County to tax abate new construction

A proposed Tax Abatement Policy for new construction of single and multi-family homes has been passed by the Lyon County Board.

The purpose of the Tax Abatement is to provide incentives in Lyon County to encourage the construction of new owner occupied and residential rental housing units and to increase the value of the future tax base for Lyon County Taxpayers.

A public hearing concerning the new policy will be held.

The new policy is in effect from July 1 to December 31, 2022.

“I can’t see why we can’t go back to the first of January, (and include those with building plans from that time on),” indicated Commissioner Gary Crowley.

The board did not address the issue of including abatements back to January 1.

A current Minnesota statute grants a political subdivision the authority to abate property taxes. Any person who constructs a new single home, duplex or multi-family complex consisting of 12 units or less will be eligible for the Tax Abatement.

“We need to give approval for each one,” said Commission Chairman Rick Graupmann.

The policy gives a tax abatement of the county’s share of increased real estate taxes for a period of four years.