In a 4-1 vote, a Navajo County primary property tax rate increase was approved by the board of supervisors on Tuesday. The rate will increase from 69.96 cents to 81.85 cents per $100 of assessed property value.
Several citizens, as well as District 3 Supervisor Sylvia Allen opposed the rate increase, noting that it will have a negative impact on businesses within the county and is especially harmful to low-income residents.
The new rate is expected to bring in an additional $530,000 to help make up a $4 million deficit the county was facing for fiscal year 2014-15. According to county staff, a home with an assessed value of $100,000 will pay an additional $11 per year under the new rate.
Allen stated in a previous meeting that not only is the county raising tax rates, but other entities, such as Northland Pioneer College (NPC), have raised their property tax rates as well. She told the board that she believes there are other solutions to the county’s budget woes.
Chairman Jesse Thompson noted that the property tax rate has been carefully considered over the course of the last year, and he believes it is the proper solution.
Supervisor David Tenney explained that it does not appear the county has any other option in order to create a balanced budget and continue to provide state-mandated services. He pointed out that if there are changes in revenues, such as restoration of Payment in Lieu of Taxes (PILT) funding from the federal government, the board will have the option of adjusting property taxes downward in future years.
Finance Director James Menlove told the board that the budget process has been underway in a public setting for many months and has included the rate increase.
“The budget process has been going on for months with these respective rates and we recommend approval,” he said.
Supervisor Allen asked that the board vote separately on school district tax rates and the remaining property tax rates.
Board members unanimously approved school district tax rates, while Allen withheld her approval for all other tax rates.
In other action Aug. 12, the board:
* Approved a resolution opposing the legalization of marijuana for recreational use.
* Approved the appointment of Wade Carlisle and David Coolidge to the Disciplinary Appeals Review Commission.
* Approved a contract with Pictometry for aerial imaging services for the assessor’s office.
* Approved a memorandum of understanding with the City of Show Low for county employee use of the city’s gym and workout area.
* Approved the donation of a color copier to the Navajo County Fair.
* Rescinded a contract with Fann Contracting and awarded it to Perkins Cinders for the excavation of red dog material.
Assistant County Manager Homero Vela noted that the bid prices were tabulated incorrectly, and Perkins Cinders was actually the low bidder.
The next regular board meeting is set for 9 a.m. on Tuesday, Aug. 26, at the county complex in Holbrook.
