Investing in New Police and Fire Facilities

The City has worked hard to develop a plan that balances public safety needs with responsible use of taxpayer dollars.

Estimated Project Cost

Current estimates place the total cost of new police and fire facilities at $61.5 million, with a bonding limit of $65 million. Setting this bonding limit means project costs cannot go beyond the $65 million amount.

The $61.5 million estimate covers:

After studying a range of options, the City determined that anything less than $61.5 million would sacrifice essential features — such as private interview rooms for victims and suspects at the police station

How the Cost of New Facilities Compares to Renovations

The City carefully evaluated renovation and expansion options for the existing police and fire facilities. While some improvements could address short-term issues, many renovation concepts approached the cost of building new without solving the underlying limitations of aging buildings originally designed for very different public safety needs.

Maximizing Value for Owatonna Taxpayers

In facility planning, the “60% rule” is a common benchmark – when renovation costs exceed about 60% of the cost of a new building, it is wise to evaluate whether renovating the existing facility is worth the investment compared to the cost of new construction. 

Based on this and other analysis, the City determined that new facilities would provide the best long-term value, operational efficiency and public safety functionality for the Owatonna community.

Financing Plan

If approved by voters, the City would issue bonds to finance the projects, which would be supported through a property tax levy beginning with taxes payable in 2027. Based on current assumptions, the bonds would be repaid over approximately 20 years. Final tax impacts have not been determined and would be established through the City’s formal approval process.

The City has created a tax calculator to help residents estimate their potential tax impact.