HomeMy WebLinkAboutFS 2007-10-15 Item 2C - Ordinance - 2008 Property Tax Levy
Memorandum
To:
From:
Date:
Subject:
Finance & Safety Committee \J. /
Kevin A. Fuhrer, Finance Director ... '\.;-6
October 10,2007
2008 Proposed Property Tax Levy
In preparation for our discussion at the October 15, 2007 Finance & Safety
Committee meeting, I have attached two documents for your review related to
establishing the 2008 property tax levy.
Specifically, you will find a 2008 Preliminary Levy Limit Worksheet prepared by
the King County Assessor's Office, and an Excel spreadsheet that I prepared to
develop an estimated levy value. As of the date of this memorandum, I have yet to
receive correspondence from the Chair of the Metropolitan King County Council,
which identifies the final date in which the City must submit its levy request to
King County. Typically, this has been around December 1, hence starting the
process at this time.
As has been the case in past years, the County will not have final property
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. In the final analysis the County is required to adjust
downward to the maximum allowable amount, while conversely it may not make
an upward adjustment.
I look forward to seeing each of you at 5 p.m. on Monday, October 15.
Attachments: 1) Preliminary Levy Limit Worksheet -- 2008 Tax Roll
2) Estimated Levy Value
PRELIMINARY
LEVY LIMIT WORKSHEET - 2008 Tax Roll
TAXING DISTRICT: City of Tukwila
Thefollowing determination of your regular levy limitfor 2008 property taxes is provided by the King County
Assessor pursuant to RCW 84.55.100.
Annexed to Library District
Using Limit Factor
For District
11,122,660
1.0100
11,233,887
32,693,514
o
32,693,514
2.84033
92,860
11,326,747
(Note I)
Estimated Library rate: 0.392 I 7
Calculation of Limit Factor Levy
Levy basis for calculation: (2207 Limit Factor) (Note 2)
x Limit Factor
= Levy
Local 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
11,122,660
1.0208
11,354,456
32,693,514
o
32,693,514
2.84033
92,860
11,447,316
o
11,326,747
4,385,613,904
2.58270
o
o
Annexation Levy
Omitted assessment levy (Note 4)
Total Limit Factor Levy + new lid lifts
-T Regular levy assessed value less annexations
= Annexation rate (cannot exceed statutory maximum rate)
x Annexation assessed value
= Annexation Levy
o
11 ,447,316
4,385,613,904
2.61020
o
o
o
11,326,747
11,326,747
25,045
11,351,792
11,351,792
2.58842
11,165,762
68,125
0.61%
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 84.55 levy + refunds
Lev Correction: Year of Error (+or-)
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
11,447,316
11,447,316
25,045
11,472,361
11,472,361
2.61591
11,165,762
188,694
1.69%
Calculation of statutory levy
Regular levy assessed value (Note 8)
x Maximum statutory rate
= Maximum statutory levy
+Omitted assessments levy
=Maximum statutory levy
Limit factor needed for statutory levy
4,385,613,904
3.20783
14,068,304
o
14,068,304
Not usable
ALL YEARS SHOWN ON THIS FOR1\1 ARE THE YEARS IN WHICH THE TAX IS PAYABLE.
Please read carefidly the notes on the reverse side.
10/08/07 3:35 PM
LevyLimitWS.doc
2007 Actual Property Tax Levy $ 11,165;762
1 % Limitation (1-747) 1.01
Allowable Levy Prior to New
Construction and Increase in Utility
Values $ 11,277,420
New Construction & Estimated
Increase in Utility Value $ 42,693,514
2007 Regular Levy Rate $ 2.84033
New Construction & Utility Levy $ 121,264
Total Estimated Allowable Levy $ 11,398,683
Total Estimated Levy Rate $ 2.59911
Recommended Levy Amount $ 11,400,000
Corresponding Levy Rate $ 2.59941