Frequently Asked Questions

The Plan

  • The building could no longer adequately support the operations of the Fire Department and our residents’ growing need for additional community programs and activities.

    A facility needs assessment by an architectural firm identified a wide range of operational deficiencies at the building, including aging infrastructure, lack of flexible space and mechanical systems that need to be replaced.

    Additionally, the assessment highlighted that activities at the former community center impeded the fire department's need for safe, unobstructed, and prompt access when responding to emergency calls.

  • Dilworth residents have expressed a desire for a new community center building that offers more spaces for various events and programs that can benefit residents of all ages. Key features of the community center project include:

    • Community spaces for various activities

    • Areas for youth and senior programs

    • A large, modern kitchen

  • The city is in talks with a healthcare provider that is considering adding a clinic near the new community center if residents approve the local sales tax proposal to pay for it this November. Currently, Dilworth doesn’t have a health clinic within its city limits.

    Additionally, the city is in talks with a daycare provider to help address the childcare shortage in Dilworth and across Clay County.

    Further, the design of the new community center would leave opportunities for future expansion and amenities including an indoor walking track, an indoor playground, pickleball and tennis courts, and fitness facilities.

  • The former site didn’t offer enough space to accommodate a multi-faceted community center and a modern fire station.

    Further, a community center that attracts large groups of people conflicts with the fire department's need for safe, unobstructed, and prompt access to respond to emergency calls, according to BKV Group, an architectural firm that analyzed the condition of the city’s buildings. The firm recommended separate locations in the interest of safety and efficiency.

    The city is moving forward with plans to develop a new community center at a different location.

  • The city has been exploring with landowners about the possibility of locating a new site adjacent to the Rail District, but nothing is definitive at this point. More information will be provided once a location is determined.

    The vision for the project is to select a location that would attract new development and businesses to the city.

  • The community center has permanently closed as construction of the new fire station began in April. If residents approve a local sales tax referendum in November to help pay for the project, the city will move forward with detailed site planning and designs.

    At that point, construction would likely begin in 2026, and the new center would open sometime in 2027.

  • The city commissioned an assessment of the community center and fire department building, completed by BKV Group in July 2021. The review provided a detailed analysis of the facility’s challenges for both the community center and fire department.

    Following the study and determination the fire hall would be reconstructed on-site, the city has gained a better understanding of residents’ priorities for the community center through an online survey and other open dialogues. In February 2023, a committee of residents was formed to work with the city on concepts, planning, priorities, and logistics for the new community center project.

    An online survey posted to the city’s website found that residents wanted a facility that could support more programs, meetings and events of various sizes.

  • Absolutely. The city has already formed a committee of residents to work with the city on the new community center project. The committee and city officials will continue to engage residents and community stakeholders about how the community center should be developed through open houses, online forums, and dialogue during various community events.

  • An independent assessment of the current fire station concluded that the facility can no longer safely and effectively support the fire department’s operations and personnel. The assessment identified a wide range of critical operational deficiencies, including:

    • Insufficient space for vehicles and equipment

    • Increase risk of firefighter injury due to limited space

    • Overhead doors are outdated

    • Inadequate parking for firefighters

    • Insufficient space for putting on gear

    • Inadequate air-quality system

    • Firefighter gear exposed to diesel exhaust

    • No physical conditioning room

    • No safe area to decontaminate equipment from carcinogens

    • No lockers for firefighters

    • No onsite laundry facilities

    • Insufficient number of showers

    Following the study, the city determined that building a modern fire station was the highest priority to ensure that our team of 30-plus volunteer firefighters can respond promptly to emergency calls and provide other important services when needed.

  • Construction of a new fire station will begin in April and is expected to be completed by the summer of 2025.

  • No. The new fire station will be completed in phases that will allow the fire department to continue to use the current facility to respond to emergency calls and provide other services in Dilworth and nearby communities.

  • City leaders have already identified a location for voting and community events. Voting will take place at Dilworth Lutheran Church. The Dilworth Loco Daze committee is set to host the majority of the events in the Rail District.

  • If the referendum isn’t approved, the city will engage residents about why they didn’t support the plan and what their priorities are for future investments, including whether they want a new community center.

The Cost and Tax Impact

  • The preliminary cost estimate for the new community center is $7.2 million, though a final estimate will be determined once a location is identified, and more detailed designs are completed.

  • This November, the City of Dilworth is asking residents to consider a half-percent local sales and use tax that is expected to generate more than $6.1 million for construction and financing costs over the next 25 years. Annually, the sales tax is projected to generate approximately $250,000.

    For any remaining funding needs, the city will explore other options such as tax abatements, private investment, and facility revenues.

  • The City Council determined that a local sales tax was the best funding mechanism because it spreads the cost of the project among residents and nonresidents who will benefit from the new community center.

    According to a study by the University of Minnesota Extension Center, 35% of the sales tax would be paid by visitors.

    That means collections from nonresident spending would provide more than $2.25 million for the project.

    If a property tax increase was used, the cost would fall solely on homeowners and other Dilworth property owners.

  • No. The construction of a new community center is estimated to cost $7.2 million. If approved by voters, the local sales tax is expected to generate more than $6.1 million for construction and financing. The city will pursue other funding sources to pay for the remaining cost of the project as well as any future additions.

  • Much like a family that uses a mortgage to purchase a house, the city will use bonds to pay for the construction and pay both principal and interest each month.

    If the city waited to fund construction until the all the necessary funding was collected from the sales tax, the project would cost several times more than the current projection and take much longer to complete.

    More importantly, city residents will start to benefit from the investment in the next 2-3 years, instead of many years down the road.

  • If approved by voters, the half-percent sales tax will generate ½ of a cent for every dollar spent, or five cents for a $10 purchase.

  • Yes. The local sales tax uses the same exemptions as the state sales tax, including essential items such as clothing, groceries, baby products, and feminine hygiene products. The Minnesota Department of Revenue provides a full list of nontaxable items, here.

  • The University of Minnesota Extension Center for Community Vitality analyzed the economic effects of a local sales tax increase in other Minnesota cities and found little evidence that overall sales growth was impacted.

  • No. The local sales tax will be in place for up to 25 years or until its funding obligations are fulfilled, whichever comes first.

  • If approved by Dilworth residents, the sales tax would be implemented in the spring of 2025 and expire after 25 years or when $6.1 million for the project, plus interest and bonding costs, is collected, whichever comes first.

  • The current sales tax in the City of Dilworth is 7.375%. This includes the 6.88% Minnesota state sales tax and the .5% Clay County sales tax. If the .5% sales tax for the new community center is approved, the total sales tax will be 7.875%, effective in 2025.

  • Yes. A local option sales tax has become a popular option across the state to fund important public projects. Recent examples of communities that have used local option sales taxes include Clay County (jail), Moorhead (community center/library) Golden Valley (new public works and public safety buildings), Grand Rapids (civic center investments), Marshall (new aquatic center) and Beltrami County (new jail).

  • Residents, nonresidents and businesses who make purchases within the city limits. This also includes purchases made online.

  • If approved by Dilworth voters, the city will only be allowed to use the local sales tax to help pay for the community center. That is state law. The sales tax cannot be extended or used for any other purpose unless approved by the State Legislature and Dilworth voters.

  • The city is investing $10 million to build the new fire station using a combination of federal, state, and local funding that has already been secured.

Voting

  • The ballot question was written to align with state legislation and to conform with all legal and financial rules. The question asks for permission to use a half-percent local sales tax as the main source of funding for the community center. It also asks for approval to use bonds to finance the project for up to 25 years.

    Here’s what voters will see on the ballot:

    SALES AND USE TAX FOR COMMUNITY AND RECREATIONAL CENTER
    Shall the City of Dilworth be authorized to impose a one-half of one percent (0.5%) sales and use tax for a period of up to twenty-five (25) years, for the purpose of building a new community and recreational center at a principal cost not to exceed $5,400,000, plus associated bonding costs and interest?

    Yes

    No

  • Early voting will begin on Friday, September 20 at the Clay County Government Center.

    Election Day is on Tuesday, November 5. All Dilworth residents will vote at Dilworth Lutheran Church from 7 a.m. to 8 p.m.

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