Hibbing council sets preliminary levy, cites reduced state aids and rising costs

The Hibbing City Council on Sept. 17 approved a preliminary budget and a preliminary levy request that would amount to a 9.99% increase over the previous year, city Finance Director Sheena Mullin said.

Mullin told councilors that certified Local Government Aid (LGA) had increased by $21,840 (about 0.23%), while taconite aids were expected to decline by $133,972 (about 5.8%). At the same time, general fund expenditures are projected to increase by approximately $1.2 million, or 5.4 percent. The preliminary levy figure includes the HRA and airport preliminary requests and will be printed on proposed tax statements sent to residents in November.

Mullin said city staff will continue reviewing the budget and will work to reduce the levy amount before the council adopts a final levy in December.

Action: council adopted a resolution setting the preliminary budget and levy for taxes payable in 2026 and directed staff to continue refinement ahead of the final levy-setting meeting.