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HomeMy Public PortalAboutRES-CC-2019-55RESOLUTION NO.55-2019 A RESOLUTION OF THE MOAB CITY COUNCIL TO APPROVE THE MOAB MOSQUITO ABATEMENT DISTRICT'S NOTICING OF UP TO AN $80,000 PROPERTY TAX INCREASE FOR 2020, REPRESENTING AN APPROXIMATE 33.46% INCREASE ABOVE THE CURRENT PROPERTY TAX REVENUE BUDGET WHEREAS, Utah Code 17B-1-1001(3)(a) requires that a local district with an appointed board may levy or collect property tax revenue that exceeds the certified tax rate...if: (ii) the proposed tax or increase in the property tax rate has been approved by: (D) the legislative body of the appointing authority, or (E) the legislative body of: (I) a majority of the municipalities partially or completely included within the boundary of the specified local district; or, (II) the county in which the specified local district is located, if the county has some or all of its unincorporated area included within the boundary of the specified local district; and WHEREAS, Moab City Council's approval of an $80,000 property tax increase is only one step in the tax increase process, and the Moab Mosquito Abatement District (MMAD) is required to comply with Truth -In -Taxation by mailing parcel -specific notices, placing two '/< page newspaper ads, holding a public hearing (scheduled for December 2"a, 2019), and adopting the tax increase; and WHEREAS, property taxes are the predominate revenue source for the MMAD and MMAD has not increased property taxes in 9 years; and WHEREAS, the MMAD has increased salaries and benefits for its employees over the last 9 years in order to address inflation and maintain an adequate workforce; and WHEREAS, the MMAD has replaced aging vehicles and equipment, and will continue to maintain well -functioning vehicles and equipment; and WHEREAS, occasional high water years on the Colorado River require extraordinary abatement measures and Utah Code 17B-2a-703(6) allows for a reserve to meet such measures not to exceed 25% of the district's annual operating budget; and WHEREAS, 2019 was a high water year that required extraordinary abatement measures that exceeded the district's resources and budget. And, Grand County provided a loan of approximately $80,000 to the district to perform these measures that will require repayment over time; and WHEREAS, for the above reasons, the Moab Mosquito Abatement District proposes to increase its property tax budgeted revenue by up to $80,000 in 2020 or approximately 33.46% above the current budget. This proposed tax rate on a $242,000 residence would increase from $23.69 to approximately $31.62, which is an increase of $7.93 per year, and tax on a $242,000 business would increase from $43.08 to approximately $57.49 which is an increase of $14.41 per year. NOW, THEREFORE, the Moab City Council resolves to approve the Moab Mosquito Abatement District's $80,000 property tax increase for 2020, representing an approximate 33.46% increase above the current budget. DATED this 24th day of October, 2019. Emily Niehaus Moab City Mayor ATTEST: r � w-t'A 4 `-L 6 Srnrmar Johnson Moab City Recorder