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Adopt a resolution setting the property tax rates for the County of Solano, cities, schools and applicable special districts for FY2017/18
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Published Notice Required? Yes ____ No _X _
Public Hearing Required? Yes ____ No _X _
DEPARTMENTAL RECOMMENDATION:
The Auditor-Controller’s Office (ACO) recommends that the Board of Supervisors (BOS) adopt a resolution setting the property tax rates for the County of Solano, cities, schools and applicable special districts within the County of Solano for FY2017/18.
SUMMARY:
In accordance with Government Code section 29100, the BOS is required to set the property tax rates for the County of Solano, cities, schools, and applicable special districts within the County of Solano on or before October 3rd of each year. The Code requires the BOS to levy the rates of tax on the secured and unsecured rolls at not more than ONE DOLLAR ($1.00) per ONE HUNDRED DOLLARS ($100.00) of the full cash value of the property. Also, pursuant to Revenue and Taxation Code section 93(c), included in the tax rate schedule in Attachment “A”, are the ad valorem tax rates for schools and applicable special districts to collect for the payment of the principal and interest on their respective voter- approved bonded indebtedness.
FINANCIAL IMPACT:
There is no financial impact in adopting this resolution. However, the action establishes the property tax rates necessary to levy taxes for the operations and debt service requirements of the County, cities, schools, and applicable special districts within the County of Solano for FY2017/18.
DISCUSSION:
Proposition 13 was passed by the California electorate in 1978 to set the property tax rate statewide at 1% of the full cash value of the property. Additional taxes levied in excess of 1% require voters’ approval. The ACO calculates the property tax rates for the General Obligation Bonds of all school districts in the county. A school district may have a series of bond issues and the tax rate of each series is calculated separately. The assessed values of all property within the sphere of influence of each jurisdiction together with the scheduled annual debt service payment of principal and interest due during the year are the factors in the calculation of the property tax rates.
For cities and other local agencies, the respective entity calculates and submits their respective property tax rates to the ACO accompanied by an approved Resolution or Ordinance from the respective governing body. Each local agency is responsible for the validity and accuracy of the property tax rates to conform with the legal requirements.
The BOS approves the annual property tax rates to be levied on the property tax bills for the current fiscal year.
ALTERNATIVES:
The BOS could set different tax rates than those provided herein. However, they may impact the funds necessary to meet the current year’s debt service obligations for the respective levying agencies. Therefore, this alternative is not recommended.
OTHER AGENCY INVOLVEMENT:
The affected cities, schools and applicable special districts have participated in the compilation of the data and the calculation of the respective tax rates contained in this report.
CAO RECOMMENDATION:
APPROVE DEPARTMENTAL RECOMMENDATION