The Prior Lake City Council has unanimously approved the city’s 2026 budget, totaling $52 million. This budget includes a $21.3 million tax levy, marking a 7.46% increase from the previous year. The primary focus areas are public safety enhancements and infrastructure improvements.
Investing in Public Safety
Nearly half of the levy increase is allocated to public safety. A recent staffing and compensation study identified the need for additional personnel, including a police sergeant, a police records specialist, and an IT specialist to support police technical needs. The study also highlighted wage gaps for officers compared to similar-sized metro cities. These investments aim to ensure the safety of residents around the clock.
Infrastructure Improvements
The budget also addresses the replacement of aging infrastructure. Many neighborhoods developed in the 1980s and 1990s require street and utility reconstruction. While property owners benefiting from these projects contribute through special assessments, the 2026 tax levy includes funding to supplement costs for projects like the Northwood Road Reconstruction and others outlined in the city’s Capital Improvement Plan.
Impact on Homeowners
For homeowners, the 7.46% levy increase does not directly translate to the same percentage increase in property taxes. Approximately 80% of property owners will see an estimated increase of less than 5%, equating to roughly $76 per year for a median-valued home in 2026 ($433,600).
City Manager Jason Wedel emphasized the city’s commitment to delivering high-quality services efficiently, stating, “We understand the impact that taxes have on household budgets, especially in today’s economic climate. The City is committed to continuously evaluating how we operate to stretch tax dollars further while delivering high-quality services at the lowest cost possible.”
For a detailed summary of the 2026 budget, residents can visit the city’s official website.