The City of Hull is proposing a lower overall property tax levy for the upcoming fiscal year, even as costs rise and major infrastructure projects move forward.
City Administrator Heidi Kramer says increased property valuations across the community largely drive the reduction.
“The City is able to lower its tax levy rate due to the increase in assessed valuations in the City,” Kramer said.
Even with the lower levy rate, residents may still see an increase in their actual tax bills, depending on their property value.
Kramer says in one example provided by the city, a residential property in Hull saw its assessed value increase by more than 20%, with the taxable value rising about 12.8%. That translates to an estimated increase of about $17.86 per month in city property taxes.
She says for lower-valued homes, the increase could be closer to 20 to 30 cents per day.
“Each property will be different,” Kramer said.
The city is also dealing with rising costs, particularly in one key area.
Kramer says insurance continues to be a major factor putting pressure on the city’s budget.
At the same time, Hull is moving forward with significant infrastructure investments. Those include the Division Street reconstruction project and the Liberty Heights Third Addition public infrastructure project.
Kramer says those projects total more than $4.1 million, while the increase to the debt service levy remains relatively small.
She says the debt levy is expected to rise by about 15.7 cents per $1,000 of taxable valuation, even as the city’s overall levy is projected to decrease by about 51.2 cents per $1,000.
A public hearing on the proposed property tax levy was held on Monday, March 23rd. The Hull City Council is expected to vote on final budget approval during its meeting on Monday, April 13th.
