Minneapolis leaders are considering new ways to tax residents due to rising costs and decreasing commercial values. A consultant hired by the city presented five new revenue options to council members and the city's Board of Estimate and Taxation. The proposals include a 1% or 2% income tax, which would raise $291 million to $410 million a year, and a real estate transfer tax at a rate of 1.5% to 3.6%. Nonprofits that are exempt from paying property taxes could voluntarily contribute to city services. Empty homes tax, paid by residential and commercial properties vacant for over six months, could raise $6 million per year. Outdoor advertising tax could be used for public outdoor advertising space. The city's property tax levy is $538 million, so these proposals would significantly increase collections for the city.