Lake Shore: Property owners to see 9.47% hike in city property taxes

Incoming mayor Krista Knudsen shares words of praise for outgoing mayor Kevin Egan

Lake Shore Mayor Kevin Egan (upper left) opens a gift as council members and staff watch during the council's Monday, Dec. 21, meeting held online via Zoom. Screenshot / Nancy Vogt

Lake Shore property owners will see the city share of their property taxes rise 9.47% from this year after the city council approved a general revenue tax levy of $1,402,716 for 2021.

The council also approved an overall 2021 budget of $1,496,239, which includes a 2% cost-of-living increase for city employees and $1,025 for the Initiative Foundation.

Lake Shore: Preliminary tax levy up 9.47% for 2021

The levy increase is related to operational costs in the following areas:

  • $10,500 for a long-term financial and sewer rate study from Ehlers & Associates.

  • 2% cost-of-living increase for employees based off a poll of surrounding communities.

  • .6% increase for the Pine River Area Sanitary District (sewer).

  • 2.4% increase for the audit.

  • $4,500 for liability insurance.

  • 3%-5% increase for most and 10% increase for police in workers compensation insurance.

  • $4,000 increase for the fire contract.

  • $5,000 increase for road maintenance.

  • $130,000 for bond payments, which will increase to $165,000 in 2022.

  • $7,000 for council and committee member pay increases. Monthly increases are: mayor, $350 to $400; council members, $250 to $300; planning commission members, $35 to $125; and other committee members, $20 to $50.

No one from the public asked questions about the budget or levy. City Administrator Teri Hastings was at city hall while council members participated online via Zoom.


Mayoral farewell

Incoming mayor and current council member Krista Knudsen thanked Mayor Kevin Egan for serving the city in that capacity for the past four years. Egan did not seek re-election.

“You’ve been many things - definitely a visionary. You’ve helped the city plan for the future. You’ve tackled many projects to help us plan for the future,” Knudsen said, noting Egan’s work on city hall, broadband and sewer, as well as calling in outside resources when council members weren’t able to work together as efficiently as they should.

“You’ve been a very strong leader through lots of challenges. It’s been really an honor. I learned a lot from you,” Knudsen said.

Council members Wayne Anderson and Doug Miller echoed Knudsen’s comments.

Egan said he’s learned a lot as mayor, including how to listen better.

“I’ve come to conclude that public service is a good thing,” he said.

Public safety

Police Chief Steve Sundstrom reported a quiet month with 77 incidents, including 31 traffic-related and 46 miscellaneous calls. Traffic activity included 22 warnings and two citations. Miscellaneous calls included eight suspicious activity, one structure fire and two property damage complaints. Lake Shore police assisted other agencies twice.

In other business Monday, the council:


  • Approved the final plat of Portview, a former resort (Portview) founded 99 years ago that closed nearly 50 years ago. The property includes 61 acres between County Road 107 and Lake Margaret. The applicant is the McClintick family, which includes council member Doug Miller’s wife, Mary, so he abstained from voting.

  • Learned the city is working with Nisswa on final engineering services from Widseth engineering firm to complete the Gull Lake Trail in both cities, with construction anticipated in 2022.

  • Approved a proposal from Ehlers & Associates for a long-term financial management plan and sewer rate study with an amended $500 fee ($250 each for the financial management plan and for the sewer rate study because the firm’s rates increased since submitting the plan to the city in June) for a total cost not to exceed $11,000.

  • Learned the city financial audit will take place Tuesday, Jan. 12, 2021.

Nancy Vogt may be reached at 218-855-5877 or Follow her on Facebook and on Twitter at



Nancy Vogt is editor of the Pineandlakes Echo Journal, a weekly newspaper that covers eight communities in the Pequot Lakes-Pine River areas - from Nisswa to Hackensack and Pequot Lakes to Crosslake.

She started as editor of the Lake Country Echo in July 2006, and continued in that role when the Lake Country Echo and the Pine River Journal combined in September 2013 to become the Pineandlakes Echo Journal. She worked for the Brainerd Dispatch from 1992-2006 in various roles.

She covers Nisswa, Pequot Lakes, Lake Shore and Crosslake city councils, as well as writes feature stories, news stories and personal columns (Vogt's Notes). She also takes photos at community events.

Contact her at or 218-855-5877 with story ideas or questions. Be sure to leave a voicemail message!
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