Fargo Voters Pass Ten-Year School Mill Levy
Voters in Fargo cleared a major funding hurdle for local classrooms on Tuesday, approving an excess property tax levy that secures the district’s operational funding for the next decade. Valley News Live reported that the measure passed with 62.98 percent of the vote across all 17 precincts in Cass County, drawing 18,305 yes votes against 10,759 no votes out of 29,064 total ballots cast.
The decision allows Fargo Public School District No. 1 to levy up to 110.00 general fund mills effective Dec. 31, 2027. State statutes in North Dakota dictate that voters must reauthorize any excess mill levy if it is to stay active past 10 taxable years. The school system has operated under such a levy since 2002, with voters last reauthorizing it in 2017.
The Fargo Board of Education adjusted the requested excess levy down to 110 mills because it divided the general fund levy into separate categories permitted by state regulations: 109.98 mills for the general fund, 12 mills for the miscellaneous fund, and 4.8 mills for the tuition fund. The tuition and miscellaneous fund mills continue outside the excess levy measure.
Superintendent Details the Financial Stakes
Leading up to the election, Fargo Public Schools Superintendent Dr. Cory Steiner emphasized that the ballot measure did not authorize an increase in the district’s existing levy rate. Instead, the proposal maintained the existing tax rate the district has relied on since 2018.
In an October radio interview, Steiner asked if voters would continue to allow the district to levy tax at the same rate it had been taxing at since 2018, explaining that the measure was a continuation rather than a tax increase.
Had the measure been voted down, district leaders cautioned that property tax revenues would have been locked at the levels collected for the 2027-28 fiscal year until statutory caps caught up, resulting in a projected yearly budget shortfall ranging from $2 million to $2.5 million. That freeze would have blocked the school system from collecting additional revenue from new growth in the metro area, creating an extended period without access to additional revenue.
With the approval secured, the district avoids immediate program cuts and retains local tax revenue flexibility as taxable valuation grows. The authorization remains in effect through December 31, 2037.
Frequently Asked Questions About the Fargo School Tax Vote
What exact changes will property owners see on their tax bills?
Approving the 110-mill excess levy does not authorize an increase in the district’s existing levy rate. However, individual property tax bills can still fluctuate based on other factors, including changes in taxable property valuations.
What would have happened if the measure failed?
A defeat would have frozen district property tax revenue at collections from the 2027-28 fiscal year, preventing it from benefiting from additional property tax revenue associated with growth in the Fargo metropolitan area. The District would have needed to make budget adjustments, including cuts, reductions and reorganizations to programs, staffing, and services.
When does the newly approved levy take effect?
The authorization officially goes into effect on Dec. 31, 2027, and will remain in effect through December 31, 2037.
