By Mani Souphom – R & J Broadcasting, Inc. | Tuesday, May 12, 2026
BAUDETTE, Minn. – The Baudette City Council took up widespread concerns over rising property tax bills during its latest meeting, as residents pointed to steep valuation increases driven largely by recent home sales and shifting market conditions.
The meeting, which also functioned as the Local Board of Equalization, drew several property owners who described dramatic year-over-year increases in assessed values. Some said their homes had risen by more than $100,000 in a single year despite no improvements, while others reported tax bills increasing by 30% or more. One homeowner said their property value had effectively doubled after remaining relatively stable for decades.
Many residents said the increases are especially difficult for those on fixed incomes, including retirees who rely primarily on Social Security. Several expressed concern that even modest percentage increases in assessed value can translate into unaffordable tax hikes when combined with school levies, county taxes, and city levies.
Lake of the Woods County assessor Alisa Jacobsen explained that the valuation process is largely driven by recent comparable sales, noting that a small number of higher-priced or cash transactions can significantly influence market-based assessments in small communities. She also emphasized that property values are only one part of the equation, and do not always directly translate into proportional tax increases due to changing levies and tax capacity calculations.
At multiple points during the meeting, the assessor role was referenced as being bound by state requirements and Department of Revenue guidelines. Jacobsen stressed that local assessors must follow standardized formulas, including how sales data is applied, how land and building values are separated, and how depreciation and condition are factored into assessments. She also noted that these rules limit the ability of local governments to independently adjust valuation methods in response to affordability concerns.
Residents questioned whether the reliance on recent sales, particularly cash purchases and investment-driven transactions, may be distorting values in smaller markets. Some argued that a handful of high-priced sales can disproportionately raise assessments across entire neighborhoods, even where no physical changes have occurred.
The council acknowledged those concerns, but also noted that Minnesota law requires the use of market-based valuation methods that superseded their capacity. They suggested that more subjective parameters to how assessments are calculated, especially in rural or low-population areas, would need to be addressed at the state level.
Councilwoman Liz Weigel offered remarks reflecting on the concerns raised throughout the evening and the city’s position in the process.
Council members also noted that property tax pressure is compounded by multiple taxing authorities, including county levies and school district referendums, which can amplify the impact of rising assessed values.
In further discussion on the financial impact to residents, Councilman Cole Nelson also pointed to the possibility that some homeowners may qualify for existing tax relief programs depending on income levels, encouraging residents to explore those options where applicable.
Toward the end of the meeting, the council voted to approve adjustments to several individual property valuations after review. The motion passed unanimously.
After the vote, a resident thanked the council for directly addressing appeals rather than deferring the matter to the county, a step many municipalities take instead of handling valuation disputes locally.
The discussion concluded with city officials encouraging residents to continue raising concerns and to bring them forward to local and state representatives, emphasizing that many of the constraints shaping property assessments are established at the state level and require legislative attention to change. KQ92 and KRWB will continue to follow Baudette city council meetings.
