Park City School Board prepares for tax hike
June 20, 2012
As a prelude to raising property taxes, The Park City Board of Education will hold a Truth in Taxation hearing sometime in August. During the board meeting on Tuesday, members voted to raise property taxes by $4 million. According to Park City School District Business Administrator Todd Hauber, the school district hopes the tax increase will generate enough money to create a sustainable budget for five years.
"The $4 million is the amount that would be necessary to get to that 5th year and still have the district in compliance with the auditor’s recommendation for reserve," Hauber said, adding that from the overall $42.8 million budget, the auditor recommends that reserves not drop below about $7.1 million, in order to cover two months of expenditures if needed.
The annual cost of the increase to taxpayers would amount to about $110 on a typical $500,000 primary home or about $22 per $100,000 of assessed valuation. The tax increase for a business owner would be little more than $40 per $100,000.
According to Park City School Board member Michael Boyle, this will impact the whole community. Board members discussed a $5 million property tax increase, but decided the the additional assessement would be a burden for local taxpayers.
"I personally think $5 million is too much, I would rather do $4 million," Boyle said. "The intent is to hold a Truth in Taxation every year to explain what we’re doing. We can always lower (taxes)."
Park City School Board member Lisa Kirchenheiter said the increase will be significant for a lot of people.
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"It’s easy to say let’s o $5 million let’s do $4 million. I’m just trying to put that in perspective with my family. It’s a load of money and I would feel more comfortable with the $4 million," she said.
The next school board work session is scheduled August 7. For more information regarding the budget visit http://www.pcschools.us .