Under the new tax rate, the homeowner of a $250,000 home would pay about $1,622 in taxes per year, a decrease of $185 year over year, assuming no change in property value.
The new rate is lower than the previous year’s rate of $0.722120 by about $0.073 and lower than the FY 2023 voter-approval rate by about $0.021.
Due to being slightly higher than no-new-revenue rate, or the rate by which the city would collect roughly the same amount of property tax revenue as the previous year, the City Council acknowledged the increase in property values means the new rate is effectively a 4.66% increase in income despite being lowered.
Mayor Phil Johnson said changes in the tax rate depend on changes in property values, which he said increased by about $100 million.
“The policy here was to make sure that the residents had a small decrease in overall tax dollars with actually a pretty sizable decrease in the tax rate,” Johnson said.
