Minneapolis Mayor Proposes 11.3% Property Tax Hike Amid Budget Shortfall
Mayor Jacob Frey's proposed 11.3% property tax increase in Minneapolis to address a $60 million budget gap is projected to impact homeowners differently across various areas. Some neighborhoods, like Ward 12 in southeast Minneapolis, could face increases of 20% or…
Minneapolis St. Paul, MN, August 23, 2026 —
Minneapolis is facing a significant budget gap, prompting Mayor Jacob Frey to propose an 11.3% property tax increase. The proposed hike is intended to address a projected $60 million shortfall in the city’s budget.
The property tax increase is not expected to affect all homeowners uniformly. Projections indicate that the financial impact will vary considerably depending on the neighborhood. Data suggests that certain areas could see considerably higher percentage increases than the city-wide average.
For instance, Ward 12, located in southeast Minneapolis, is among the areas anticipated to experience the most substantial rise in property taxes. Estimates indicate that homeowners in this ward could face increases of 20% or more. This elevated impact is attributed to changes in estimated market values within the neighborhood, which are factored into property tax calculations.
Conversely, other neighborhoods within Minneapolis may experience lower property tax increases. The varying impact across different areas highlights the complex interplay between the city’s overall budget needs, individual property assessments, and market value fluctuations.
The specifics regarding the exact financial burden on individual homeowners and the precise timeline for the proposed tax increase were not detailed in the provided summary. Further details on the implementation and the full scope of the budget gap solution are expected as the proposal moves through the city’s legislative process.
Story summarized from the original created by Cory Knudsen on kstp.com, see more information here.
