Title
Agenda Item:
Ordinance to Set the Ad Valorem Tax Amount and Amount of Increase for the Budget Year 2013
Body
Issue:
A public hearing was held and closed on November 13, 2012 on the property tax levy for 2013 collections, and adoption of the Ad Valorem (Property) Tax Ordinance.
Committee Recommendation:
None
City Manager’s Recommendation:
1. Public Hearing held November 13, 2012 to consider testimony, approve first reading and forward to second reading.
2. Move to adopt on second reading the Ordinance setting the ad valorum tax amount and amount of increase for the budget year 2013.
Staff Contact:
Dean Walz, Fiscal Services Director, Administrative Services Department, 360.753.8465
Presenter(s):
Dean Walz
Background and Analysis:
The City is required to adopt a levy ordinance and file a levy certification with the County by November 30, 2012. If no certification is filed, the County will levy the lesser of the amount levied for 2012 or any other legal limits which may be applied to the levy.
A public hearing on General Fund revenue sources, including property tax, is required prior to the adoption of the property tax levy. RCW 84.55.120. Schedule of proposed 2013 General Fund revenues is attached. Notice of the hearing was published on October 30th and November 6th, 2012.
The 2013 general levy is based on a 1% increase over the 2012 levy excluding the 2012 refund levy, plus estimated amounts for new construction, a contingency, and a refund levy to be collected in 2013.
A contingency is included because the final values and changes in State assessed properties (utilities) are not known at this time. The maximum the City can collect in property taxes is limited to the lesser of the legal limit or the amount specified in the authorizing ordinance.
Once a levy is set there may be adjustments made which lower the amount of taxes collected, e.g. lower assessed valuations. The amount not collected due to adjustments can be added to the next year...
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