TEST TW WEATHER

Explanation for Increasing the Town Tax Levy

Town of Kossuth

October 29, 2026

Explanation for increasing the Town Tax Levy

The Town Board seeks authorization to increase the town tax levy payable in 2027.

The primary reason for the proposed increase is for road maintenance. It has been 14 years since there has
been a levy increase and road construction costs and other expenses have risen dramatically.

While the levy has not been increased, the town tax has nonetheless increased due to borrowing for major
road projects. The Board was compelled to borrow in order to complete the reconstruction of Rockwood Road
from the railroad tracks to Stone Road in 2021.A significant State grant was also obtained for a portion of that
work. That loan will be paid off in 2027. We feel that paying interest on borrowed funds going forward is a
poor use of taxpayer dollars.

The Board seeks a levy increase of $250, 000 which is significant compared to the allowable levy of 297,523
however, when compared to what has already been being paid (due to borrowing) it is only $56,000 higher
than what was actually paid in 2025 and $113,000 more than 2026. The proposed increase is 26.1 percent
more than was paid in 2026 and 11.4 percent more than 2025. This would raise the town tax from $1.25/
thousand (2026) to $1.58/ thousand (estimated 2027).

Without elector authorization the State only allows levy increases for “net new construction” (after
adjustments). For Kossuth in 2027 that amount is a 1.1 per cent allowable increase which equates to $300.

In addition to highway funding there have also been significant increases needed to fund our fire protection
and ambulance services. While we were able to avoid a major increase in ambulance expense in 2027 our
ambulance service costs are expected to rise significantly for 2028 and beyond.

Some pending road projects include: Berringer Road, Shoto Road, Old Q Road, Popelar Road, Rockwood Road
(west end), Stone Road, and several small bridges just to name a few.
In 2026 we exhausted all available road grant funding.

Comparison of recent years town tax amounts:
2024                  2025               2026                    2027 (proposed)
431,905          491,285            434,131                     547,523

 

Town Chair – Board of Kossuth