North Dakota Communities Propose Sales Tax Increases to Fund Local Services

About a dozen communities in North Dakota are asking voters to approve sales tax increases this June to fund local services such as public safety, streets, and parks. These proposals follow the state's new 3% cap on year-to-year property tax increases, which allows communities to waive the limit if voters approve it on the general election ballot. In Minto, voters will decide on a half percent sales tax increase to fund infrastructure construction and maintenance.

Local governments are concerned that the state's property tax cap may make it difficult to cover basic expenses like payroll, building maintenance, and emergency services. Some communities have already used reserves to fund their 2026 budgets.