PALM VALLEY – Last year, city officials proposed the rollback tax rate, but the council decided instead to keep the rate the same as 2015-16. That happened despite a handful of citizens speaking in support of the tax increase for this small city that relies heavily on property tax revenues.
Now, city officials are looking at a similar scenario. Tonight, we may find out which way they plan to go.
The first public hearing for the 2017-18 tax is set for 6 p.m. tonight and includes a proposed rate of 48.1 cents per $100 of appraised value. That is a nearly 3-cent tax increase for city services. That means for the owner of a home with a taxable value of $200,000, they will pay about $60 more for the city’s portion of the tax bill if the rollback rate is approved.
Those who have a home with a taxable value of $100,000 will pay about $30 more in taxes for the city’s portion of the bill.
It appears the increase in revenues generated if the tax rise approved would fund future street maintenance.
Apparently, the increase would raise taxes 8.6 percent to generate about $45,200 in additional revenue. That is a small amount based on the infrastructure improvements some city officials have discussed being needed in Palm Valley, specifically the roads and drainage work.
Most of the city’s infrastructure is original from when the city was established, making it 50 years old.
While it is believed the roads are still solid, reconstruction will be needed in future years.
There are about 700 properties in the city.
WHAT’S BEING PROPOSED?
> Proposed tax rate for 2017-18 – $0.48118 per $100
> Tax rate for 2016-17 – $0.4525 per $100
DEFINITIONS
> Effective tax rate: $0.44548 per $100
The effective tax rate is the total tax needed to raise the same amount of property tax revenue as the
previous year.
DEFINITION
> Rollback tax rate: $0.481118 per $100
The rollback rate is the highest tax rate the city of Palm Valley may adopt before voters are entitled to petition for an election to limit the rate.
HOW TO CALCULATE
YOUR TAXES
> Tax rate (0.481118) x the taxable value of your property divided by 100.
PUBLIC HEARINGS
Your opportunity to express your views are at two public hearings, one set for tonight, at 6 p.m. and the second on Aug. 29 at 6 p.m. Both hearings are set at City Hall, 1313 N. Stuart Place in Palm Valley.
