HomeMy WebLinkAbout3698 Ordinance ORDINANCE NO. 3
AN ORDINANCE PRESERVING PROPERTY TAX LEVY CAPACITY IN
THE CITY OF PASCO, WASHINGTON FOR FISCAL YEARS AFTER
2005 IN ACCORDANCE WITH STATE LAW.
WHEREAS, to provide the property tax revenues required by the general
operating budget of the City for fiscal year 2005, City Council of the City of Pasco levied
property taxes on all taxable property in the City for collection in fiscal year 2005 in the total
amount of$4,299,469, which dollar amount is the sum of(a) $3,825,000,which is the amount of
property taxes levied by the City in fiscal year 2004, plus (b) $38,250, the lesser of 1% or the
Implicit Price Deflator, which for this calculation, is 2.387%, (c) $436,219, which is the amount
of additional taxes at the 2004 levy rate of 2.6597 cents per $1,000 of assessed value resulting
from the addition of new construction and improvements to property in the City, property
annexed into the City during fiscal year 2004, and any increase in value of state-assessed
property in the City; and,
WHEREAS,the City Council of the City desires to preserve in accordance with state law
(including but not limited to Chapter 84.55 RCW) the capacity of the City to levy property taxes
in future fiscal years after 2005 calculated as if the City in fiscal year 2005 had levied the full
amount allowed by state law upon a finding of substantial need therefore; and
WHEREAS, upon a finding of substantial need and based upon limit factors of the lesser
of 101% or IPD (102.387%) for the previous year and limit factors of 106%for previous years as
provided by RCW 84.55.0101 and $3.60 per $1,000 of assessed value by RCW 84.52.043 and
41.16.060, the City would be permitted to levy property taxes for fiscal year 2005 in a total
amount of$5,291,297 (the "full amount allowed by law"), which dollar amount is the sum of(a)
$4,855,078 (the lesser of the amount calculated by multiplying the allowable 2004 property tax
levy of$4,820,091 times the limit factor of the lesser of 101% or IPD or the $3.60 per $1,000
statutory limitation), plus (b) $436,219, which is the amount of additional taxes at the 2004 levy
rate of 2.6597 cents per $1,000 of assessed value resulting from the addition of new construction
and improvements to property in the City,property annexed into the City during fiscal year 2004,
and any increase in value of state-assessed property in the City; and
WHEREAS, the full amount allowed by law for fiscal year 2005 of $5,291,297 is
$991,828 greater than the actual property tax levy of the City for fiscal year 2005 of$4,299,469
and such excess of$991,828 represents the unused 2005 property tax levy capacity that the City
desires to preserve for future fiscal years after 2005;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PASCO,
WASHINGTON, DO ORDAIN as follows:
Section 1. The City Council of the City finds and determines that there is substantial
need for the City to preserve for future fiscal years after 2005 the capacity to levy property taxes
on all taxable property in the City in the amount of$991,828, which is equal to the unused levy
capacity of the City for fiscal year 2005. This substantial need includes, without limitation, the
anticipated future requirements for additional property tax revenues that will be needed for the
construction and/or maintenance of roads, streets, bridges and other transportation facilities of
the City; to satisfy anticipated and unanticipated new regulatory requirements applicable to the
City; to provide for potential excess costs of capital facilities; and generally to meet other
substantial future financial requirements of the City.
Section 2. This ordinance shall take effect and be in force from and after its passage and
five days following its publication as required by law.
ADOPTED by the City Council by the affirmative vote of a majority plus one vote of the
members thereof and APPROVED by the Mayor of Pasco, Washington, at a regular open public
meeting thereof, this 15th day of November, 2004.
ichael L. Garrison
Mayor
ATTEST: APPROVED S TO FORM:
Sandy L. worthy Leland B. Kerr
Deputy City Clerk City Attorney