1982/12/08 Council Minutes - Laserfiche WebLink

December 8,1982 rth:1:17.gadli:e11171111Y cTo=ndraht:Zugh capital o jail fees at this times Councilmen Aldcroft and Lang.withdrew their motion. Moved by Councilman Alderoft,seconded by Councilman Lanqus,tn offer to the County,in writing,the sum of 938.00 per day l fees,over a 10-year period,incorporating a CPi uP to.maximum.,.8,with the request that the County reply by December 28,1982. Councilman Overstreet suggested that the City proPose Paring. percentage,such as 808,of the cpi,and asked Mr.Cns.an wlmt his thoughtswereon this. Mr.Cushman replied the cpi really didn't reflect what costs were to run the jail and there was no correlation between the two. If the City were locked into the cpi,it might not be paying true costs. Roll was called with all Councilmen voting yes. Motion Carried The meeting then recessed and reconvened in the Seco.Floor Public Conference Room,with Mayor Moore and all Councilmen in attendance. INVENTORY TAX PHASE-OUT REPORT Bill Cushman,Finance Director,briefed Council on the 1984 loss of inventory taxes and the resulting impact on levy rates. In 1973 the business community asserted the inequity of assessing personal Gat taxes on inventories. As a result,legislation wasp assed that began a process of phasing out the inventory tax at the rate of 108 per year. However,the method used will allow in 1904 the entire assessed valuation attributable to business inventories to be removed from the assessor's books all in one year. This means that approximately$1.1 billion of Everett's tax base will vanish. Unless this tax liability is shifted to residential and business real property to offset the reduced tax base,the City will lose 208 of its property tax revenues. /n order for.e City to collect the same t.es in 1984 as in.89,k.le,must he increased. The City will have to make a determination regarding how much will require and then.e Countwill compute the formula to produce the desired revenue. The City is not involved with determining the asseesed valuation or setting the levy rate. This is adopted by the County Assessor. ties Mayor Moore pointed out there would be a drastic impact and burden on Everett property owner.. Councilman Overstreet said the City will have the same revenues to lion operate in 1983,but.e impact.uld show.in F.ruary of 1984 when property tax statements arrive. :rr'r=t1lort2.:T:47.:VVIZ":,r„:,,:°a';ratrr'f=ctletrXINft nCl ..croft asked if this had been discussed at At meetings, and Councilman Overstreet said it had not been addressed but should be. He said the legislative committee of AM would be meeting tomorrow and he would bring this to their attention.