Title
ADOPTION OF RESOLUTION EXPRESSING THE PROPERTY TAX POLICY OF THE SEDGWICK COUNTY BOARD OF COUNTY COMMISSIONERS AS THE GOVERNING BOARD OF FIRE DISTRICT 1 WITH RESPECT TO FINANCING THE ANNUAL BUDGET FOR 2018.
Presented by: Lindsay Poe Rousseau, Chief Financial Officer.
RECOMMENDED ACTION: Adopt the Resolution.
Body
As applied to Sedgwick County Fire District 1, K.S.A. 79-2925b(a) states that a resolution is necessary when a levy of property taxes to fund the 2018 budget exceeds the levy of property taxes to fund the 2017 budget, as adjusted to reflect changes in the Consumer Price Index for All Urban Consumers (CPI-U) for calendar year 2016 (0.1 percent).The statute also calls for a variety of adjustments to be included in this calculation, including new improvements to real property, increased personal property valuation, property located within added jurisdictional territory, or property which has changed in use. Generally, CPI-U is used as a measure of inflation.
Per KSA 79-2925b, if the Commission intends to adopt a budget with a property tax levy that is greater than the computed limit, a funding resolution must be adopted prior to the budget being adopted. The 2018 recommended budget for Fire District 1 includes a property tax levy that is greater than the limit allowed by law without this action. Assessed value in the District is estimated to increase by 4.5 percent for the 2018 budget year, while the CPI-U allows for minimal growth of only 0.1 percent.
The levy included in the 2018 recommended budget is $16,458,571 based on an estimated tax rate of 18.414 mills.
Adopting a levy in excess of the computed limit would allow the District to regain ground lost during the slow economic recovery since the Great Recession. Over the five prior budget years, tax base growth in the Fire District had been lower than growth in inflation as measured by the CPI-U. From 2012, when the 2013 budget was adopted, to 2016, when the 2017 budget was adopted, th...
Click here for full text