HomeMy WebLinkAbout3803 Ordinance ORDINANCE NO. _ 3263
AN ORDINANCE PRESERVING PROPERTY TAX LEVY CAPACITY IN
THE CITY OF PASCO, WASHINGTON FOR FISCAL YEARS AFTER
2007 IN ACCORDANCE WITH STATE LAW.
WHEREAS, to provide the property tax revenues required by the general
operating budget of the City for fiscal year 2007, City Council of the City of Pasco levied
property taxes on all taxable property in the City for collection in fiscal year 2007 in the total
amount of$5,204,745,which dollar amount is the sum of(a) $4,752,886, which is the amount of
property taxes levied by the City in fiscal year 2006, plus (b) $0 (ZERO) of the allowable
increase of the lesser of 1% or the Implicit Price Deflator, which for this calculation, is 3. 419%,
(c) $453,417, which is the amount of additional taxes at the 2006 levy rate of 2.3912 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 2006, 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 2007, calculated as if the City in fiscal year 2007 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 (103.419%) 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 2007 in a total
amount of$6,408,041 (the "full amount allowed by law"), which dollar amount is the sum of(a)
$5,956,182 (the lesser of the amount calculated by multiplying the allowable 2006 property tax
levy of$5,897,210 times the limit factor of the lesser of 101% or IPD or the $3.60 per $1,000
statutory limitation), plus (b) $451,859, which is the amount of additional taxes at the 2006 levy
rate of 2.3912 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 2006,
and any increase in value of state-assessed property in the City; and
WHEREAS, the full amount allowed by law for fiscal year 2007 of $6,408,041 is
$1,203,296 greater than the actual property tax levy of the City for fiscal year 2007 of$5,204,745
and such excess of $1,203,296 represents the unused 2007 property tax levy capacity that the
City desires to preserve for future fiscal years after 2007;
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 2007 the capacity to levy property taxes
on all taxable property in the City in the amount of$1,203,296,which is equal to the unused levy
capacity of the City for fiscal year 2007. 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 2_6 V— day of November, 2006.
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G�uL �G.Tri/hSf �yd r �r'Q-`�,Gt.
ATT T:
Debra Clark, City Clerk
APPROV TO FORM:
Leland B. Kerr, City Attorney