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HomeMy WebLinkAboutResolution 53-21at present: Franklin the rate RESOLUTION ACCEPTING THE AMOUNTS AND RATES AS DETERMINED BY THE BUDGET COMMISSION AND AUTHORIZING THE NECESSARY TAX LEVIES AND CERTIFYING THEM TO THE COUNTY AUDITOR OHIO REVISED CODE, SECTION 5705.35 Council DUBLIN Commission Franklin rate is and RESOl~VED, Council Ohio, that the amounts and rates, as determined the RESOLVED, That there be and is Resolution 53-21 SCIIEDULEA Estimate Rate to Be Levied Levies Outside Commission Inside Oulside Inside Mill Mil! Limitation Limitation Limit Limit -------------------------------~~-~--------~--~----------------.--- General Fund Charter Bond Retirement Bond Retirement "'~w"" Police Pension Road&: Sidewalk fund and he RESOLVED, called $926,879.51 ()35 Council be and is The State of Ohio, Fhmldin Ct:lfml)'. ss. CERTIFICATE OF COPY ORIGINAL ON FILE I, Jt,nnt:f< O.t~ tJo , Clerk £if the Council £if the City of _D_U...,.'B_U_'N _____ within and for said County, and in whose custody the Flies and Records of said Council are required by the Laws of Stale of Ohio to be kept do hereby certify that the foregoing is taken and copied from the original ____ _ R.tstJ 1/kfz~ 53-J-1 now on ftle, thal the foregoing has been compared by me with said original DUBUN .Franklin County, Ohio. To: Members of Dublin City Council From: Dana L. McDaniel, City Manager Date: September 7, 2021 Initiated By: Matthew Stiffler, Director of Finance Rosa Ocheltree, Deputy Director of Finance Melody Kennedy, Budget Manager Re: Resolution 53-21– Accepting the Amounts and Rates and Authorizing Tax Levies Summary Each year, the Franklin County Budget Commission determines the amount of property taxes to be collected and remitted to the City based on the City’s millage rates, both inside and outside the “10 mill limit” as adopted by City Council in the 2022 Tax Budget, Ordinance 22-21. The inside millage rate was established many years ago by the State, and the outside millage is based on the voted levy for police operations. The history of the inside millage rates is as follows: • The property tax revenues from the City’s inside millage (also known as “unvoted” millage) rate of 1.75 mills was allocated 100% to the Parkland Acquisition Fund from 2001 – 2006. The Parkland Acquisition Fund can be used to acquire recreation facility sites, open space/greenways, and parkland. • From 2007 – 2009, the City allocated .95 mills of the 1.75 mills to the Parkland Acquisition Fund and allocated the remaining .80 mills to the Capital Improvements Tax Fund. The allocation change in 2007 increased the revenue to the Capital Improvements Tax Fund for the purpose of retiring a portion of the debt issued for the US33/SR 161/Post Road Interchange improvement project. At that time, this modification was said to be an indication of City Council’s emphasis on long-term planning and recognition of the economic development potential of the area surrounding the interchange. • Since the approval of the 2010 – 2014 Capital Improvements Program (CIP), including the approved 2022 – 2026 CIP recently reviewed, City Council has approved allocating .35 mills to the Parkland Acquisition Fund and 1.40 mills to the Capital Improvements Tax Fund. In 2010, the allocation to the Parkland Fund was further reduced in order for a portion of the funding to be used to reimburse the General Fund for advances made to acquire right-of- way for the US33/SR161/Post Road Interchange project. During years 2010 and 2011, City Council considered re-allocating the Parkland millage to .8 mills, but in 2012 reconsidered due to the recognition of the benefits and flexibility of allocating more of the inside millage to the Capital Improvements Tax Fund. City Council has the ability to annually revise how that millage is allocated, and may review that allocation as part of the CIP process. During the August 30, 2021 meeting of City Council, it was Office of the City Manager 5555 Perimeter Drive • Dublin, OH 43017-1090 Phone: 614-410-4400 • Fax: 614-410-4490 Memo Resolution 53-21– Accepting the Amounts and Rates and Authorizing Tax Levies September 7, 2021 Page 2 of 2 determined that the millage rate for the Parkland Acquisition Fund would remain at .35 mills for 2022, and be reassessed subsequent to the completion of the Framework 2035 Study, and the Parks & Recreation Master Plan update. In addition to the revenue generated from the City’s 1.75 mills from inside millage, the City also receives revenue from 1.20 mills of outside (voted) millage for police operations. This millage was approved by the voters in June 1976 and permanently renewed in 1981. Revenue received from this levy is credited to the Safety Fund. In tax year 2021 (collection year 2022), it is estimated that approximately $3,707,518 in property tax revenue from the inside millage will be credited to the Capital Improvements Tax Fund and $926,879 to the Parkland Acquisition Fund. As of August 31th, the fund balance in the Parkland Acquisition Fund is approximately $3,181,101. Currently, $405,102 is encumbered in the Fund for payment of a portion of the North Riverview properties (Ordinance No. 54-20). The outside millage that is credited to the Safety Fund for police operations is estimated to generate approximately $551,158. The effective rate for the Police operating levy for tax year 2020 (collected in 2021) is .161689 for residential/agricultural property and .271383 for commercial/industrial property. This translates into approximately $5.66 per $100,000 in value on residential/agricultural property and $9.50 per $100,000 in value on commercial/industrial property. The adoption of this Resolution, officially titled Resolution Accepting the Amounts and Rates as Determined by the Budget Commission and Authorizing the Necessary Tax Levies and Certifying them to the County Auditor is required by Section 5705.34 of the Ohio Revised Code. The adopted Resolution is to be filed with the Budget Commission (in Franklin, Delaware and Union Counties) on or before October 1. Recommendation Staff is recommending the adoption of 53-21 at the September 13, 2021 City Council meeting.