property taxes – Montgomery Homestead http://montgomeryhomestead.com/ Tue, 15 Mar 2022 01:14:32 +0000 en-US hourly 1 https://wordpress.org/?v=5.9.3 https://montgomeryhomestead.com/wp-content/uploads/2021/06/cropped-icon-32x32.png property taxes – Montgomery Homestead http://montgomeryhomestead.com/ 32 32 Ogden executives plan to move to more regular review of tax hikes | News, Sports, Jobs https://montgomeryhomestead.com/ogden-executives-plan-to-move-to-more-regular-review-of-tax-hikes-news-sports-jobs/ Tue, 15 Mar 2022 01:14:32 +0000 https://montgomeryhomestead.com/ogden-executives-plan-to-move-to-more-regular-review-of-tax-hikes-news-sports-jobs/ BRIAN WOLFER, Special to Standard Examiner The Ogden Municipal Building is pictured Wednesday September 2, 2020. OGDEN — City officials are considering a policy change that calls for considering property tax hikes every two years. Part of the goal is to avoid the need for sudden, large hikes caused by inaction over […]]]>

BRIAN WOLFER, Special to Standard Examiner

The Ogden Municipal Building is pictured Wednesday September 2, 2020.

OGDEN — City officials are considering a policy change that calls for considering property tax hikes every two years.

Part of the goal is to avoid the need for sudden, large hikes caused by inaction over the years on whether to raise taxes, said Glenn Symes, senior policy analyst for the City Council of ‘Ogden. The policy change is contained in a proposed statement of financial principles that city council is due to consider at the body’s regular meeting on Tuesday as deliberations on the 2022-23 spending plan move forward.

Either way, if the board approves the change — a talking point for several years — that doesn’t necessarily mean a tax hike every two years is a given. “Whether they do it or not is up to the board,” Symes said.

The new policy would only pave the way for a more regular review of tax increases. Special Truth in Taxation Hearings must be held if a city or other taxing entity is considering raising taxes beyond what is allowed by state guidelines. This process requires planning, which is also included in the proposal.

Ogden City Council last approved a tax hike beyond what is allowed by state law on August 7, 2018. This hike, for the 2018-2019 fiscal year, generated $1.08 million in additional tax revenue for the city, strengthening property tax collection. at $13.29 million, down from $12.21 million, which collections would have been without an increase, according to state-maintained data.

According to city documents from that year, funds from the increase were largely used to increase the salaries of police and firefighters and to help cover the costs of running Union Station.

Whether city leaders seek to raise property taxes for 2022-23 remains to be seen. A budget, or at least a tentative plan, must be developed by the end of June, before the start of the new fiscal year on July 1.

“I think that’s TBD,” Symes said. “I think that’s a consideration, but we haven’t said yet if we’re going to do that this year.”

On Tuesday, the council will also consider a separate set of budget goals and guidelines that, among other things, will focus on ensuring employee compensation remains on par with compensation offered in other cities. “Therefore, the board will consider increases in the cost of living as necessary to make employee compensation competitive,” read the proposed guidelines.

The guidelines also focus on advancing the debate over whether to rebuild or revamp the Marshall White Center, a simmering point of contention. Specifically, they call for identifying the source of funding and scope of the project “for the renovation or replacement of the Marshall White Community Center.”

Generally, budget guidelines also contain language to ensure that the diversity of the city is considered in programming. “As an overarching goal, council wants to ensure that the diversity of the community is reflected in all of the city’s programs and services. Each of the strategic guidelines should be considered with this objective in mind,” they read.

Tuesday’s city council meeting begins at 6 p.m. Tuesday and will be held in the Council Chambers of the Municipal Building, 2549 Washington Blvd.



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Lower state funding for Portland schools expected to contribute to higher taxes https://montgomeryhomestead.com/lower-state-funding-for-portland-schools-expected-to-contribute-to-higher-taxes/ Mon, 14 Mar 2022 08:00:48 +0000 https://montgomeryhomestead.com/lower-state-funding-for-portland-schools-expected-to-contribute-to-higher-taxes/ Portland School District leaders say they expect money to be tight next year, which likely means higher taxes for city residents. Portland School District superintendent Xavier Botana is due to unveil his proposed budget for the 2022-23 school year on Tuesday, but last week warned that the state’s largest school district would receive less money […]]]>

Portland School District leaders say they expect money to be tight next year, which likely means higher taxes for city residents.

Portland School District superintendent Xavier Botana is due to unveil his proposed budget for the 2022-23 school year on Tuesday, but last week warned that the state’s largest school district would receive less money from state governments. state and federal at the same time. time as labor costs and other expenses increase.

Officials expect to receive $21.4 million from the state in the fiscal year that begins July 1. This year, he received just over $24 million. This equates to a decrease of 11.1% or $2.5 million.

The district also anticipates that reimbursements for its Food Services Program and Support for Students with Special Emotional and Behavioral Needs program will bring in less federal money than it previously anticipated.

At the same time, schools in the city are facing rising labor costs and insurance premiums and rising prices for utilities and goods, officials said.

The district has completed negotiations with the union representing clerical, transportation, facility and maintenance workers and expects labor costs to rise about 6% for this group. They are still in negotiations with two other unions, including the teachers’ union.

All of this means the district will likely be asking Portland taxpayers to accept a tax increase to fund the school district. The school district accounts for about a third of the city’s total budget, which this year was about $400 million.

This year, the city’s tax rate was $23.31, which for the owner of a $300,000 home would equate to $7,000 in taxes.

The tax rate has not changed between fiscal years 2021 and 2022.

In a statement to the Press Herald following the budget meeting, Botana said he was confident the community supported investments in education.

“Portland is a hugely engaged community that understands that we are only as strong as our weakest link and that education is the great equalizer to ensure we are all able to reach our full potential,” he said. declared.

This year, the Portland School District’s budget was nearly $126.5 million. Botana did not reveal the size of its draft budget which will be presented on Tuesday.

The budget will need to be approved by the school board and city council before it goes to Portland voters in June for approval or rejection.

In addition to making ends meet, officials said they hope to invest in pre-kindergarten, English learning and foreign language programs.

The significant drop in state funding is largely the result of a 1.7% drop in public school enrollment in Portland and the city’s rising land value, according to Botana.

When the state decides how much money to give to a certain school district, it first calculates how much money a district needs to function well, and then determines how much money a district needs. local district must contribute. The state pays the rest.

Enrollment, demographics, and previous year costs are some of the factors the state considers when deciding how much money a district needs. The more students in a district, the more money a district receives from the state. The state provides additional funding for English language learners and low-income students, among other groups.

Then the state calculates how much district ratepayers should contribute by looking at the total value of property in the community. Basically, the higher the overall land value, the more a neighborhood should contribute. Property values ​​in Portland have skyrocketed in recent years. The total property value in 2014 was $7.5 billion. By 2022, that figure has risen to $12.1 billion.

The city’s rising valuation partly reflects a wave of new development in recent years, which generates additional revenue for schools through property taxes. This growth in property tax revenue is offset by declining state funding.

In 2004, Maine voters approved a ballot measure to have the state fund 55% of college tuition. But it wasn’t until 2021 that the state approved the budget to make it a reality and last year was the first time that 55% of tuition was paid for by the state.

Yet, due to the area’s high land values, Portland receives a significantly lower percentage of its school budget from the state than many other districts. This year, the state subsidized 19% of the district budget.

In Lewiston, the second largest school district in the state after Portland, the state subsidized 71.4% of the budget. Falmouth received a 25% grant and Yarmouth 22.1%. Districts that have received a lower state grant than Portland include Scarborough and Cape Elizabeth.


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Michael Madigan, Edward Burke’s bribery deals indicate relentless greed, even though they hardly needed more money https://montgomeryhomestead.com/michael-madigan-edward-burkes-bribery-deals-indicate-relentless-greed-even-though-they-hardly-needed-more-money/ Fri, 11 Mar 2022 17:07:30 +0000 https://montgomeryhomestead.com/michael-madigan-edward-burkes-bribery-deals-indicate-relentless-greed-even-though-they-hardly-needed-more-money/ Greed knows no bounds. It’s a difficult concept to understand for people who don’t think that way. But it is the essential truth underlying the federal indictments of former Illinois House Speaker Michael Madigan and Ald. Edward Burke (14th), former chairman of the Chicago City Council Finance Committee. Madigan, 79, and Burke, 78, are multiple […]]]>

Greed knows no bounds.

It’s a difficult concept to understand for people who don’t think that way.

But it is the essential truth underlying the federal indictments of former Illinois House Speaker Michael Madigan and Ald. Edward Burke (14th), former chairman of the Chicago City Council Finance Committee.

Madigan, 79, and Burke, 78, are multiple millionaires. I won’t hazard a guess at their net worth, but I’m confident they are wealthy enough to provide financial security for their children and grandchildren.

Yet the two are accused of using their power in corrupt ways to get even more clients for their law firms at a time in their lives when it hardly seems necessary.

This underscores another truth that we see time and time again in these white-collar criminal cases: no matter how much money some people have, it’s never enough.

Madigan and Burke grew rich in the lucrative and ethically murky legal field of politicians representing commercial landlords seeking to lower their property taxes. Their involvement has long raised red flags because Cook County’s property tax assessment and appeals system operates under local Democratic politics, where the two men have long been among the strongest players. important.

Madigan’s Madigan & Getzendanner law firm handles property tax work for more major downtown high-rises than any other law firm in Chicago, newspaper surveys over the years have shown. Klafter & Burke, Burke’s former company, which he ceded ownership after his 2019 indictment, has always been close behind.

It was never a secret that they could be aggressive in seeking new business. Madigan was known to make cold calls to potential clients. It was believed that Burke was spotting companies with business before the board that might see the need for a new property tax lawyer.

But the assumption by far was that the pair made their rain while maintaining a semblance of subtlety, nothing like the heavy-handed tactics they are now accused of employing.

At this point in their career, they could have continued to make money just from their reputation. They didn’t need to chase new customers. Commercial building owners who wanted influence on their side knew where to find it and would have continued to do so.

But we now know, mostly through the undercover work of another corrupt former councilman, Danny Solis, that the two men’s tactics weren’t so subtle.

Court records show that Madigan and Burke were surprised by secret FBI wiretaps willingly attempting to accept Solis over his offer to leverage his power as chairman of the council’s zoning committee to secure business for them – in exchange for certain financial incentives for Solis.

Burke’s approach might have been particularly bizarre with his complaint that “the cash register hasn’t rung yet” from a potential client, the developer of the former Chicago Main Post Office, and the impatient question of the alderman in Solis on this subject: “Have we landed … the tuna?

But the misconduct Madigan is accused of is no less egregious, even though the famous shut-mouthed politician let Solis do the most talking. When Solis talked about a ‘quid pro quo’ deal with a developer they were recorded shaking, prosecutors say Madigan’s only objection – delivered late – was to teach Solis a more clever to articulate his argument.

And the indictments show the two men were relentless in their pursuit of a new client once given the whiff of an opening.

It’s quite shocking how Madigan and Burke managed to get tricked by Solis, who was a second-tier player in the City Hall power play before rising to the coveted position of Zoning Chairman.

For those of us who cover politics and government, it was especially surprising in the case of Madigan, who has always kept a tight circle in Springfield.

Both men and their attorneys say they broke no laws. Although I expect the courts to decide otherwise eventually, we must recognize their legal presumption of innocence.

Even at the best of times, however, there’s no denying that Madigan and Burke engaged in unseemly efforts to get richer.

For some people, that’s never enough.

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NJBIA Supports Property Tax Relief, Affordability Bills Today https://montgomeryhomestead.com/njbia-supports-property-tax-relief-affordability-bills-today/ Mon, 28 Feb 2022 17:33:00 +0000 https://montgomeryhomestead.com/njbia-supports-property-tax-relief-affordability-bills-today/ The New Jersey Business & Industry Association is supporting several bills in the Senate Budget and Appropriations Committee today that will help improve affordability in the state. Of note, the NJBIA supports Bill S-330 (Singleton, D-7; Scutari, D-22), which would increase the amount of funding distributed to municipalities from the city’s energy tax fund. $330 […]]]>
The New Jersey Business & Industry Association is supporting several bills in the Senate Budget and Appropriations Committee today that will help improve affordability in the state.

Of note, the NJBIA supports Bill S-330 (Singleton, D-7; Scutari, D-22), which would increase the amount of funding distributed to municipalities from the city’s energy tax fund. $330 million over five years, starting in 2023. .

Municipalities are required by law to use the new funds to reduce their property taxes.

“Property taxes are also a business issue,” NJBIA Vice President of Government Affairs Christopher Emigholz said in written testimony before the committee. “New Jersey’s property taxes are the highest in the country and represent the largest state and local tax that businesses pay.”

Emigholz noted that New Jersey businesses pay $14.9 billion in property taxes, out of a total of $31.7 billion in state and local taxes.

“The $330 million distributed represents an approximate 1% reduction in the total statewide levy of more than $31 billion,” he said.

Energy taxes were once collected by individual municipalities until the state began collecting these revenues for the convenience of public utilities. The state would then pass these funds on to the local government. In 2008, however, these funds were diverted to the state’s general fund as part of a change in budget language.

The New Jersey State League of Municipalities estimates that about $14 billion in energy tax funds have been diverted from municipalities to the state budget since 2002.

NJBIA also today supports Bill S-676 (Bucco, R-25; Oroho, R-24) that indexes taxable income brackets under the New Jersey Gross Income Tax for inflation. .

“Better aligning state income tax brackets with natural wage increases is important to avoid unintended tax increases and to advance tax justice and fairness,” Emigholz said. “This is especially true when inflation is rampant, as we are currently experiencing.

“Over time, this bill will provide relief to many taxpayers, making New Jersey more affordable for families, retirees, young people starting their careers and small businesses.

Emigholz also noted that the bill’s goal of preventing “bracket creep” has broad support from advocates who are fiscally conservative, supporting tax cuts, and fiscally progressive, supporting relief for low-income taxpayers. .

“Nearly half of the states in the country have some form of indexing their income taxes, and the federal government indexes their tax brackets,” he said.

NJBIA also today supports Bills S-737 (Lagana, D-38; Gopal, D-11) and S-951 (Turner, D-15) which both provide tax relief in retirement planning. in New Jersey.

“Wealth emigration has continued to hurt New Jersey’s economic growth, and making it easier to retain wealth through retirement can help reverse some of that loss,” Emigholz said.

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Capitol Dispatch: Local Representatives Share Another State’s Frustration Over Gasoline Export Tax | State https://montgomeryhomestead.com/capitol-dispatch-local-representatives-share-another-states-frustration-over-gasoline-export-tax-state/ Sun, 27 Feb 2022 00:38:38 +0000 https://montgomeryhomestead.com/capitol-dispatch-local-representatives-share-another-states-frustration-over-gasoline-export-tax-state/ Capitol Dispatch is a weekly political report focusing on the actions of our local representatives during the 2022 legislative session. It will run every Sunday during the session. Senator Jeff Wilson is a member of the Senate Transportation Committee. Rep. Jim Walsh serves on the House Transportation Committee. Between the two chambers, they saw the […]]]>

Capitol Dispatch is a weekly political report focusing on the actions of our local representatives during the 2022 legislative session. It will run every Sunday during the session.

Senator Jeff Wilson is a member of the Senate Transportation Committee. Rep. Jim Walsh serves on the House Transportation Committee. Between the two chambers, they saw the two major transportation spending programs.

The House committee met five days in a row to consider the two major funding measures and a set of smaller bills. The big spending issues are the normal incremental changes to add projects to the current 2021-2023 biennial budget and the new Move Ahead Washington transportation package.

Walsh said the budget supplements were “good but not great” and had some bipartisan conversation. Move Ahead WA, however, has become a much more polarized bill, especially when it comes to proposed ways to generate revenue for the $16 billion list of improvements.

“The state is doing something that any freshman political science student could tell you is wrong,” Walsh said.

The transportation package would install a 6-cent-per-gallon tax on oil that Washington supplies to other states, namely Alaska, Idaho and Oregon, which is expected to bring in about $2 billion. The idea was immediately criticized by all three state governments on grounds of fairness and fear that it violated the interstate commerce clause of the US Constitution.

Governor Kate Brown and top Democrats and Republicans in the Oregon Legislature sent a joint letter Friday afternoon urging Washington to scrap the fuel export tax. The letter warned that likely legal battles over the tax could jeopardize work being done by both states on the Interstate 5 bridge.

“We could have avoided this issue if Democrats had shared a communication and left the door open for others to shape this package before it went to print,” Wilson said.

Walsh said he and Rep. Andrew Barkis, a minority member of the transportation committee, floated the idea of ​​replacing the gas tax with the state sales tax on cars and trucks, which is now entering in the general operating budget. Walsh pointed out that a one-time transfer of similar funds was already included in the proposed supplements to the transport budget.

Walsh presents

last minute

property tax billsWalsh introduced two bills Wednesday in an attempt to keep the tax relief conversation going in the Legislature and through the rest of the year.

House Bill 2125 would require state property taxes to be calculated based on 75% of the value of the land, instead of the full assessment.

House Bill 2126 would be a less permanent change but a more radical change. The bill seeks to completely eliminate the state property tax levy in the year 2023, after which taxes would revert to their current rates.

With the short legislative session scheduled to end on March 10 and no public hearing announced, neither bill has a real chance of being passed this year. Walsh said he hopes the two measures will play more of a role in shaping future discussions on tax rates and tax reform.

“A miracle could happen and something could give them traction this session, but really they’re supposed to set the frame for the conversation in the meantime and for the next session,” Walsh said.

Walsh’s bills were not the only last-minute attempt at tax reform by the 19th District. Wilson tried to use Friday’s Senate debate on the supplementary operating budget to bring back a defeated bill that would eliminate the trade and business tax for manufacturers. The amendment was rejected.

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Singapore Finance Minister Lawrence Wong on Net Wealth Taxes https://montgomeryhomestead.com/singapore-finance-minister-lawrence-wong-on-net-wealth-taxes/ Mon, 21 Feb 2022 07:33:19 +0000 https://montgomeryhomestead.com/singapore-finance-minister-lawrence-wong-on-net-wealth-taxes/ SINGAPORE — Singapore wants to introduce net worth taxes and is exploring the possibility of charging more for those with greater means, Finance Minister Lawrence Wong told CNBC on Monday. However, the minister highlighted the challenges of these wealth taxes, which would inevitably lead to money leaking out of Singapore. As part of its 2022 […]]]>

SINGAPORE — Singapore wants to introduce net worth taxes and is exploring the possibility of charging more for those with greater means, Finance Minister Lawrence Wong told CNBC on Monday.

However, the minister highlighted the challenges of these wealth taxes, which would inevitably lead to money leaking out of Singapore.

As part of its 2022 budget, Singapore on Friday raised taxes for high earners, including duties on real estate and motor vehicles, to ensure those who earn more pay more.

Singapore, a wealth management hub, is “looking very closely at a wide range of wealth taxes,” Wong said. They include taxes on capital gains, dividends and a wealth tax. individual.

“But the challenge with these types of wealth taxes is that wealth and financial flows are very mobile. And if we were to move but other jurisdictions don’t have similar taxes, it’s very easy for the wealth of moving away from Singapore to somewhere else,” Wong told CNBC’s Martin Soong.

Tax the highest earners

Among the changes announced on Friday were increases in tax rates for high earners that will affect the top 1.2% of taxpayers. It is expected to generate S$170 million in additional tax revenue per year, according to Singapore’s Ministry of Finance.

In addition to these considerations, it can be a “very complex exercise” to estimate the wealth of individuals, Wong added.

He said during Friday’s budget speech that “ideally, we would want to tax the net worth of individuals. But such a tax is not easy to implement effectively.” He pointed out that other countries also have difficulties in doing so.

Germany, France and Denmark have stopped levying personal net wealth taxes, with the number of OECD countries doing so falling from 12 in 1990 to just 3 in 2020, Wong said on Friday. .

“So we’re continuing to look at those options. We’re not ruling anything out in that direction,” he told CNBC. “But I think we also have to be practical and that’s why in the budget we decided to impose…wealth taxes by…existing means, that is to say the real estate and luxury cars.”

We are determined to ensure that Singapore remains one of the best places in the world to do business.

Lawrence Wong

Singapore finance minister

Property taxes will increase from 10% to 20% for non-owner occupied properties, to 11% to 27% in 2023. In 2024, they will be further increased to 12% to 36%. Higher taxes will also be levied on luxury cars.

Currently, property taxes are Singapore’s “main means of taxing wealth”, Wong said in his budget speech.

Doubling non-tax competitiveness

The Minister of Finance also addressed the impact of the global minimum corporate tax rate of 15% on Singapore, known to be one of the most tax-friendly countries for businesses.

Organization for Economic Co-operation and Development countries agreed to an overall minimum corporate tax rate of 15% in October last year. The deal, which will come into effect in 2023, will “reallocate” $125 billion in profits from 100 of the world’s biggest companies to countries around the world, the OECD said.

“But we’ve never relied solely on taxes to compete for investments,” Wong told CNBC. “What this means for [Singapore] is that we must redouble our efforts to strengthen our non-tax competitive factors. This will include the city-state’s infrastructure, the capabilities of its workforce and the overall strengthening of its business environment to be more attractive, he said.

“We are determined to ensure that Singapore remains one of the best places in the world to do business,” Wong said.

Higher taxes as part of a “reinforced social pact”

A fairer and more progressive mode of tax contribution will help keep Singapore society together as it enters a new post-pandemic future that is expected to be more unstable, Wong said.

“We’re not against people doing better, earning more and accumulating wealth — those aren’t good things by any means,” he told CNBC.

“But as part of our renewed and strengthened social pact, we want everyone to pay … contribute their share of taxes – and those with more means should contribute a greater share,” Wong added.

Clarification: The article and title have been updated to clarify that the Minister of Finance of Singapore was referring to levying taxes on the net wealth of individuals.

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Council candidates explain their views on tax relief as a tool for development https://montgomeryhomestead.com/council-candidates-explain-their-views-on-tax-relief-as-a-tool-for-development/ Sun, 20 Feb 2022 10:07:39 +0000 https://montgomeryhomestead.com/council-candidates-explain-their-views-on-tax-relief-as-a-tool-for-development/ The use of tax breaks to attract business or encourage the growth of existing businesses has drawn criticism as wasteful or unfair tax practices. Four candidates seeking two city council seats in the April 5 election said cuts can benefit the community, but must be used on a case-by-case basis. On February 7, the Jefferson […]]]>

The use of tax breaks to attract business or encourage the growth of existing businesses has drawn criticism as wasteful or unfair tax practices. Four candidates seeking two city council seats in the April 5 election said cuts can benefit the community, but must be used on a case-by-case basis.

On February 7, the Jefferson City Council voted 9 to 1 to reduce property taxes on project improvements by 75% for an initial 10 years and by 50% for the next 15 years for the Strikers Entertainment Center, which is located at the former Capitol Bowl site.

Project officials argued it will “improve the quality of life” for residents and keep money in the community.

However, he was not supported by everyone in the community.

Tax abatements are usually given to attract business or allow for growth in hopes of increasing a city’s economic development. However, Strikers is almost complete, with an opening date scheduled for March 1.

“The tax break is supposed to attract industry, isn’t it? said resident Ed Williams. “It’s already there. I drive past it pretty much every day. So that’s what we already have, and they shouldn’t be eligible. If they want to succeed, they should pay their fair share of property taxes. . “

Ward 2 Councilman Mike Lester said he supported the project, but voted against the tax abatement because he didn’t think it was appropriate.

The city has also approved tax abatements in the past.

For example, in 2020 the board approved tax abatements for the Jefferson City Medical Group to build a new outpatient facility. For the project, JCMG approached the city to request a tax incentive – 75% tax abatement for the first five years and 25% for the following five years.

The four candidates for Jefferson City Council — Jack Deeken and Jacob Robinett, who are seeking the Ward 1 seat, and incumbents Erin Wiseman and Bob Scrivner, who are seeking the Ward 3 seat — shared their thoughts on how the city should use tax cuts in the future. Their answers appear in the order in which they appear on the ballot:

Jack Deken

If it’s an area that isn’t fixed, go for it if they have a viable business plan and it’s good for the area. Nothing was going to be built. I mean, of course he had already started with that, but damn it. We need to do what we can to keep our local businesses here.

Jacob Robinett

I think it’s a tool that can be used for the good of the community. I think each of these cases, each time it comes before the city council, should be considered as an individual project and not as what we have done in the past. It’s something that prepares Jeff City for the future. This is not a short-term vision of what we can achieve in this facility or on this property. It’s something that can be built and will last and impact Jeff City in the future.

Erin Wiseman

We’ve used tax breaks for rundown buildings that are used for new businesses that I don’t think would have been built there otherwise or where the money just doesn’t make sense. … What’s really important in tax abatements is the cost of demolishing these properties. If we think about the Truman Hotel, the cost of demolishing that property, I don’t have a number, but it’s probably astronomical. … We must analyze wisely whenever someone asks. Would someone build, would someone go and take care of it and make it a profitable business without it?

Bob Scrivener

I’ve seen it used successfully, and I’ve seen it when I thought it wasn’t so successful. One of the biggest hits…was the year we recruited Command Web and gave them a pretty big incentive. It started small, but they managed to negotiate it. It has been a great investment for the city; they paid for it early, they expanded many times over; equipment added. It was a great example.

Regarding the recently approved tax abatement for an entertainment center, Scrivner said: “I have nothing against it at all. But I thought it was a misapplication of the TIF. I thought it was a development that was going to happen anyway.”

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Lawmakers work to fix property tax disparity https://montgomeryhomestead.com/lawmakers-work-to-fix-property-tax-disparity/ Wed, 16 Feb 2022 05:15:00 +0000 https://montgomeryhomestead.com/lawmakers-work-to-fix-property-tax-disparity/ SANTA FE, NM (KRQE) — Most agree this is a problem, but it seems no one at the roundhouse can agree on how to fix it. For decades, all New Mexico homeowners have been sheltered from large property tax increases, which sounds good, in theory. Twenty years ago, Santa Fe homeowners were hit with soaring […]]]>

SANTA FE, NM (KRQE) — Most agree this is a problem, but it seems no one at the roundhouse can agree on how to fix it. For decades, all New Mexico homeowners have been sheltered from large property tax increases, which sounds good, in theory.

Twenty years ago, Santa Fe homeowners were hit with soaring property taxes that were rising more than 300% per year. “Because we’ve had this 3% cap for 20 years, it has unintended consequences and I think we need to look at them,” Rep. Matthew McQueen said.

Rep. McQueen said the 3% discrepancy was originally intended to prevent homeowners from being “kicked out” of their neighborhoods. “Nobody wants to think their grandmother has to sell her house because she can’t pay the property taxes, but at the same time counties are facing ever-increasing needs for money for schools, roads, prisons and hospitals,” McQueen mentioned.

Decades after the law began, counties are losing millions in revenue because thousands of longtime homeowners across the state are paying far less in property taxes than their property is actually worth. “If the value of the property is going up more than 3% per year and the tax can only go up 3% per year, you can start building up a pretty big gap there,” McQueen said.

As state law currently stands, the only way to tax a property at its actual value is once a new owner purchases it, and the property tax is reset to the current and correct value, resulting in significant tax disparities in the neighborhoods. “We have this incredible disparity where we have neighbors living side by side where someone pays one-third of the property tax as a neighbor who just bought,” Senator Peter Wirth said.

To help recoup some of that revenue and ease the burden on new buyers, House Bill 71 wants to remove that 3% cap from certain properties. “If the residential property is primarily a second home or a home that generates part-time income like an Airbnb, we will change that cap from 3% to 10%,” Wirth said.

McQueen says the property tax increase is intended to target wealthy homeowners. “People who have an investment property or two or three or more…or a second home…there’s not the same concern that they’re getting a price tag on it,” McQueen said.

But several senators on the Tax, Corporations and Transportation Committee said the bill would unfairly penalize families, especially in northern New Mexico, who own land or homes passed down from generation to generation.

So while everyone agreed that the 3% cap was creating problems, senators didn’t think this bill was the way to fix it, postponing the effort until next year. “It’s a messy problem. There is no dispute on that.

Rep. McQueen says they have been working on this bill for four years and it continues to be a work in progress. He intends to bring the bill back next year.

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Shaker Heights OK Council Tax Incentives for Van Aken Phase II Apartment Towers https://montgomeryhomestead.com/shaker-heights-ok-council-tax-incentives-for-van-aken-phase-ii-apartment-towers/ Tue, 15 Feb 2022 14:02:00 +0000 https://montgomeryhomestead.com/shaker-heights-ok-council-tax-incentives-for-van-aken-phase-ii-apartment-towers/ SHAKER HEIGHTS, Ohio — To allow the developer to seek financing and innovate mid-year, the City Council on Monday (February 14) approved tax incentives for the Van District Phase II project. Aken, a double tower high rise apartment. The only adjustment to the Tax Incremental Funding (TIF) structure originally approved by the Shaker Heights City […]]]>

SHAKER HEIGHTS, Ohio — To allow the developer to seek financing and innovate mid-year, the City Council on Monday (February 14) approved tax incentives for the Van District Phase II project. Aken, a double tower high rise apartment.

The only adjustment to the Tax Incremental Funding (TIF) structure originally approved by the Shaker Heights City School District in 2016 came on February 8, when the Board of Education changed language to ensure the product of TIF is captured for the full 30 years, rather than just the 29 that might result from ongoing construction.

“We don’t yet know when the project will start and when Cuyahoga County will recognize the improvements” to the city-owned Farnsleigh parking lot, which will affect the start date of TIF, said Laura Englehart, Shaker’s director of economic development. Heights, to the council. Monday.

The Shaker Heights City Council typically gives ordinances three readings, but this one was given two readings after it was introduced on January 24, to “align with the developer’s processing schedule.”

In submitting documents for project funding, the developers asked for a “show of community support” by officially setting up the TIF, Engelhart added.

City Director of Law William Ondrey Gruber noted that the base value of the land itself is already set by the county at around $1 million, although the property has essentially remained tax-exempt since the city took it over in 1953.

According to Englehart’s February 9 memo to councilthis will amount to approximately $52,000 per year in property taxes, with the school district receiving most of this sum.

“There is no property value without economic development,” Englehart said Monday. “And there is no economic development without ‘TIF’.”

The Board’s adoption will now “start the clock on the agreed 30-year term of the TIF”, in which developers RMS Investment Group and its subsidiary The Max Collaborative, will set aside approximately $2.7 million per year as than “payments in lieu of taxes (PILOTs).”

Developers can then keep 75% of that amount — about $2 million a year — to reinvest in the project, and then reinvest about $2 million in project costs each year.

City schools will receive about $716,000 a year in new property and pilot taxes, and preliminary estimates show the city collects about $485,000 a year in local income taxes, including about $364,000 from new residents. , based on an average household income of $115,000 for the 228 apartments.

“The (PILOT) exemption will begin in the first tax year when the new value of Farnsleigh flats recognizes improvements to the property,” Englehart said of the adjustment in the school compensation agreement.

It could be January 1, 2023 or the following year, with construction expected to take 20-22 months.

“We still don’t know how much they can get in the ground this year – foundations, maybe,” Englehart noted, adding that, “as the mileage changes over time, those numbers will also change.”

Community meetings

Officials are also gathering feedback on two other fronts this month, starting with the Forward Together initiative to create a joint facilities master plan for the city, school district and Shaker Public Library to eliminate the overlaps.

Online reviews and an investigation will be conducted from February 16, followed by further public meetings as follows:

— February 22, 7-9 p.m., Shaker High School Upper Cafeteria (15911 Aldersyde Drive

— February 23, 11 a.m. to 1 p.m., Stephanie Tubbs Jones Community Building (3450 Lee Road)

— February 25, noon to 1 p.m., Virtual meeting (Zoom)

“With limited resources and high expectations, it is important to leverage and strengthen current relationships and seek new ways to creatively collaborate on the current and future state of community facilities,” a joint statement noted. .

Lee Road Action Plan

The Planning Department will also kick off its community engagement process with a virtual public meeting on the Lee Road Action Plan from 6:30 p.m. on February 24.

City officials are already lining up funding sources for “this visionary $13 million reinvestment plan that will improve connections along Lee Road from northern residential neighborhoods to southern civic and commercial areas.

The goal is to completely transform the area south of Chagrin Boulevard into a thriving corridor and attractive shopping district, accessible by foot, bike and transit-friendly, a press release said.

Previous planning efforts have already recommended:

— Reconfiguration of lanes along the entire Lee Road corridor from four lanes to two through lanes with a center left turn lane

— Cycling infrastructure on the entire corridor (north cycle shoulders, mid-sharrows, dedicated southern cycle paths)

— Traffic light improvements

— Targeted reconfiguration of intersections

— Pedestrian improvements.

Details for joining the Zoom meeting will be available on the city ​​website.

Learn more about the Sun Press.

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Deadline Approaches for Seniors to Apply for Property Tax Relief Program – Kane County Connects https://montgomeryhomestead.com/deadline-approaches-for-seniors-to-apply-for-property-tax-relief-program-kane-county-connects/ Mon, 14 Feb 2022 14:01:30 +0000 https://montgomeryhomestead.com/deadline-approaches-for-seniors-to-apply-for-property-tax-relief-program-kane-county-connects/ Kane County seniors who are having financial difficulty paying their property taxes can take advantage of a program that defers up to $5,000 of their property tax bill. The deadline to apply for the Senior Property Tax Deferral Program is March 1, 2022. Michael J. Kilbourne To be eligible for the program, the applicant must […]]]>

Kane County seniors who are having financial difficulty paying their property taxes can take advantage of a program that defers up to $5,000 of their property tax bill. The deadline to apply for the Senior Property Tax Deferral Program is March 1, 2022.

Michael J. Kilbourne

To be eligible for the program, the applicant must be 65 years of age or older, have an annual household income of less than $55,000, have equity in their home greater than the sum of deferred property taxes, have no property taxes outstanding or special assessments on the property and have lived in their dwelling for at least three years.

“There are a number of reasons a homeowner may have difficulty paying their property taxes,” Kane County Treasurer Michael J. Kilbourne said. “This program can provide the tax relief eligible seniors need.”

The tax deferral program acts like a loan that the homeowner receives from the state. The state pays the amount the qualified homeowner defers and charges an annual interest rate until the borrowed amount is repaid.

For a full explanation of how the Senior Citizens Property Tax Deferral Program works, including a full list of qualifications and repayment requirements, go to the Illinois Department of Revenue website at ‘address www2.illinois.gov/rev.

SOURCE: Kane County Public Information Office press release

More information on Treasurer’s Office Exemptions

SOURCE: Kane County Treasurer’s Office website

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