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County denies city's abatement bond request

By
Mavis Fodness, reporter

Rock County Commissioners declined to participate in a tax abatement bond requested by the city of Luverne.
Luverne officials plan a $5 million expansion of Luverne Area Aquatics and Fitness and will pay for the project though a $5.8 million tax abatement bond.
Commissioners discussed that there was no county interest in participating in the abatement and unanimously denied the abatement request.
City officials identified 175 parcels in Luverne to act as collateral to make the anticipated bond repayments of up to $340,000 annually.
Without the county’s participation, the city qualifies for a 20-year repayment period versus 15 years if the county did participate in abatement.
According to County Administrator Kyle Oldre, the abatement bond and pool improvement project was discussed at a city-county liaison committee meeting.
“They are not taking the county tax, school tax or any special assessments, just the city portion of the these parcels would go, in theory, to the bond payment,” Oldre said.
A state-required public hearing for the city to issue the tax abatement bond is set for Jan. 12.

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