Project Finance

Public Safety Facility Financing

During Minnesota’s 2023 legislative session, state lawmakers reviewed the City’s plan for new Public Works and Public Safety buildings and authorized the City to present a 1.25 percent sales tax option to local voters. Approved by voters Nov 7, 2023, the local sales tax will be used to pay for the $105 million cost of the projects, plus interest and the cost of issuing bonds. Here is how these project costs will be divided:

1. $15 million will be used to acquire land outside of downtown Golden Valley to serve as the location for a new Public Works building.

2. $45 million will be used to build the new Public Works building.

3. $45 million will be used to build a new Public Safety building near the current site of the Public Works buildings and will serve as a new Fire and Police headquarters.

When including interest and other financing expenses, the total cost of the Building Forward plan will be approximately $190 million spread over 30 years.

The local sales tax will generate 1¼ cents for every dollar spent, or 10 cents for every $8 spent. Automobiles, clothing, groceries, baby products, and feminine hygiene products are exempt from a local sales tax.