I received a call from the Builders Association of Western Nevada this afternoon about a big property tax increase the Carson City Board of Supervisors is going to vote on tomorrow.
The funny thing is, I read through the agenda last week and didn’t see it. But it was easy to miss. It is number 15 on the agenda, and the language used gives very little clue as to what it is (the document is attached below).
According to Sheena Beaver, the government affairs person at BAWN, the allowable property rate was raised by the Department of Taxation yesterday from $3.09 to $3.53 per $100 of assessed value. Beaver said that she spoke with City Manger Larry Werner and he said the city hopes to raise $1.3 million per year with this increase.
BAWN will officially oppose the increase at tomorrow’s board meeting, saying it will hurt their already struggling industry.
There was also a suggestion that the $1.3 million tax increase is very close to the $1.2 million the city is looking at pulling out of the general fund for the Nugget Project.
I have a call into Larry Werner to get more details about this item.
Along with this and the Nugget Project, the board will also hear plans for constructing a new gymnasium next to the Boys & Girls Club, as the first phase of the long-planned Multi-Purpose Athletic Complex (MAC).
Should be a barnburner of a meeting. We’ll have the live video right here on Carson Now.
Update: Here is an email from BAWN about the issue:
CALL TO ACTION
Carson City Property Tax IncreaseAt tomorrow’s Carson City Supervisors meeting a property tax increase will be proposed for this budget year. Current Property Taxes are $3.09 per $100 of assessed value which is being proposed to rise to $3.53; a total increase of $.44. This would force many homes which would have seen a lowering of their taxes to increase; including existing homes as well as new construction. An increase could impede the possibility of recovery from an already down economy. The tax abatements that were put in place by the 2005 Legislature have caused a drastic disparity between new and existing home sales. This inequity causes upwards of $2500.00 in higher property tax for consumers who choose to purchase a new home versus an existing home, thus making new home construction less appealing to the Nevada consumer markets. With this tax disparity already existing, the Carson City construction industry will be further damaged by an additional .44 cent tax.
On an average $300,000 house this will raise the property taxes by $450.00 annually. This is unacceptable in BAWN’s opinion and we fully intend to oppose this increase at tomorrow’s meeting. We would like for as many members as possible to please “PACK THE ROOM” and if you would like to testify we encourage you to please join us.
Below are a few simple talking points if you choose to go (if you would like more information to prepare a speech please contact me directly (775) 315-5757):
1) The construction industry is one of the hardest hit industries and this increase specifically targets us a revenue generators.
2) This increase will further discourage home buyers to purchase new homes. New homes generate a larger property tax base, jobs and sales taxes through materials. We should not be discouraging home owners from supporting our industry or our City.
3) The City needs to encourage growth through policies and taxes in order to stabilize the Community.
4) Our economy is still trying to recover, increased property taxes are not appropriate given the current housing market.
5) Property taxes are an important deciding factor to home buyers, by increasing them the City will see fewer new constructed homes and therefore fewer building permits, fewer jobs, and less property tax.
6) Support our industry and Community by not further burdening us with increased costs.
The Carson CIty Board of Supervisors meets at 8:30am at the Community Center in the Sierra Room located at: 851 East William Street. If you would like further information please contact Sheena Beaver at (775) 315-5757. Please notify me so that I may know how many members will be attending the meeting.
