FAIRMONT– On Tuesday the Martin County Board of Commissioners approved the preliminary budget with a 9.76 percent levy increase. The board also set the truth in taxation meeting time and date of 6 p.m. on Dec. 2. At that point it will adopt the official 2026 budget and levy, which can only decrease from now, not increase.

The board also heard from County Attorney Taylor McGowan who went over the state statutes related to regulations of the potential for collection of local gambling revenues through contributions or tax to counties. Some commissioners had previously asked McGowan to look into this.

McGowan spoke of two findings, one was a statute that outlines a localities’s authority to either require 10 percent contributions from charitable gambling organizations within its jurisdictions or impose a 3 percent local gambling tax.

He provided a list of the 2024 organizational annual report that located all charitable gambling locations in Martin County.

“One thing to note… the county’s jurisdiction in this matter would be limited to those areas outside of the city jurisdiction. We would not be able to impose the 10 percent contribution or 3 percent tax on charitable gambling occurring within Fairmont or Sherburn or Truman. It would only be areas in the county but outside those municipal jurisdictions,” McGowan explained.

This would leave two. McGowan said firefighters have pull tabs at Ghost Town Tavern and Fox Lake Conservation League has pull tabs at Fox Lake Golf Course.

He found a list of the reports made by jurisdictions in the state that impose either a gambling tax or contribution and found no counties that require either. They were all municipalities and he said of those, the only one that actually has a 10 percent lawful gambling contribution is the city of Andover.

“Every other municipality just allows itself to a gambling tax,” McGowan said.

He said most were in the metro except Austin has a half percent gambling tax, Mankato has a 3 percent gambling tax and Worthington has a 1 percent gambling tax.

“You can only collect enough money to actually offset your expenses and policing gambling. Anything that’s collected above and beyond that has to be returned to the organizations that are taxed,” he explained.

McGowan added that there would be some administrative costs associated with collecting the tax.

Commissioner Billeye Rabbe asked if there was any estimate on how much money could be generated with a 1 percent tax.

McGowan reminded her that there were only two entities to collect from and that it would only be net revenue from pull tabs at the two locations.

“We don’t have any for-profit gambling operations in our county. We don’t have a casino. It’s all charitable gambling,” McGowan pointed out.

He said he would need to look at how taxes are applied once the organizations give their charitable contributions.

Commissioner Richard Koons said the two businesses in question may draw in businesses because of the pull tabs.

“Are the charitable organizations going to want to continue if they’re going to lose a percentage?” Koons asked.

Commissioner Kevin Kristenson said he didn’t think it would be a big money maker and would add more work for the county.

In other business, the board:

— Heard from Caroline McCourt of Health and Human Services of Faribault and Martin Counties regarding the Opioid Settlement Funds.

— Approved a public hearing time and date of 10 a.m. on Oct. 21 for a change in the fee structure in the County Recorder’s Office, County Assessor’s Office and Auditor/Treasurer’s Office.

— Approved the resignation of a part-time corrections officer and authorized recruitment to fill the position.

— Approved the promotion of Cory Ballard to Deputy Sheriff Sergeant and authorized recruitment of the vacated deputy position.