County proposing new tax increase

“Shall Eddy County levy and collect an additional tax of twenty mills for road and bridge purposes, for a total tax rate of thirty mills, for a period not to exceed ten years?”

That question will be posed to Eddy County voters on the June 11 primary ballot – a decision made by the Eddy County Commission during a special meeting on Monday, April 8.

If a majority vote “yes,” the path would be cleared for much-needed improvements to County Road 10, a.k.a the Brantford Road, a seven mile stretch of pavement that connects Highway 15 with 11th Street NE in Foster County.

Improvements to the Brantford Road have long been at the top of the priority list for county commissioners, and they’re looking to finally get it taken care of.

However, after reviewing cost estimates for the project at their regular April meeting, commissioners determined the county wouldn’t be able to afford the necessary improvements without a tax increase.

Of the three options reviewed by commissioners, each would cost several million dollars and require annual loan payments that exceed their yearly tax revenue levied for road and bridge purposes.

The least expensive option includes a full depth reclamation, six inches of aggregate and a dust control chemical – essentially returning the road back to gravel, an option which would cost approximately $3.04 million.

The second option, which is what the county has proposed moving forward with, includes a full depth reclamation, reshaping the base course and putting down a double chip seal coat, costing just over $4.46 million.

The final option is the most expensive, as it includes a full depth reclamation, reshaping the base course, adding HMA pavement and then a chip seal coat. This option would cost the county close to $7.9 million.

Without a “yes” vote on the measure to raise taxes, the county doesn’t believe any of those options is affordable.

Currently, Eddy County levies 10 mills for county roads and bridges, which is the maximum amount allowed by state law without a majority vote from Eddy County voters.

To help inform voters on the question in front of them, Eddy County Treasurer Kathy Anderson put together a breakdown of what an increase to 30 mills would mean for the average property owner in Eddy County.

For commercial properties in New Rockford and Sheyenne, a property with a valuation of $150,000 would see a $150 increase on the property tax statement each year for 10 years if the maximum mill levy is approved.

For residential properties in New Rockford and Sheyenne, a property with a valuation of $150,000 would see a $135 increase on the property tax statement each year for 10 years if the maximum mill levy is approved.

For Eddy County agricultural land with a property valuation of $200,000, there would be a $200 increase on the property tax statement each year for 10 years if the maximum mill levy is approved. So, if an Eddy County farmer had land valued at $1 million, this would be a $1,000 increase on their property tax statement each year for ten years if the maximum mill levy is approved.

Funding for the project outside of tax revenue is limited to funds from Operation Prairie Dog, a North Dakota program which allocates the state’s oil and tax revenue toward infrastructure funds.

However, Eddy County State’s Attorney Ashley Lies said the Prairie Dog funding available isn’t enough to pay for the project by itself.

“A big source of funding for roads has typically come from the Prairie Dog Funds,” wrote Lies in an email response to the Transcript. “However, with recent restructuring of these funds, the amount the County receives is less and less and comes nowhere near covering these projects that are essential for the safety and use of our residents.”

The county has also said the success or failure of this measure could impact a future project to improve County Road 1, which connects Sheyenne to Warwick.

“If this measure is defeated, Eddy County will not even be able to afford returning the Brantford road to gravel,” wrote Lies. “With this being our first project on our DOT list, until the Brantford road is fixed, Eddy County cannot move forward with its next projects (i.e. County Road 1).”

She added, “Like everything, the costs of projects continue to increase while our sources of funding either stay the same or are reduced. The Commissioners are working tirelessly to ensure each cent levied in Eddy County is used for the best purpose. It is a hard job and they are doing an excellent job at balancing the need for funding with the knowledge that nobody wants to see an increase in their taxes.”