Brainerd City Council Sets 2026 Preliminary Levy at 8% Increase

The Brainerd City Council has set the preliminary levy for 2026 at an 8% increase from this year.

Council members came to the decision during a special meeting last week after an initial motion to set the preliminary levy at 10% failed in a 6-1 vote.

Finance Director Connie Hillman stated that both personal services and the Brainerd Lakes Regional Airport account for a large portion of the increase. Personal services are currently slated at a $600,000 increase, and airport funding accounts for 3% of the preliminary increase alone.

Brainerd City Council members expect the final levy will settle at a lower rate.

“Right now, we’re at about 9.82% to get down to that 8%,” explained Hillman. “We need to find about another $130,000 either of reduced expenditures or increase in revenues in order to have a balanced budget. We’re going to have to just really look at revenues and expenses again, and then we’ll have bring it to council and say, ‘Okay, so do you want to use [the] fund balance? Is there certain things that you want us to cut?’ We’re going to have to have hard conversations.”

Councilors are hopeful the final levy will be at 6%.