Notice of Public Hearing, City Council Chambers, 10 W State Street on 2/13 at 5:30 pm
As part of creating next year's budget that starts July 1, 2023 (FY2024), the City is required to set a public hearing for the maximum property tax dollars that the City will request for specific levies. The public hearing will be held on Monday, February 13, 2023, at 5:30 pm in the City Council Chambers, 10 West State Street, Marshalltown, Iowa.
In the report below, the first column shows the levied dollars for these same specific levies for the current fiscal year that started July 1, 2022 (FY2023). The second column shows the same dollars as the first column, but the maximum tax rate changes because the taxable valuations changed in FY24. The third column shows the dollars the City is requesting for these specific levies in FY24 based on the taxable valuations for FY24. This report shows that the City’s request for these specific tax levies is $662,512 less or a 5.27% decrease if using FY24 valuations for both years. Changes between fiscal years are due to the following: (A) The regular and emergency levies primarily pay for increased costs of wages, gas/diesel, utilities, maintenance agreements, etc. The City is limited to the maximum of $8.10 and $ .27 respectively for these two levies. (B) Transit is paying more for paratransit rides. (C) Liability and property insurance have been projected to increase by 20% over FY23's estimate. (D) Health insurance is budgeted to increase by 10% for the last 6 months of FY24, but we are utilizing prior funds on hand so the amount levied is lower than FY23 for the Employee Benefits levy. (E) The Police and Fire Retirement employer rate decreased and we are also utilizing prior funds on hand so the amount levied is lower than FY23. (F) The FICA & IPERS rates did not change, but when wages go up, the dollar amounts increase for these benefits. (G) The Local Emergency Management Commission has estimated a 5% increase.
This report does not reflect the overall City property tax levy, as other levies such as the library, band, capital improvements, and debt service levies are not included in this report. When factoring in all the levies, staff are recommending the Council keep the overall property tax levy rate for FY2024 the same as FY2023, which would be $15.36163 per $1,000 of taxable valuations.
