August 16, 2023 -Tax Increase Public Hearing
Fountain Green City held a Public Hearing to discuss the possibilities of a property tax increase at 7:00 p.m. on Wednesday, July 16, 2023, in the Fountain Green City Hall, 375 N. State Street.
Attendance -Shelith Jacobson, Rod Hansen, Stuart Smith, and Alyson Strait. Excusing Julio Tapia.
Presiding -Mayor Mark Coombs
PowerPoint Presentation -Seth Atkinson (Nephi City Administrator).
Property Taxes –
Formula for getting property tax rates –
Taxable Assessed Value x Property Tax Rate= Total Tax Collection
Primary Dwellings are taxed at 55% of the total assessed value of your home; Secondary Dwellings are taxed at 100% of the total assessed value.
If your city does not have new growth, the city gets the same dollar value as the year before. Problem -inflation goes up, wages go up, but revenue stays the same.
If the tax increase is approved, and depending on the assessed value of your home, Fountain Green property owners would be giving Fountain Green City 3% – 4% of their total tax bill, which would mean a $4.50 to $8.00 monthly increase.
The following residents made comments-
Darlene McGuire, Edna Hancock, Newell Christensen, Emily Lovell, Bradd Hancock, Mary Hurst, Gary Hurst, Vaughn Jacobson, Kathy Lloyd, and Greg Johnson.
Some of the questions posed/ Answers given –
Q-What will the $35,000 increase cover and will it be enough?
A -Rising Fuel Costs, Water and Sewer Transfers, Maintenance, and some unforeseen costs.
Q -Why can’t the city stay within its budget? Stop donating to different entities in town. Start cutting.
A-The City could cut out services that are provided to citizens. What services should be discontinued?There is a budget printout that can be made available to the public. There are many budget work meetings that are open to the public.
Q -Is there any guarantee that you won’t raise taxes next year?
A-There is no guarantee. Depends on the economy.
Q-What is the new growth/last 5 years/hasn’t it helped?
A – The City has been making the transfers from Water and Sewer for the last several years.
Q -Is the Sales Tax being collected?
A -Yes but doesn’t bring in much. Fountain Green City does not have a good tax base.
Q-Isn’t Amazon Sales Tax and current water sales enough? Why haven’t other cities in the area have a big tax increase?
A-Other cities in the County have several businesses and are experiencing new growth. The sales tax from Amazon etc. changes from year to year. It’s not a set revenue. Total sales tax last year-$100,000. Water Sales from Summit Line last year -All water sales have to go back into the water fund. Fountain Green City has not raised taxes for 9 years before 2022.
Q-ls raising taxes responsible? How can the residents trust officials?
A-Come to the Budget Work Meetings and City Council meetings. Officials try to be fiscally responsible with citizen’s money. If you don’t agree, vote them out.
Comment from Citizen in Attendance -Citizens have an obligation to be informed, ask questions with relevance, and educate themselves.
All meetings are open to the public. Budget work meetings start in February and March. The roads, water, and sewer infrastructure will eventually all need repairs and maintenance. The City needs to plan for the future and having to make transfers each year does not allow saving for the future.
Q-Can the budget be put on the website? Are there things in the city office that are outsourced?
A-Yes, the budget can be put on the city website. The only thing that is outsourced is the Police.
Q -Can the bills to be paid be made available to the public?
A- Copies of the monthly bills will be put on the city website and available on the night of the city council meetings.
The meeting adjourns at 8:05 p.m.