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HomeMy WebLinkAbout2024 Property Tax Public Hearing - 11.8.20232024 PROPERTY TAX LEVY PUBLIC HEARING November 8, 2023 2024 PROPERTY TAX LEVY PUBLIC HEARING –NOVEMBER 8, 2023 2 20 2 4 P R O P E R T Y T A X L E V Y PROPERTY TAX LIMITATIONS Strengthening Our Foundation:Investing in Core Services 2024 PROPERTY TAX LEVY PUBLIC HEARING –NOVEMBER 8, 2023 3 20 2 4 P R O P E R T Y T A X L E V Y PROPERTY TAX LIMITATIONS Enhancing the Customer Service Experience Increasing Public Safety in Port Angeles Promoting Environmental Resilience Investing in Upgrades to Infrastructure Strengthening Our Foundation:Investing in Core Services 2024 PROPERTY TAX LEVY PUBLIC HEARING –NOVEMBER 8, 2023 4 20 2 4 P R O P E R T Y T A X L E V Y PROPERTY TAX LIMITATIONS Statutory limit of 1% of full, fair market value -$10.00 per $1,000 of assessed value Levy rate per $1,000 of assessed value State $3.60 Local Districts 5.90 Includes senior & junior districts Other 0.50 Total $10.00 Senior Taxing Districts: Counties regular levy County Road District Cities The following are considered Senior Taxing Districts and are not subject to the $5.90 limit but are subject to the 1% or $10.00 limit Public Utility Districts Port Districts 2024 PROPERTY TAX LEVY PUBLIC HEARING –NOVEMBER 8, 2023 5 20 2 4 P R O P E R T Y T A X L E V Y PROPERTY TAX LIMITATIONS City of Port Angeles levy limit: Regular limit $3.224 per $1,000 of assessed value Fire Pension $0.225 Total COPA Levy Limit $3.449 2023 Levy $1.73 Available Regular Capacity $1.49 2024 Levy est.$1.64 Available Regular Capacity est.$1.58 2024 PROPERTY TAX LEVY PUBLIC HEARING –NOVEMBER 8, 2023 6 20 2 4 P R O P E R T Y T A X L E V Y PROPERTY TAX LIMITATIONS 1.73 3.05 0.11 2.40 0.02 0.81 0. 3 1 0. 3 3 0. 3 4 0.00 1.00 2.00 3.00 4.00 5.00 6.00 7.00 8.00 9.00 10.00 City of Port Angeles School District Port of PA State Conservation Futures Clallam County Library Hospital William Shore 2024 PROPERTY TAX LEVY PUBLIC HEARING –NOVEMBER 8, 2023 7 20 2 4 P R O P E R T Y T A X L E V Y PROPERTY TAX LIMITATIONS State law allows for a property tax increase up to the Implicit Price Deflator (IPD) or one percent, whichever is lower. Implicit Price Deflator for Personal Consumption Expenditures published by the Bureau of Economic Analysis Used to determine the inflation in the economy The September IPD is 3.67% In year’s when the IPD falls below 1.0% it is necessary for a resolution declaring substantial need to be passed by Council in order to levy an increase of the full allowable 1.0% A 1% increase is directed in Section 2.13 of the City’s Financial Policies. 2024 PROPERTY TAX LEVY PUBLIC HEARING –NOVEMBER 8, 2023 8 20 2 4 P R O P E R T Y T A X L E V Y IMPLICIT PRICE DEFLATOR 0. 9 5 3 % 1. 5 5 3 % 2. 1 6 9 % 1. 3 9 6 % 0. 6 0 2 % 3. 8 6 0 % 6. 4 5 7 % 3. 6 7 0 % 2016 2017 2018 2019 2020 2021 2022 2023 IMPLICIT PRICE DEFLATOR 2024 PROPERTY TAX LEVY PUBLIC HEARING –NOVEMBER 8, 2023 9 20 2 4 P R O P E R T Y T A X L E V Y VALUE OF A 1% INCREASE Value of a 1% Increase in 2024 Value of New Construction Additional Items Allowed $50,556.67 $40,107.24 Assessed Value $23,785,681 Not tied to the 1% allowed State Properties Assessed Valuation Refunds Improvements 2024 PROPERTY TAX LEVY PUBLIC HEARING –NOVEMBER 8, 2023 10 20 2 4 P R O P E R T Y T A X L E V Y VALUE OF A 1% INCREASE $4 , 3 4 6 , 4 6 1 $4 , 4 1 6 , 7 2 8 $4 , 5 0 9 , 2 0 8 $4 , 5 6 9 , 6 1 7 $4 , 6 4 5 , 9 4 4 $4 , 7 2 1 , 9 8 2 $4 , 8 3 3 , 8 7 3 $4 , 8 3 3 , 5 4 2 $5 , 0 8 5 , 1 0 0 $5 , 1 9 3 , 6 0 0 $- $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 2015 2016 2017 2018 2019 2020 2021 2022 2023 Budget 2024 Estimate 2024 PROPERTY TAX LEVY PUBLIC HEARING –NOVEMBER 8, 2023 11 20 2 4 P R O P E R T Y T A X L E V Y ASSESSED VALUE HISTORY $1 , 4 7 5 , 5 4 1 , 0 7 3 $1 , 5 3 7 , 5 4 1 , 9 8 6 $1 , 6 6 7 , 8 5 9 , 1 4 7 $1 , 8 3 5 , 1 2 9 , 7 7 3 $2 , 0 5 7 , 2 2 4 , 1 6 1 $2 , 1 7 3 , 5 6 4 , 7 5 8 $2 , 4 1 8 , 9 1 0 , 4 1 4 $2 , 9 2 9 , 3 0 8 , 9 9 6 $3 , 1 3 6 , 9 1 3 , 8 6 4 2.6%4.2% 8.5% 10.0% 12.1% 5.7% 11.3% 21.1% 7.1% 0% 5% 10% 15% 20% 25% $- $500,000,000 $1,000,000,000 $1,500,000,000 $2,000,000,000 $2,500,000,000 $3,000,000,000 2016 2017 2018 2019 2020 2021 2022 2023 2024 ASSESSED VALUES Assessed Values % Change Previous Year 2024 PROPERTY TAX LEVY PUBLIC HEARING –NOVEMBER 8, 2023 12 20 2 4 P R O P E R T Y T A X L E V Y ASSESSED VALUE HISTORY The average change in assessed value from 2023 to 2024 is 7.1% $1 , 4 5 1 , 9 3 3 , 4 7 1 $1 , 4 3 8 , 4 1 3 , 4 5 1 $1 , 4 7 5 , 5 4 1 , 0 7 3 $1 , 5 3 7 , 5 4 1 , 9 8 6 $1 , 6 6 7 , 8 5 9 , 1 4 7 $1 , 8 3 5 , 1 2 9 , 7 7 3 $2 , 0 5 7 , 2 2 4 , 1 6 1 $2 , 1 7 3 , 5 6 4 , 7 5 8 $2 , 4 1 8 , 9 1 0 , 4 1 4 $2 , 9 2 9 , 3 0 8 , 9 9 6 $3 , 1 3 6 , 9 1 3 , 8 6 4 3.16 3.23 2.98 2.91 2.73 2.53 2.30 2.21 2.02 1.73 1.64 0.00 0.50 1.00 1.50 2.00 2.50 3.00 3.50 $- $500,000,000 $1,000,000,000 $1,500,000,000 $2,000,000,000 $2,500,000,000 $3,000,000,000 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 ASSESSED VALUES & LEVY RATES Assessed Values Levy Rate 2024 PROPERTY TAX LEVY PUBLIC HEARING –NOVEMBER 8, 2023 13 20 2 4 P R O P E R T Y T A X L E V Y COST TO HOMEOWNERS Includes City of Port Angeles Property Tax only. TAX YEAR REGULAR LEVY EXCESS LEVY TOTAL LEVY TAXES ON A $250,000 HOME TAXES ON A $300,000 HOME TAXES ON A $350,000 HOME 2019 2.53 0.00 2.53 632.50$ 759.00$ 885.50$ 2020 2.30 0.00 2.30 575.00$ 690.00$ 805.00$ 2021 2.21 0.00 2.21 552.50$ 663.00$ 773.50$ 2022 2.02 0.00 2.02 505.00$ 606.00$ 707.00$ 2023 1.73 0.00 1.73 432.50$ 519.00$ 605.50$ 2024 1.64 0.00 1.64 410.00$ 492.00$ 574.00$ 2024 PROPERTY TAX LEVY PUBLIC HEARING –NOVEMBER 8, 2023 14 20 2 4 P R O P E R T Y T A X L E V Y COST TO HOMEOWNERS A $300,000 home in 2023 with the average assessed value increase of 7.1% would be worth $321,300 in 2024. 321.3 Assessed value per every $1,000 1.64 The estimated 2024 levy rate (includes the 1% increase allowed) $526.93 The tax collected in 2023 was $519.00. This means the increase in 2024 will be $7.93 2024 PROPERTY TAX LEVY PUBLIC HEARING –NOVEMBER 8, 2023 15 20 2 4 P R O P E R T Y T A X L E V Y CONCLUSION 1% increase to Property Tax 0.1% increase to TBD Tax Assumes increases to fee revenue There are three increases proposed in the General Fund 2024 Budget. Based on the recent COSA study In support of the Street Department Costs are increasing at a higher rate than 1.0% Utility rate increases for the Solid Waste and Stormwater utilities. 2024 PROPERTY TAX LEVY PUBLIC HEARING –NOVEMBER 8, 2023 16 20 2 4 P R O P E R T Y T A X L E V Y PROPERTY TAX LIMITATIONS Strengthening Our Foundation:Investing in Core Services 2024 PROPERTY TAX LEVY PUBLIC HEARING –NOVEMBER 8, 2023 17 20 2 4 P R O P E R T Y T A X L E V Y BUDGET SCHEDULE Tentative Budget Work Session –if needed 2024 Property Tax Public Hearing Continuation, Adoption of Ordinance and Resolution. 2024 Budget Presentation, Public Hearing & 1st Reading of Ordinance 2024 Budget Public Hearing Continuation, 2nd Reading of Ordinance and Adoption NOV 14 NOV 21 DEC 5 2024 PROPERTY TAX LEVY PUBLIC HEARING –NOVEMBER 8, 2023 18 20 2 4 P R O P E R T Y T A X L E V Y REQUESTED PROCESS Conduct the first reading of the 2023 Property Tax levy for 2024 Collection Ordinance. Open the Public Hearing Continue the Public Hearing to November 21st Questions and Discussion from Council