the board by the end of the year.