FY27 Proposed Budget

Figure 6: Property Tax Rate vs. Valuations

$1,000 $1,500 $2,000 $2,500 $3,000 $3,500 $4,000 $4,500 $5,000 Taxable Value (in millions)

15 15.2 15.4 15.6 15.8 16 16.2 16.4 16.6 16.8

$0 $500

Figure 7 shows a detailed breakdown of the City’s property tax rate for FY 2027 compared to FY 2026. The City’s total property tax revenue is expected to be $73.4 million in FY 2027, an increase of 3.9%. Property taxes will provide nearly a third of total revenue and two-thirds of general fund revenue, excluding transfers. The following table reflects a decreased general fund levy due to the State growth penalty, which is offset by an increase in the employee benefits and debt levies. It also reflects a reduced debt service levy made possible by LOST. Note that individual property tax bills depend on property value, the taxable percentage of the property as mandated by the State, and local levy rates from all taxing bodies. Thus, property owners’ tax bills may still increase despite the City’s lower tax levy rate. FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 FY26 FY27 Tax Value (millions) $3,421 $3,543 $3,745 $3,923 $4,258 $4,396 $4,376 $4,360 $4,517 $4,619 $4,847 Val % Change 7.50% 3.55% 5.72% 4.74% 8.54% 3.24% -0.46% -0.36% 3.61% 2.26% 4.93% Property Tax Rate 16.583 16.333 16.183 15.833 15.773 15.673 15.633 15.633 15.633 15.633 15.433 Rate % Change -0.41% -1.51% -0.92% -2.16% -0.38% -1.01% -0.26% 0.00% 0.00% 0.00% -1.28%

FY2026

FY2027

Figure 7: LEVIES

Tax Rate per $1,000

Tax Rate per $1,000

Dollars

Dollars

General Fund Tax Levies: General

$37,755,850

8.402

$38,776,668

8.237

Transit

$4,269,011

0.950

$4,472,120

0.950

Tort Liability

$1,619,708 $43,644,569

0.360 9.712

$1,696,769 $44,945,557

0.360 9.548

Subtotal:

Agland Levy

$3,685

3.004

$3,344

3.004

General Fund Property Taxes

$43,648,254

$44,948,901

Special Revenue Levies: Employee Benefits

$14,653,761

3.261

$15,734,847

3.343

Subtotal:

$14,653,761

3.261

$15,734,847

3.343

Debt Service

$12,282,983

2.660

$12,323,289

2.543

Total City Levy Property Taxes:

$70,584,998

15.633

$73,007,037

15.433

% Change from prior year

2.57%

0.00%

3.43%

-1.28%

SSMID Levy - Downtown

$543,274

2.500

$939,500

2.500

SSMID Levy - South District

$117,597

5.000

$131,332

5.000

Total Property Taxes

$71,245,869

$74,077,869

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