CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
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Pass the ordinance for the Levy and Assessment of Taxes for the Fiscal Year beginning January 1, 2025 and ending December 31, 2025 adopting a total levy of $93,111 for Special Service Area No. 30 (Downtown Streetscape)
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DEPARTMENT: Finance Department
SUBMITTED BY: Raymond Munch, Finance Director
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
Special Service Area No. 30 (SSA #30) was created per Ordinance 19-070 in May 2019. The purpose of SSA #30 is to levy a special ad valorem tax against the properties included in SSA #30 for a period not to exceed 15 years. These funds will be used to reimburse engineering, design, construction, and other capital project fees included with the Downtown Streetscape along the south side of Jefferson Avenue between Main and Webster streets as well as both sides of Main Street between Jefferson and Jackson avenues.
DISCUSSION:
The City Council received the estimated 2024 property tax levy for SSA #30 at the November 19, 2024, City Council meeting in the amount of $93,111. This proposed property tax levy for 2024 is nearly flat to the 2023 final property tax extension of $93,114.
Per state statute, a public hearing is required if the proposed 2024 property tax levy for a special service area is greater than 105% of the final 2023 property tax extension. Because the 2024 levy is less than 105% of the final 2023 tax extension, the City Council may adopt the annual property tax levy for SSA #30 without further action.
The requested levy amount represents a projected tax rate of 1.1882, which is below the maximum rate of 1.6000 set by the originating ordinance.
FISCAL IMPACT:
The tax levy of $93,111 for SSA #30 will support the reimbursement of costs associated with the Downtown Streetscape project within this special service area as included in the 2025 annual operating budget.