MILL CREEK – The city is planning to propose a property tax increase next year, and Mayor Terry Ryan is urging the City Council to reject it.
The increase, recommended by finance director Joanne Gregory, would be the standard 1 percent allowed by state law. If approved, it would be the first such increase in two years.
Residents can comment on the proposal at Tuesday’s City Council meeting.
In November 2004, the City Council voted to forgo a 1 percent tax increase, in part because voters had decided that September to tax themselves to continue funding the Mill Creek Library.
| Public hearing The Mill Creek City Council will conduct a public hearing on a proposed 1 percent property tax increase at 7:30 p.m. Tuesday at City Hall, 15728 Main St. |
The decision forced the council to cut some items out of the two-year budget.
Ryan has asked the council to consider forgoing another property tax increase this year, also because of the library tax levy.
A 1 percent property tax increase brings in approximately $37,000 to city coffers in one year. Because of voter-approved initiatives, cities have to limit property tax increases to 1 percent per year. Larger increases are possible only if there is a previously unused annual increase or if voters approve an increase.
Because the city operates on a two-year budget cycle, this year the city is only adjusting its budget to account for higher fuel costs and other “housekeeping measures,” Gregory said.
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