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HomeMy WebLinkAboutCOW 2005-11-28 Item 4H.1 - Ordinance - 2006 Property Tax Levy LA COUNCIL AGENDA SYNOPSIS Initials ITEM No. 9 j ti 1, G) Meeting Date I Prepared by Mayors review Council review 1 11/28/05 RAB for KF A Lk- 7908 ITEM INFORMATION CAS NUMBER: 05-157 (ORIGINAL AGENDA DATE: 11-28-05 AGENDA ITEM TITLE 2006 Property Tax Ordinances: 1) Setting the Regular Levy 2) Increasing the Regular Levy by 1.0 percent CATEGORY Discussion Motion Resolution Ordinance Bzd Award Public Hearing Other Mtg Date 11-28-05 Mtg Date Mtg Date Mtg Date 11-28-05 Mtg Date Mtg Date Aftg Date SPONSOR Council Mayor Adrn Svcs DCD Finance Fire Legal P&R Police PTV SPONSOR'S Pursuant to State statute, both proposed ordinances are required in order to receive SUMMARY revenues in 2006. These must be adopted and submitted to King County no later than December 2, 2005. REVIEWED BY COW Mtg. CA &P Cmte F &S Cmte Transportation Cmte Utilities Cmte Arts Comm. Parks Comm. Planning Comm. DATE: 11 -21 -05 F S Cmte.; 11 -28 -05 COW SPE Mtgs. RECOMMENDATIONS: SPONSOR /ADMIN. Review and adopt two proposed ordinances (COW SPE Mtgs.) 11/28 COM MITIEE Same as sponsor. COST IMPACT I -FUND SOURCE= EXPENDITURE REQUIRED AMOUNT BUDGETED APPROPRIATION REQUIRED Fund Source: Comments MTG.__DATE I RECORD OF_COUNCIL ACTION 11-28-05 MTG. DATE I ATTACHMENTS 11 -28 -05 Memo to Council from K. Fuhrer dated November 15, 2005 t Memo from Larry Phillips dated October 14, 2005 1 Preliminary Levy Limit Worksheet 2006 Tax Roll Ordinance Final Format establishing regular tax levy rate for 2006 Ordinance Final Format increasing tax levy rate commencing January 1, 2006 Draft minutes Finance Safety Committee meeting November 21, 2005 To: Council Finance & Safety Committee Kevin A. Fuhrer, Finance Director ~ From: Date: November 15,2005 Subject: 2006 Proposed Property Tax Levy In preparation for our discuss,ion at the November 21, 2005 committee meeting, I have attached a number of documents for your review related to establishing the 2006 property tax levy. Specifically, you will find correspondence from Larry Phillips, Chair of the Metropolitan King County Council; a 2006 Preliminary Levy Limit Worksheet prepared by the King County Assessor's Office; an Excel spreadsheet that I prepared to develop an estimated levy value, and finally (2) draft ordinances establishing the 2006 property tax levy. As noted in Councilmember Phillip's correspondence, the deadline for submitting our levy request to King County is December 2,2005. As has been the case in past years, the County will not have-final propeliy valuations prior to the cutoff date. Given the preliminary nature of the valuations and consideration of the 1 % levy base growth constraint, I have set the recommended levy amount slightly higher than the value I calculated for the estimated allowable levy. We can discuss my rationalejn greater detail at the meeting. I look forward to seeing each of you at 5 p.m. on Monday, November 21. LARRY PHILLIPS Chair Metropolitan King County Council October 14, 2005 RE: Submission of District Property Tax Levies for- 2006 to the County Council To the Board of Commissioners: \_ The County Council is required by RCW 84.52.070 to certify annually the amount of property taxes levied in King County. In order to make this certification, we must know the amount of taxes to be levied for each taxing district. THE DEADLINE FOR SUBMITTING 2006 PROPERTY TAX LEVIES IS DECEMBER 2, 2005 In order for your district to receive property taxes in an amount greater than that received in 2005, if permitted by law, we must receive your resolution by December 2, 2005. This applies to basic levies provided for by state law as well as any excess levies approved by a vote of the people. Please remember that the Assessor is required to review levy requests to ensure that they do not exceed the allowable levy. If you cannot finalize your levy request by December 2, please submit an estimate. If your estimate is higher than the allowable levy, the _Assessor will reduce the amount requested for your jurisdiction to an amount no greater than the allowable levy. However, if your estimate is less than the allowable levy, the amount requested can only be increased from the amount certified in your ordinance or resolution to the level of the allowable levy with formal written notification from your Board of Commissioners. This written notification must be filed with the Assessor and the Clerk of the Council by December 6, 2005 for inclusion in the certification ordinance. Forms are enclosed for you to use in .submitting your levy request. Please submit copies of the form and any resolution or ordinance that may be required by RCW 84.55.120 to both the King County Council and the King County Assessor's Office at the following addresses: ,B, 516 Third Ave, Room 1200, Seattle, WA 98104-3272 206-296-1004 TTYITDD 206-296-1024 Fax 206-296-0370 r::>rrv nhillin<::/IT)mptrnk" nn\f Clerk's Office Metropolitan King County Council 516 Third Avenue Room W-103~ Seattle, WA 98104 Fax: 206-205-81 65 Telephone: 206-296-1020 Hazel Newton Accounting Division King County Department of Assessments 500 Fourth Ave. Room 709 Seattle, W A 98104 Fax: 206-296-0106 Telephone: 206-296-5145 The King County Council may pass an amendatory certification ordinance in January 2006 in order to allow for technical adjustments in the final levy amounts. However, discretionary increases in your levy may not be made in this amendatory certification ordinance. If you have any questions, please call the Assessor's Office at 296-5145 or 296- 5146. Thank you for your cooperation. c: Scott Noble, Assessor FR. ..la--L~. ~.""'~.I:'}.I';~. ~. .~."? '", ;:m.1 ., 'V.,j 01\,,<' ,.... "" ~;f .,,,,,.= "'"' ' '~~ . 1,; "" .a;t..;;,;. '.\:i. .' LE\f1f Lmr~9T \f.,gORKSH5[ST - 2006 T~1.t R@~u TAXING DISTRICT: City of Tukwila Thefollowing determination of your regular levy limitfor 2006 property taxes is provided by tile King COllnty Assessor pursuant to RCW 84.55.100. Annexed to Library District Using Limit Factor For District 10,725,881 1.0100 10,833,140 28,648,923 o 28,648,923 311712 89,302 10,922,442 (Note 1) Estimated Library rate: 0 45891 Calculation of Limit Factor Levy Levy basis for calculation. (2005 Statutory) (Note 2) x Limit Factor = Levy l:ocal new construction + Increase in utility value (Note 3) = Total new construction x Last year's regular levy rate = New construction levy Total Limit Factor Levy Using Implicit Price Deflator 10,725,881 1.0254 10,998,318 28,648,923 o 28,648,923 3 11712 89,302 11,087,620 o 10,922,442 3,627,170,637 301128 o o Annexation Levy Omitted assessment levy (Note 4) Total Limit Factor Levy + new lid lifts - omits + Regular levy assessed value less annexations = Annexation rate (cannot exceed statutory maximum rate) x Annexation assessed value = Annexation Levy o 11,087,620 3,627,170,637 3 05682 o o o 10,922,442 10,922,442 42,932 10,965,374 10,965,374 __ 3 02312--,_ - 10,725,881 - '----=-107259 " , 100% Lid lifts, Refunds and Total + First year lid lifts + Limit Factor Levy = Total RCW 84 55 levy + Relevy for prior year refunds (Note 5) = Total RCW 8455 levy + refunds ALLOWABLE LEVY (Note 6) Increase Information (Note 7) Levy rate based on allowable levy ) Last year's ACTUAL regular levy Dollar increase over last year other than N/C - Annex Percent increase over last year other than N/C - Annex o 11,087,620 11,087,620 42,932 11,130,552 11,130,5521 3 06866 10,725,881 272,437 2.54% Calculation of statutory levy Regular levy assessed value (Note 8) x Maximum statutory rate = Maximum statutory levy + Omitted assessments levy = Maximum statutory levy + omits Limit factor needed for statutory levy 3,627,170,637 3 14109 11,393,269 o 11,393,269 Not usable ALL YEARS SHOWN ON THIS FORlYf ARE THE YEARS IN WHICH THE TAX lS PAYABLE. Please read carefully the notes on the reverse side. lll02/05 8.34 AM LevyLimitWS.doc '- 2005 Actual Property Tax Levy $ 10,725,881 1 % Limitation (1-747) 1 01 Allowable Levy Prior to New Construction and Increase in Utility Values $ 10,833,140 New Construction & Estimated . Increase in Utility Value $ 43,648,923 2005 Regular Levy Rate $ 3.11712 New Construction & Utility Levy $ 136,059 Total Estimated Allowable Levy $ 10,969,199 Total Estimated Levy Rate $ 3.02417 Recommended Levy Amount $ 11,000,000 Corresponding Levy Rate $ 3.03267 A.:~''l--N~l,!.I,...~",U' ~ i.<.V.:. "'.'5.:,'" ~Oi " -z.'$ ".. ;~.." G>...~ a;l! '.~ -i~ ~u1\ O~ ~'~U.... r;...~. -., ............ jIf 19011 City of Tukwila Washington Ordinance No. AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, LEVYING THE GENERAL TAXES FOR THE CITY OF TUKWILA IN KING COUNTY FOR THE FISCAL YEAR COMMENCING JANUARY 1, 2006, ON ALL PROPERTY, BOTH REAL AND PERSONAL, Th{ SAID CITY WHICH IS SUBJECT TO TAXATION FOR THE PURPOSE 'OF PAYING SUFFICIENT REVENUE TO CARRY ON THE SERVICES OF THE SEVERAL DEPARTMENTS OF SAID CITY FOR THE ENSUING YEAR AS REQUIRED BY LAW; PROVIDING FOR SEVERABILITY; AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, the City Council of the City of Tukwila has considered the City's anticipated financial requirements for 2006 and the amounts necessary and available to be raised by ad valorem taxes on real, personal and utility property; and WHEREAS, the final assessed valuation calculation has been determined, NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, DO ORDAIN AS FOLLOWS: Section 1. Regular Tax Levy. A There shall be and hereby is levied on all real, personal, and utility property in the City of Tukwila, in King County, whose estimated assessed valuation is $3,627,170,637, current taxes for the ensuing year commencing January 2006, in the amount and at the rates specified below' Rate A motint Regular Tax Levy $3.03 $11,000,000 B. The said taxes herein provided for are levied for the purpose of payment upon the general bonded indebtedness of the City of Tukwila, the General Fund, and for the maintenance of the deparbnents of the municipal government of the City of Tukwila for the fiscal year beginning January 1, 2006. Section 2. Collection. This ordinance shall be certified to the proper County officials, as provided by law, and taxes here levied shall be collected to pay to the Finance Director of the City of Tuh-wila at the time and in the manner provided by the laws of the State of Washington for the collection of taxes for non-chartered code cities, Section 3. Severability. If any section, subsection, paragraph, sentence, clause or phrase of this ordinance or its application to any person or situation should be held to be invalid or unconstitutional for any reason by a court of competent jurisdiction, such invalidity or unconstitutionality shall not affect the validity or constitutionality of the remaining portions of this ordinance or its application to any other person or situation, Section 4. Effective Date. This ordinance or a summary thereof shall be published in the official newspaper of the City, and shall take effect and be in full force and effect January 1, 2006, PASSED BY TIIE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at a Special Meeting thereof this day of . 2005 ATTEST/ AUTHENTICATED' Steven M. Mullet Mayor Jane E. Cantu, CMC City Clerk Office of the City Attorney Filed with the City Clerk: Passed by the City Council. Published. Effective Date: Ordinance Number APPROVED AS TO FOR1.1 BY C:IDocuments and Settings\Al1 UsersIDesl.-top\Kelly\.\o!SDATA\Ordinances'.GeneraJ Tax Levy.doc KF:ksn 11/2212005 Page I of 1 '< Finance and Safety Committee November 21,2005 D 'AFT Present Dennis Robertson, Chair; Pam Carter, Dave Fenton Nick Olivas, Kevm Fuhrer, Derek Speck, Rhonda Berry, Kathenne Kertzman, Lucy Lauterbach; citizen Chuck Pamsh 1. Neighborhood Resource Center Agreement The Committee members thought the newest version of the agreement was fine. However, they asked for infonnatlOn about what the City's original contract said about tenmnation, and what Mr. O'Bnen responded with. They thought It could go into the memo for the Agreement. Recommend Agreement to CO\V. \ 2. Emplovment Contract with the City Administrator The three members all expressed support for the contract as presented. It covers the conditions of employment for the City Administrator. Recommend contract to CO\V. 3. Interlocal Agreement with Des .Moines Regarding Tourism Katherine explamed the City of Des Moines is interested in becoming part of Seattle Southside Visitors Services (Tourism). Des Moines has three hotels that will be included, and their waterfront will also be featured in Tourism promotions. Now Des Moines as well as Kent and SeaTac will all help share overhead costs for the office. As this item is on this evening's Regular Meeting for passage, it will, if passed, go to the Des Moines Council for aproval there before it takes effect. Recommend issue to that evening's Council meeting. ~. 2006 Proposed Property Tax Levv 2006 property tax levies need to be submitted to Kmg -'1'~ounty the first week of December. However, the final City property valuations will not be known by that time, so an estimate will be made. Tec1mical adjustments are then made in Janumy. Kevin smd we'll have to estimate the State utility rate. Property tax increases are lImited to a 1 % growth due to Initiative 747. Pam noted working figures and the estimate in the ordinance needed to be the same. Recommend ordinance to CO\V and Special Meeting 11/28/05. 5. 2006 Budget Review The Committee finished theIr review of the Fire Department and various miscellaneous finance funds in the budget. Nick said the department will try to bid both the aerial ladder truck and the pumpers they are buying together to see if they can get a better deal. Information; budget review completed. Prepared by L. Lauterbach Committee chair approval