The 2022 tax increase for Perham property owners is much lower than originally predicted. In September, the tax levy was preliminarily expected to increase 13%, but the final approved tax hike is 2.37% — a more than 10% difference.
Perham City Manager Jonathan Smith said several factors contributed to this change, including decreased funding for economic programming and some unforeseen revenues that were added to the city's budget, such as a new agreement with Perham Public Schools for a school resource officer.
He said the main reason for the decrease, though, was a contribution from the municipal liquor store: $110,000 will be transferred from the liquor fund to the general fund to help decrease the tax burden on the city's residents and businesses.
Under the newly-approved levy, an average Perham homeowner (with property worth about $163,000) will see an annual tax increase of about $37.63. Commercial property worth about $200,000 will see an increase of $87.10.
The levy was approved and adopted by the Perham City Council at a meeting on Dec. 13, following a public hearing.
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Other topics explored at the meeting were:
The approval of a school resource officer for Perham-Dent Public Schools. Starting spring semester, local law enforcement will have representation in the schools, on a trial basis. There will be no regular school resource officer yet, and the job will be split amongst Perham police staff.
- The extension of the application period for the Property Tax Rebate Program for new single and two-family homes. The deadline has been extended from the end of 2022 to the end of 2024.
- American Rescue Plan Act Funds, which support government struggles due to the pandemic and were accepted by the city of Perham.
