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2021 Property Tax Error Notice

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Attention Fillmore County Taxpayers:

As many of you are aware, tax statements in the Kingsland School District were sent out with inaccurate totals.  In an effort to be as transparent as possible, Fillmore County understands it is our obligation to provide the taxpayers of Fillmore County with an explanation.

The tax calculation process is complex with numerous variables.  In its most simplistic form, your tax rate is developed by dividing the levy of each taxing authority by the tax capacity of the jurisdiction to produce a tax rate.  Once the tax rate is calculated, it is used to identify the tax liability of each specific property.  This formula ensures each taxing authority will only receive what was budgeted and that each taxpayer is only responsible for their fair share of the tax liability based on Minnesota Statutes. 

When calculating final tax capacity for the school district, the entire tax capacity of the district must be incorporated to ensure an accurate tax rate is developed.  As several school districts in Fillmore County span across county lines, we must exchange tax capacities with neighboring counties to ensure rates are correctly calculated.  While calculating Pay 2021 taxes, Mower County tax capacities were not included in the calculation of the Kingsland School District tax rate.  The calculation of a tax rate without the full tax capacity of the school district caused the tax rate to increase overstating the tax obligation of property owners in this district.

Unfortunately, the issue was identified after tax statements had been mailed.  To correct the issue, Fillmore County staff immediately recalculated tax liabilities with the Mower County tax capacities included in the equation.  Recognizing the issue was isolated to the Kingsland School District, only this district was recalculated.  In running the tax calculation program only utilizing the Kingsland School District, our tax software did not factor the tax capacity of parcels owned by agricultural homesteads spanning outside of the district.  Without the inclusion of these parcels, Agricultural Credits were calculated and applied to parcels which normally would not be eligible.

Lastly, the file produced to reissue tax statements did not update as anticipated sending many properties the same statement they had received originally.

The Fillmore County team recognized the significance of these issues and pulled resources, both internally and externally, to help find a resolution as quickly as possible.  We sincerely apologize for any inconvenience this may have caused.  We are pursuing measures to ensure it does not happen again in the future. 

Please contact us with any questions or concerns you may have.  Updated tax statements for the Kingsland School District parcels are on our website www.co.fillmore.mn.us, and if you don’t have access please feel free to call 507.765.3811 to inquire about your corrected tax liability.  If your parcel has an Agricultural Homestead Credit, we are still working to ensure we have identified and addressed any issues with the calculation of the credit.  We will contact the Ag Credit taxpayers once we are certain all issues have been resolved. 

Thank you for your patience and understanding.
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