On Tuesday, July 22, 2025, Devils Lake residents will vote on a proposed 0.5% increase to the city sales tax. The vote will be held from 7:00 AM to 7:00 PM at the Memorial Building, 508 4th Ave NE, and is open to all city residents.

 

 

What’s Being Proposed?

The city is proposing a 0.5% increase to the current sales tax rate, which would take it from 2.5% to 3.0%. This additional tax is projected to generate approximately $960,000 annually in revenue.

 

Why Is the Increase Being Considered?

The proposal outlines five key reasons for the increase:

  1. CONTINUE TO PROVIDE HIGH LEVELS OF PUBLIC SAFETY SERVICES THAT ARE NOT SUSTAINABLE LONG-TERM WITHOUT ADDITIONAL REVENUE STREAMS.
    - The City has four more police officers and two more firefighters than it did 15 years ago, all while the population of the community has remained the same.
    - The City levied $1.75 million in general fund property taxes in 2025 and is budgeted to spend over $4.71 million on public safety this year. Other revenue sources (sales tax, utility bills, state aid) that are filling this gap are being used to their near max capacity.  Public safety service levels will either need to be reduced or revenue raised/redirected from City taxpayers and City utility accounts.  

  2.  PROVIDE A REVENUE SOURCE THAT REDUCES THE CITY’S DEPENDENCY ON PROPERTY TAX TO FUND THE CITY’S PUBLIC SAFETY OPERATIONS AND A SALES TAX THAT REFLECTS THE ECONOMY OF THE REGION
    Devils Lake is a regional hub with major industries like agriculture and tourism utilizing the economic and recreational assets of the region, while the City residents fund the necessary infrastructure and public safety services required.  
    - The nature of the regional economy and development patterns are unique to ND, with the City’s population relative to the regional population being an outlier compared to other significant ND communities.  

  3. MEET THE FUNDING NEEDS FOR PUBLIC SAFETY FACILITY PROJECTS, INCLUDING THE RELOCATION OF THE CITY POLICE DEPARTMENT TO AN UPGRADED BUILDING.
    - The uncertainty surrounding the future of the Law Enforcement Center, lack of adequate office, evidence storage, and garage space make the relocation of the Police Department the City’s most immediate facility need.  

  4. PROVIDES FLEXIBILITY FOR FUTURE FUNDING OF POTENTIAL UPGRADES TO OTHER CITY FACILITIES.
    - The City has long prioritized hard infrastructure investments in streets, water, sewer, and stormwater. If hard infrastructure is to remain a #1 priority of the City, an additional revenue stream is needed to make necessary capital investments in its facilities.
    - City Offices’ needed updates include; ADA improvements, modern security features, and heating & cooling upgrades.

  5. REDUCE THE BURDEN ON LOCAL TAXPAYERS BY OFFSETTING COSTS ON CITY UTILITY BILLS.
    - The residents of Lake Region recently approved property tax increases for the school district and ambulance service, as well as the .25% sales tax for park district quality of life projects. As part of the proposal, the City would lower utility costs for residents, compared to what they otherwise would be, by partially or completely offsetting the existing $9 monthly Water Source Replacement Fee with sales tax dollars. 

 

How Would the Money Be Spent?

According to the city’s projected breakdown for 2026–2030:

  • $400,000/year would go toward bond payments for a new public safety facility.

  • $200,000–$279,135/year would supplement public safety operations.

  • $235,000/year would go toward reducing residents’ water fees.

Any remaining balance would be available for future facility upgrades or paying down debt early. By 2030, the city estimates a reserve balance of $663,642 from unspent revenue and interest earnings.

 

 

Learn More

Residents can read the full breakdown and detailed justification for the proposal on the City of Devils Lake website.

You can also view the full sales tax proposal document here.