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HomeMy WebLinkAbout2009-055 2010 Ad Valorem Taxes ORDINANCE NO 2009 -55 AN ORDINANCE fixing and levying the amount of ad valorem taxes necessary to balance estimated revenue with estimated expenditures for the 2010 Budget for the City of Yakima. WHEREAS, the City Council finds that the total net amount of $15,906,398 in revenue must be raised by ad valorem taxes on real and personal property within the corporate limits of the City of Yakima to balance estimated revenues and expenditures for the 2010 Budget for the City of Yakima, now therefore, BE IT ORDAINED BY THE CITY OF YAKIMA. Section 1 There is hereby fixed to be raised by general property taxes upon real and personal property within the City of Yakima the amount of $15,906,398 for the following purposes General Government \ Levy Operating Funds $14,403,633 Firemens' Relief & Pension Fund 1,502,765 Amount of tax levy for General Govemment Purposes (1) $15,906,398 Special Purpose Tax Levy 297,000 Total Levy Amount (1) $16,203,398 (1) Includes an additional $150,000 to provide for final adjustments in State assessed, new construction and annexation values. Section 2. The City Clerk is directed to transmit and file a certified copy of this ordinance with the Board of Yakima County Commissioners and the Yakima County Assessor on or before November 30, 2009 Section 3 Pursuant to Article VI, Section 2 of the Yakima City Charter, this ordinance shall take effect on November 17, 2009 PASSED BY THE CITY COUNCIL, signed d approv-d t ' 17th day of November, 2009 I di e ATTEST . Edler, Mayor City Clerk Publication Date November 20, 2009 Effective Date November 17, 2009 ad- valorem -ord 2010 0% ce.doc 11 /18/2009 BUSINESS OF THE CITY COUN( YAKIMA, WASHINGTON AGENDA STATEMENT Item No. 9 For Meeting Of: November 17, 2009 ITEM TITLE: Public Hearing on Revenue Sources and Consideration of Legislation pertaining to Ad Valorem Taxes to be levied for collection in Fiscal 2010 Year: Ordinance A— Declaring the City Council's intent to increase the City's 2010 regular property tax levy up to 100% of the amount levied in the previous year, plus new construction and annexation. Ordinance B— fixing and levying the 2010 ad valorem property taxes and excess levy taxes for the City of Yakima. SUBMITTED BY: Dick Zais, City Manager Rita M. DeBord, Finance Director Cindy Epperson, Deputy Director of Accounting & Budgeting CONTACT PERSON /TELEPHONE: Dick Zais / 575 -6040 Rita M. DeBord / 575 -6070 Cindy Epperson / 575 -6070 SUMMARY EXPLANATION: Background State law, based on Initiative 747, requires several administrative and legal steps to establish the property tax levy. (Even though 1 -747 was ruled unconstitutional in the fall of 2007, the legislature met and re- established property tax levy limits as set forth in the initiative.) Your package includes two (2) separate ordinances. Ordinance A and B will set the property tax levy for collection in 2010, currently CONTINUED Resolution Ordinances 2 Other (Specify) Exhibit!, Attachments 1 -5; Funding Source APPROVED FOR SUBMITTAL; City Manager STAFF RECOMMENDATION: City Management is recommending that City Council conduct a public hearing on the 2010 property tax levy, and then pass ordinances "A ", which declares Council's intent to freeze the levy at the 2009 level, and only include amounts for new construction /annexation, and "B ", which fixes the levy amount. These ordinances follow state law consistent with the provisions of 1 -747, and are the basis on which the 2010 budget was developed and balanced. BOARD /COMMISSION RECOMMENDATION: COUNCIL ACTION: Legal/BD Agenda Ad Val 1 11/12/2009 2010 Property Tax Agenda Statement — Continued page 2 of 4 proposed to have no percentage increase over the prior year base levy (i.e. freeze the 2010 levy at the 2009 level, and only increase the levy for new construction and annexation. The 1 -747 limits property tax levy increases approved by Council to the maximum of 1% or the rate of inflation, whichever is less. (Note: the initiative defines the rate of inflation as measured by the Implicit Price Deflator for consumer goods.) Even though the 2010 budget as currently proposed is built assuming no increase in the base property tax levy, the current rate of inflation used to calculate the "limit" is a negative (0.848 %). In past years, the effective limit has been the 1% maximum, as the inflation rate has been substantially more than 1%. A provision in the law is that Council can approve a levy limit greater than inflation, up to the 1% maximum, if they declare a "substantial need" with a super- majority vote. In this peculiar case, with the inflation rate being negative, the Council will need to declare "substantial need" just to maintain last year's levy with no change. If a super- majority for "no change" is not achieved, the levy would need to be reduced by about $132,000, and Council would then need to identify whether to make further budget reductions, or increase the use of reserves. Exhibit I details the calculation of the property tax levy with a base of 100% of the prior year using preliminary information obtained from the County Assessor's office. According to state law, the certification of ad valorem taxes must be filed with the Board of Yakima County Commissioners on or before November 30, 2009 or the City will receive no funding from this source in 2010. The Commissioners have requested to receive this packet by November 20, so they can incorporate all of the requests into their required legislation. Ordinance purposes are: Ordinance A identifies Council's intent to authorize an increase in the tax levy over 2009 levels. This ordinance typically requires a simple majority to pass, however with the negative inflation rate (as explained above), this year it will require a super majority to keep the levy at last year's base. It is required by RCW 84.55.120. Ordinance B fixes the tax levy for collection by the City in 2010. This ordinance includes not only the regular tax but also special levy taxes for bond repayments. This ordinance complies with RCW 35.33.135. These ordinances are in the same format as the prior year levy legislation. General Government Revenue Discussion In reviewing General Government revenue, there are 4 revenues that each make up approximately one /fourth of the total —i.e. there are four "legs" that support General Government operations. Sales Tax (including the City's allocation of both county -wide Criminal Justice sales taxes) represents about 26% of the total. Property tax as proposed is about 24 %; Utility Taxes as presented in the Preliminary Budget make up about 21%; and all other revenue comprise the remaining 29 %. (See Attachment 1 for a summary of General Government revenues.) As described in the mid -year 2009 budget reduction transmittal, Yakima started seeing the results of the national economic recession in the last quarter of 2008. The 2009 year -end estimate of revenues is virtually the same as 2008 actual results (i.e. no growth), while 2010 is conservatively estimated to increase by only 1.3 %. Even though revenues have been flat, there continues to be pressure on Legal/BD Agenda Ad Val 2 11/12/2009 2010 Property Tax Agenda Statement — Continued page 3 of 4 expenditures, and there are increases in various categories such as utilities (i.e. electricity and phone service), and employee healthcare coverage. In response to these economic conditions, the City has exercised responsible budgetary restraint. City management has proposed necessary cost reduction measures to stay within available resources, in accordance with the Council's priorities of government budget model. Over $2.6 million of budget/service reductions were identified in the 2010 Forecast, and an additional $200,000 has been added since the publication of that document (primarily in response to falling interest rates and corresponding revenue) which results in a net total reduction of $2.8 million in order to bring the budget into an acceptable balance. Staffing levels in General Government operations are being reduced by about 25 Full-Time Equivalent (FTE) employees. Additionally, expenditures for professional services, capital outlay (some in the form of debt service), and supplies will be significantly reduced. The initial estimates from the County on the 2010 property tax levy included a growth rate for new construction of 1.5% compared to a budget estimate of 1%, however, it appears that the collection rate of the property taxes is being extended, so the property tax budget is not proposed to be adjusted from the preliminary forecast. Historically, staff does another review of revenues and expenditures, and proposes any adjustments to the final budget in the Budget Wrap -up document, to be distributed the last week of November. Because "General Government" revenues in 2010 are not estimated to cover all of the cost increases, the City also expects to spend approximately $1.4 million from its reserves in order to balance the budget. Even though relying on reserves to pay for about 2.3% of next year's "General Government" expenses is within City budget guidelines, depleting the City's "savings account" at the same rate is not sustainable over the long term. Having one of the 4 major revenue sources limited to a rate below inflationary cost drivers is a major factor in the annual effort to balance the tax - supported budgets in the future. Property Tax Discussion The total 2010 City of Yakima property tax levy includes the 100% levy, levies for voted bond issues, and amounts for annexations and new construction. The budget currently includes an estimated revenue of $15,522,265 for the regular levy, an increase of $150,000 (made up of an estimate of 1% for new construction) over the 2009 year -end estimate of $15,372,265. The voted levy debt is budgeted to be $297,000, slightly more than the 2009 budget, based on scheduled debt service for the 1995 voted Fire bond issue. The total operating tax rate for next year is estimated to be $2.9136 per $1,000 of Assessed Valuation (AV), up from the 2009 rate of $2.8886. (The statutory limit is $3.60 less the Library levy, which is capped at 50 cents per $1,000. The estimate for the 2010 Library levy is 475 cents per thousand) -- the bond rate is estimated to be $0.05492 per $1,000, down from $0.0649 in 2009. It should be noted that the amounts included in the budget differ from the levy as shown in attached Exhibit I because of the timing of collections. In other words the budget is built on collection . estimates of the levy. A home with an assessed value of $150,000 in 2009 paid $433.29 for the regular levy, and $9.75 for the voted levy, for a total of $443.04. According to the valuation estimate provided by the County Assessor, the underlying assessed value of all taxable property in the City decreased by 0.9 %. If that growth rate is applied to the $150,000, the 2010 assessed value would be $148,650 and the regular levy tax would be $433.11, and the voted levy would be $8.24 for a total of $441.35 —a slight Legal /BD Agenda Ad Val 3 11/12/2009 2010 Property Tax Agenda Statement— Continued page 4 of 4 reduction in the total levy, primarily because the fixed debt service is spread across a higher overall assessed valuation because of new construction and annexation. We believe the current request for the property tax levy is justified by the following conditions: (1) The property tax is needed to help meet mandates and contractual obligations, principally Public Safety pensions /medical costs. Attachment 2 demonstrates the amount of property taxes dedicated to these areas. (2) in the Street budget, property tax represents nearly 71% of all revenue in this budget. (see Attachment 3) Investing in maintaining and repaving the City streets has been a high Council priority for several years. The other major revenue source in this fund is Gas Tax, which is based on a "per gallon" charge. The escalation in gas prices and economic downturn affected consumption, and the 2009 gas tax is currently running 8.1% behind 2008. (3) Property tax is also a key revenue source for the Parks and Recreation Division, representing over 40% of all Parks revenue. Parks maintenance is supported entirely by property taxes, while other programs such as the Senior Center and Aquatics are supported in part by the property tax. The cost to maintain and operate these facilities increases annually. (Also see Attachment 3) (4) Again this year, the City is not expected to collect the full levy because of higher senior citizen exemptions, delinquent taxes and other uncollectible accounts. For the year 2010, the City is budgeting conservatively and estimating a reduction of up to 4% in actual collections from the authorized levy offset by a portion of delinquent taxes that are predicted to be collected. (5) Yakima's per capita property tax ranks $89 below the average of comparable Washington cities with populations of 45,000 to 120,000 in 2008, the most recent year this information has been compiled. Yakima ranks 10th out of 12 cities in this group. Further, for these same cities, Yakima's total per capita revenue collected from all taxes, fees and charges is $698 less than the average and again ranks 10th out of the 12 cities. Our residents are currently taxed substantially less than other similar size cities. (see Attachments 2 & 4) (6) The City's current property tax levy represents only 25% (approximately 114) of the total property taxes paid by City residents. The State, local School District levies and County government receive approximately 3/4 of all property taxes paid. (See Attachment 5) (7) Finally, Public Safety continues to be Council's highest priority, and even with recent enhancements to the Criminal Justice program funded by a voted county sales tax, a gain in property taxes as a result of the City's annexation into the Library District, and grants the Police Officers per thousand of population is 1.69 in 2010 —still 9 officers below the Western States Average of 1.8 officers per thousand. In conclusion. based upon the previous discussion, property tax is a vital component of General Government revenue. Management/budget staff respectfully requests the passage of both Ordinances A and B to set the 2010 property tax levy, which is the basis on which the 2010 budget was developed. Legal /BD Agenda Ad Val 4 11/12/2009 ORDINANCE A ORDINANCE NO. 2009 AN ORDINANCE relating to the annual property tax levy; declaring the City Council's intent to increase the City's 2010 regular levy for new construction, annexation and growth in state - assessed property values from the amount levied the previous year. WHEREAS, RCW 84.55.120 requires a taxing district that collects regular levies to hold a public hearing on revenue sources for the district's following year's current expense budget, including consideration of possible increases in property tax revenues; and WHEREAS, pursuant to RCW 84.55.120 and the City Charter, on November 17, 2009, upon due and proper legal notice, the Yakima City Council held a public hearing to consider the City's general govemment revenue sources for the 2010 current expense budget, and the total proposed property tax levy amount pertaining to 2010 revenues from real and personal property taxes; and WHEREAS, Section 2009 of Referendum Bill 47 (RCW 84.55.120) provides that no increase in property tax revenue, other than that resulting from the addition of new construction and improvements to property in any increase in the value of state - assessed property, may be authorized by a taxing district, except by adoption of a separate ordinance or resolution, pursuant to notice, specifically authorizing the increase in terms of both dollars and percentage; and WHEREAS, the City Council, after the public hearing on November 17, 2009, and after duly considering all relevant evidence and testimony presented, has determined that the City requires an increase in property tax revenue from the previous year, resulting from the addition of new construction and improvements to property and any increase in the value of state - assessed property, in order to discharge the expected expenses and obligations of the City, and as being necessary and in the best interests of the citizens of the City of Yakima; and WHEREAS, the amount of property tax levied for collection in 2009 was $15,508,982 for general govemment purposes; and WHEREAS, the discretionary increase in property tax levied for collection in 2010 shall be in the amount of $0, which is a percentage increase of zero percent (0 %) from the previous year; and WHEREAS, the non - discretionary increases in property tax levied for collection in 2010 can only be estimated due to the absence of final values to be provided by the Yakima County Assessor, now, therefore, qe /property - tax -oid 2010 0 % -ce 11/12/2009 ORDINANCE A BE IT ORDAINED BY THE CITY OF YAKIMA: Section 1. The following increases in the regular property tax levy, over the amount of the previous year's levy, are hereby authorized to be cumulatively levied for collection in 2010: A. A discretionary increase of $0, which is a percentage increase of zero percent (0 %) over the amount levied for collection in 2009; plus B. An estimated increase of $14,919 for recent annexations; plus C. An estimated ated ii crease of $232,498 for new construction and improvements to property; plus D. An increase authorized by state law for state - assessed property values. Section 2. The City Clerk is directed to transmit and file a certified copy of this ordinance with the Board of Yakima County Commissioners and the Yakima County Assessor on or before November 30, 2009. Section 3. Pursuant to Article VI, Section 2 of the Yakima City Charter, this ordinance shall take effect on November 17, 2009. PASSED BY THE CITY COUNCIL, signed and approved this 18th day of November, 2009. ATTEST: David Edler, Mayor City Clerk Publication Date: Effective Date: cje /property - tax -old 2010 0%-ce 11/12/2009 ORDINANCE B ORDINANCE NO. 2009 AN ORDINANCE fixing and levying the amount of ad valorem taxes necessary to balance estimated revenue with estimated expenditures for the 2010 Budget for the City of Yakima. WHEREAS, the City Council finds that the total net amount of $15,906,398 in revenue must be raised by ad valorem taxes on real and personal property within the corporate limits of the City of Yakima to balance estimated revenues and expenditures for the 2010 Budget for the City of Yakima, now therefore, BE IT ORDAINED BY THE CITY OF YAKIMA: Section 1. There is hereby fixed to be raised by general property taxes upon real and personal property within the City of Yakima the amount of $15,906,398 for the following purposes: General Government Levy Operating Funds $14,403,633 Firemens' Relief & Pension Fund 1,502,765 Amount of tax levy for General Govemment Purposes (1) $15,906,398 Special Purpose Tax Levy 297,000 Total Levy Amount (1) $16,203,398 (1) Includes an additional $150,000 to provide for final adjustments in State assessed, new construction and annexation values. Section 2. The City Clerk is directed to transmit and file a certified copy of this ordinance with the Board of Yakima County Commissioners and the Yakima County Assessor on or before November 30, 2009. Section 3. Pursuant to Article VI, Section 2 of the Yakima City Charter, this ordinance shall take effect on November 17, 2009. PASSED BY THE CITY COUNCIL, signed and approved this 17th day of November, 2009. ATTEST: David Edler, Mayor City Clerk Publication Date: Effective Date: ad- valorem -ord 2010 % ce 11/12/2009 EXHIBIT I City of Yakima Property Tax Limitation Calculation (Dollars in Thousands) 2009 Tax 2010 Assessed Rate Levy Values Applied Dollars • Prior Year (2009) = Base $5,368,959.341 $2.8886 $15,508,982 0% Increase $0 Base 100% $15,508,982 Valuation Increase (Decrease) ($46,744.47) N/A $0 New Construction (1.5 %) $80,488.003 $2.8886 $232,498 State Assessed Value $2.8886 $0 Tax Limit Before Annexations $5,402,702.875 $2.9136 $15,741,480 Add for Annexation $5,120.350 $2.9136 $14,919 Limit for Subsequent. Years $5,407,823.225 $2.9136 $15,756,398 Plus Contingency (And Refunds) $150,000 Total- ordinance $15,906,398 State of Washington Constitutional Limit Assessed Valuation $5,407,823.225 $3.6000 $19,468,164 Less: Library Levy (Estimate) $0.475 $2,568,716 2009 Levy for Collection in 2010 (Estimate) $3.125 $16,899,448 cje 11/11/2009 • ATTACHMENT #1 GENERAL GOVERNMENT REVENUE (BASED ON 2010 BUDGET OF $58.1 MILLION) 26.2' 21.2' 7.2' 4.1' Sales Tax Franchise & Intergovernment & Other Utility Tax State Shared Revenue Revenue ($15.2 Million) ($12.3 Million) ($4.2 Million) (2.4 Million) �a,� ::: C y� CNP PPSxrYD NTbElwE.S uwrQS . .. ,, ,1! � ; ,� •�. . wau.. • - i1 ',. f - - ' 4 41 • 4 � '. ',.•`�. ,. _ , V A, Z 1 2 , 2 5.I Aa d ill! " 4,,+ 4 yy ttM �, jj 'y i n "1. ' a .' i t F EE iy ' r i, is i L A 12356 A = , 2 . ‚.- i, i4j-i Ii4l.'. �.r1.[i,.; x w t om,. ti �, r t v rg� 1 .N.. SLIM �Q]}1,)fir�ll i ,, ttr.i�S.:., a a Z ' ��, r� 1 rvic .-- 1 f �i au•rr sr .r i�utrta rr.. ii�v t'ix: a ruc3 . _ �� 24.1' 11.5' 5.7' Property Tax Licenses, Permits Fines & ($14.0 Million) & Charges Other Taxes for Services ($3.3 Million) ($6.7 Million) GENERAL GOVERNMENT RESOURCES THREE YEAR COMPARISON 2010 % OF - -- 2010 vs. 2009 - -- 2008 2009 PERCENT BUDGET 2010 INCR EASE PERCENT SOURCE ACTUAL ESTIMATE CHANGE FORECAST TOTAL (DECREASE) CHANGE General Sales Tax $13,719,058 $12,425,000 (9.4 %) $12,610,000 21.7% $185,000 1.5% Criminal Justice Sales Tax m 2,605,242 2,601,000 (0.2 %)- 2,642,000 4.5% $41,000 1.6% Property Tax 13,457,989 13,840,000 2.8% 14,019,500 24.1% 179,500 1.3% Franchise & Utility Taxes 11,099,995 12,008,000 8.2% 12,316,100 21.2% 308,100 2.6% Charges for Services 5,729,397 5,731,770 0.1% 6,068,805 10.4% 337,035 5.9% State Shared Revenue 3,021,705 2,979,956 (1.4 %) 3,003,100 5.2% 23,144 0.8% Fines and Forfeitures 1,582,815 1,751,700 10.7% 1,776,900 3.1% 25,200 1.4% Other Taxes 1,499,292 1,530,950 2.1% 1,518,200 2.6% (12,750) (0.8 %) Other Revenue 1,446,639 1,210,399 (16.3 %) 1,174,920 2.0% (35,479) (2.9 %) Transfers from other Funds 1,086,359 1,139,000 4:8% 1,197,000 2.1% 58,000 5.1% Other Intergovernmental 1,193,758 1,572,416 31.7% 1,177,008 2.0% (395,408) (25.2 %) Licenses and Permits 993,122 620,400 (37.5 %) 635,000 1.1% 14,600 2.4% TOTAL REVENUE $57,435,371 $57410,591 (0.1 %) $58,138,533 100.0% $727,942 1.3% Beginning Fund Balance 8,186,216 8,622,738 5.3% 5,747,724 (2,875,014) (33.3 %) TOTAL RESOURCES $65,621,587 $66,033,329 0.6% $63,886,257 ($2,147,072) (3.3 %) (1) Some Criminal Justice sales tax is allocated to the Law and Justice capital fund and Public Safety Com- munications fund (non - general Governmental funds). The allocation to both of these funds were reduced in 2009 to help support General Government operations. ATTACHMENT #2 / PROPERTY TAX ALLOCATION BY FUNCTION 2010 GENERAL LEVY PROPERTY TAX TOTAL — $15,522,265 Fire & Police Pension $2,875,805 18.5% I, 3 I ; Z 5 ; � I h ■ General Fund r i T F i' y , �' $7,149,960 „ � . Parks 46.1% ,' 4- _ .4- -f� - $1,788,500 � 11.5 %Ws ' ` ,} 1 . { ° -944 - . .,' - ; h Street $3,708,000 23.9% 2010 PROPOSED GENERAL PROPERTY TAX LEVY 2009 2010 2009 EST. 2008 AMENDED 2009 BUDGET V S. ACTUAL BUDGET ESTIMATED FORECAST 2010 B UDGET General $7,7,,,,, 6 .4% Parks & Recreation 1;80043,000 787 $7 1,800726,000 000 $8,007,000 $8 1,623,500 1,788,500 Street & Traffic 10 .2% 4,220,202 4,314,000 4,209,000 3,708 000 (11.9 %) Sus -TOTAL GENERAL GOVERNMENT 13,457,989 13,840,000 13,839,500 14,019,500 1.3% Fire Pension 1,551,730 1,532,765 1,532,765 1,502,765 (2.0%) TOTAL $15,009,719 $15,372,765 $15,372,265 $11541,,,550201229:,527066550 15,522,265 1.0% i • The City has compiled data from the State Auditor's Office that identifies per capita prop- erty tax for comparable cities throughout the State. The following chart compares the City's per capita property tax income for 2008. It shows the City of Yakima's property tax per capita is $163, which is $89 less than the average of all the comparable cities. ,Yakima ranks third lowest in tax per capita of the 12 comparable cities. 2008 PER CAPITA PROPERTY TAXES t') COMPARABLE CRIES BETWEEN 45,000 AND 120,000 IN POPULATION (rounded to the closest dollar) $450 - Yakima's per capita property tax is $163, which is $89 less $362 $371 than the average city per capita of $252 $344 •�*-- --^�'' $350- $298 $309 " "„° $272 ,_e`1:�^ . $300- tip '. i $215 $242 _ - $250 fi �: . - I $180 $200 $147 $163 $ a { t • - ` 'Yt $150- $116 " ,; $ ,5 4 , t $0 .. ...fi ` _ s� ` .. - Pasco Kennewick Yakima Auburn Bellingham Bellevue Richland Kirkland Kent Everett Redmond Renton (1) Data compiled from the State Auditor's Local Government Comparative Statistics. ATTACHMENT #3 PROPERTY TAX AS A PERCENTAGE OF TOTAL FUND REVENUE 20I 0 BUDGET YEAR 100% - 90% `: — � 70 % x =' 60% e r - - -95/0■ • 10% 1111 t.5?/4 'tom General Parks Streets Fire Pension Fund 0 % Property Tax ❑ % Other Revenue ATTACHMENT #4 The largest revenue source for the General Government Funds is sales tax. Yakima is in the lower half of per capita sales tax compared with similar cities in the State. However, Yakima is also in the lower 1/3 of rankings in all other revenue comparisons per capita and is the third lowest out of the twelve cities compared in combined per capita revenue. Yakima's $1,239 per capita taxes is $698 below the average of $1,937 based on 2008 actual data, as dem- onstrated in the chart below. The most important conclusion from this analysis is that the City of Yakima has a very limited revenue /tax base compared with most cities of its size in the state, and yet provides similar or enhanced services and programs to its citizens. 2008 PER CAPITA TOTAL REVENUES (1) COMPARABLE CITIES BETWEEN 45,000 MW 120,000 IN POPULATION (rounded to the closest dollar) $3,500- Yakima's per capita total revenue is $1,239, which is $698 $2,997 $2,835 $3,000- less than the average city per capita of $1,937 $2,477 $2,500- $2,266 ' ,n„yz.. °? $1868 $1955 $1,%9 $2055 $1739 $2,000- - s - - t ,r -. ,-� 2 -sz. via l $1239 i a $1,500 $1072 „ �, $, 'e[3. - :sK ;;� �„ "'v' E -R� $1,000- $769 r ' °,. „, - - 4 x <& , - -- $500 f0-41: F ;� -- ., -, ^t - PP'' .x r s t e° so Kennewick Pasco Yakima Auburn Bellingham Renton Kirkland Kent Everett Bellevue Richland Redmond (1) Data compiled from the State Auditor's Local Government Comparative Statistics. Includes state and federal grants, taxes and charges for services, and excludes debt proceeds. ATTACdd1ENT #5 PROPERTY TAXES The total property taxes paid by property owners within the City of Yakima include taxes levied by several governmental entities: the State, School Districts, Special County -wide voted levies and the Citys general and special voter approved levies. The percentage of the total property taxes levied by, and allocated to, each individual governmental entity will change slightly from year to year. The City's portion is generally under 30% of the to- tal amount collected. (Refer to the graph and below for how the ..�- amount Zvi }�- ..a�.u. t �i.cica w u�c g �a t ,�� cu�u chart veiuw rur new the �uuy property taxes were allocated between these governmental entities.) 2009 PROPERTY TAX DISTRIBUTION Yakima School District City of Yakima Library .3S .25 .04 ' j �/� „�N ' . • 1 . - - x - eci tcei; 6'1 HATTHERE HAG GCCry TTCb tAfN£TREi5t1RY O! • ti i2-3 65.i A � 61111,;i7 7474 - € � i � - e 1 yp➢c” y Y °'" ^ I rM it / /� ^ S - B � F 1 3 ,, I �' r A L 212:35 :65 tl i ` . •. �: }� �_... ].l: 10.1. . State of Washington Schools Yakima County EMS 1 � .14` .02` CITY OF YAKIMA PROPERTY TAX — In 2009, a typical City resident pays approximately $11.75 per thousand of assessed value on property taxes. Only $3.01, or about 25.7% goes to the City, with the balance divided between the County, schools, and other special districts. DESCRIPTION OF How PROPERTY TAXES ARE LEVIED — The following explanation is included to help the reader understand how property taxes are assessed to the individual property owners. To aid in this explanation, three commonly used terms must be understood. They are Prop- erty Tax Levy, Property Tax Rate and Assessed Value. Property Tax Levy — is the total amount of money that is authorized to be collected. Property Tax Rate — is the property tax amount that will be applied to every $1,000 of assessed value; the rate is determined by simply dividing the levy amount by the total assessed value amount and dividing that number by 1,000. Assessed Value — is the total value, as determined by the County Assessor's Office, of all property within the City.