NEW ULM – New Ulm is looking at a potential 9.79% levy increase in 2026.

At an Aug. 19 work session, the New Ulm City Council reviewed the budget for the upcoming year. New Ulm Finance Director Nicole Jorgensen said the city was initially looking at a 17.9% increase, but through the use of reserve funds, the budget was reduced to a 9.79% increase.

Jorgensen said some of the contribution to sinking funds were reduced. The City Facility fund was cut from $750,000 to $400,000.

Jorgensen said the contribution to the sinking fund for city facilities is still higher than normal, but multiple larger projects are coming up within the next year.

Some of the increases were out of city control. Health insurance saw a 25% increase. The city managed to cut it to a 22.7% increase with hopes to reduc

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