Metro asking voters to approve zoo slush fund
Willamette Week newspaper questions why Metro is wanting more zoo, and not instead more housing
Measure 26-244 on this May's election ballot is asking voters to approve Metro's use of bond finance savings to create extra funding for the Portland area Oregon Zoo. The cost to the average homeowner is between $24 an $36 per year - this money otherwise refundable to property taxpayers within the Metro regional government jurisdiction (mainly, Multnomah, Washington and Clackamas Counties.
There are 14 arguments in favor of Measure 26-244 (Zoo slush fund), and seven opposed in the Clackamas County Voter Pamphlet for this May 2024 primary election.
Willamette Week's questioning of Metro on why not use these bond savings to instead meet the housing emergency ... is linked here: https://www.wweek.com/news/2024/04/07/is-metro-prioritizing-oregon-zoo-upgrades-above-low-income-housing/
I think Metro regional government as a bureaucracy sees a need to sell itself with the Zoo, and so this is why it asks for more zoo funding. If challenged on its lack of priority for more housing, Metro can always say ... that it is working on and spending on homelessness.
(posted by Elvis Clark on April 27, 2024)
Metro wants to keep property taxes it could return
Measure 26-244 asks voters -this May's Primary Election- to let it keep returnable property taxes
Measure 26-244 is criticized by Willamette Newspaper for not using existing property tax proceeds to first fund more affordable housing units, instead of funding more unspecified Zoo projects. Metro runs the Oregon Zoo located in the west hills of Portland.
Some of Metro's existing property tax bonds are maturing which frees up Metro to either lower its property taxes, allowing it to either reduce property tax rates or to use in other ways if approved by voters - Willamette Week supports using the property tax bond savings to go towards more affordable housing projects (giving higher priority to people than animals).
Here's Willamette Week's Nigel Jacquizz interviewing Metro Councilor Lewis and others about why Metro is choosing to fund animals (the Zoo) and not people (Housing):
Should Oregon Zoo Upgrades Come Before Low-Income Housing? (wweek.com)
(posted by Elvis Clark on April 12, 2024)
Oregon legislature shelves its proposed new property tax
Nearly 1,300 Oregonians showed up at the state capitol to testify against a new state property tax
Thanks to the Oregon Taxpayer Association. The Taxpayer Association organized against House Bill HJR 201, a legislative proposal to create a new state-wide property tax. The Taxpayer Association sent out 14,000 mailers alerting its members of the property tax increase proposal (HJR 201). As a result, nearly 1,300 Oregonians came to the state capitol and testified against HJR 201. Word is that after the testimony of all these Oregonians in opposition to HJR 201, the legislature has shelved HJR 201 (so, a new state-wide property tax is probably dead for this year.)
This new state-wide property tax would have broken the state constitutional limits on property tax increases.
Here's the link to the Oregon Catalyst report on the rallying of opposition to HJR 201 (a new state-wide property tax):
1,270 testify against Statewide Property Tax (HJR 201) | The Oregon Catalyst
(posted by Elvis Clark on February 17, 2024)
Annual Property Tax Bill goes up 5.25% - this November 2023
For Milwaukie Homeowners, the newly arriving Property Tax bill increases 5.25% vs. last year's bill
For Milwaukie Homeowners, the newly arriving Property Tax bill increases 5.25% vs. last year's bill
For Milwaukie Homeowners, the newly arriving Property Tax bill increases 5.25% vs. last year's bill
The Oregon constitution limits yearly increases in property taxes to 3%, unless voters approve an extra property tax (local option) for a government operation, or an extra property tax to cover a government construction bond. This last May 2023, voters in the Clackamas Fire District approved a new line-item property tax (FD 1 Clack Co Loc OPT in the photo above). (Milwaukie is in the Clackamas Fire District jurisdiction.)
This is why the newly arriving property tax bill for the current tax year (2023-2024) is more than a 5% increase over last year's property tax bill in total - instead of the usual constitutional limit of 3%.
Notice (from the property tax bill example in the photo above) that the Urban Renewal District of Milwaukie took 28% more from property taxpayers this year than last year, thereby reducing Milwaukie City government's General Fund for basic services. Urban Renewal is best understood as a diversion of property tax proceeds away from normal government operations into a special fund for developing an area.
Also, note that the North Clackamas School District Local Operating Levy (Sch North Clack Loc Opt in the above photo) is up for voter approval in this November 7, 2023, special election.
The above property tax bill example is close to the average bill charged Milwaukie homeowners. North Clackamas School District's Operating Levy that is up for voting this November 7, 2023, costs the average homeowner in Milwaukie over $400 per year (its the $439.11 in the above property tax bill example).
Over last ten years, Milwaukie property tax bills have increased an average of 4.5% per year.
For Milwaukie Homeowners, the newly arriving Property Tax bill increases 5.25% vs. last year's bill
For Milwaukie Homeowners, the newly arriving Property Tax bill increases 5.25% vs. last year's bill
The largest yearly increase in Milwaukie property tax bills occurred in the tax year 2019/2020 when the North Clackamas School District's extra operating property tax levy is first approved by voters in the School District. (Milwaukie is in the North Clackamas School District.)
(posted by Elvis Clark on October 27, 2023)
This year's Property Tax Bill for milwaukie is up 3.6%
Oregon's Property Tax laws set a 3% limit on annual property tax bill increases with some important exceptions. The biggest exception to the three percent limit on increases is that City and County voters can approve tax increases for new public construction projects and special operating levels to supplement government general funds.
For this year's property tax bill, the Clackamas County sheriff Office increased its special operating levy (also named "County Public Safety Loc Option") by some 53% over last year's special operating levy tax rate (see above example of a break out of Milwaukie's property taxes by the government jurisdiction receiving the tax proceeds). Clackamas County voters approved this increase in the Sheriff's operating levy in May of 2021, and it is just now taking effect.
The other large percentage increase in property tax charge is that of the Clackamas College Construction Bond. I am not sure why this went up by some 56% - this year bill over last year's bill. Bond related property tax charges can fluctuate because of the timing of the financing term of the associated public construction bonds.
In the above breakout of property tax charges for Milwaukie property owners, you see a 14.9% increase in the Urban Renewal Milwaukie charge. Increases in Milwaukie's Urban Renewal Property tax charge do not increase the property tax bill in total , because Urban Renewal takes from the City [of] Milwaukie charge (the $491.81 charge in the above property tax break-out). Hence, the City of Milwaukie's property tax take for its General Fund (Basic Services like Police funding) increases this year by less than the normal limit of 3% rate of increase. Urban Renewal monies go towards assisting developers in building new buildings, mostly in Milwaukie's Down Town. This arrangement is scheduled to last until the year 2049. After 2049, the new buildings are thought to boost Milwaukie's general fund substantially. But in the mean time, existing Milwaukie residents could be said to be sacrificing a full funding of their basic City services such as police, library, public maintenance, and other discretionary City services.
Over the last ten years, Milwaukie Property Owners have seen their property tax bills increase 4.2% per year on average. This rate of increase includes a number of public construction bond taxes and special operating levies which have been approved by voters over the last ten years.
The other major exception to a property owner's property tax bill is if the property owner remodeled or makes new additions to their property. In this case, property owners with such improvements to their property see their property tax bill increase also for the added value of these improvements - as assessed by the County Tax Assessor. The tax does not increase at the same rate as the increase in the assessed value of the property, but is adjusted down by the County's average percentage of Real Market Value of homes versus their tax limited assessed value. In the case of Clackamas County this percentage discount is about 60%.
So, if your home remodel adds $100,000 in market value to your home, then the Tax Assessed Value of your home only increases by $60,000 (60% applied to the $100,000 in improvements). So if the total property tax rate is $20 per $1,000 in Tax Assessed Value, this property owner would see their total tax bill increase by some $1,200 per year for remodeling their home.
(posted by Elvis Clark on October 27, 2022)
Freezing property taxes for all seniors asks for trouble
Property taxes are allowed to increase 3% per year on all Oregon properties under Oregon law
The thing we should fear about Initiative Petition 10 (Freezing Oregon Property Taxes to current levels for all Oregon Seniors over the age of 65) is that there is likely to be a counter proposal to undo Oregon's current property tax limits which save Oregonians thousands of dollars each year on average on their property taxes.
Those who oppose Oregon's current property tax limits, approved by Oregon voters in the year 1996, want property owners to pay property taxes based on the market value of their home/property rather than the tax assessed value of their property. For Clackamas County, the average property/Home has a market value two times greater than its tax assessed value limit.
So, the counter reaction to Initiative Petition 10, could very well be effectively hiking the average property tax bill by thousands of dollars per year.
On top of this, many seniors who own their home/property are pretty well off. For those seniors who are having a hard time meeting their property tax bill, the state of Oregon does have a property tax deferral program for seniors. One problem with this deferral program is that it charges 6% interest cost per year to the seniors on the amount of property taxes they defer. Seems like those that want property tax relief for Seniors would be better to launch an initiative petition which would lower the interest rate charged for senior property tax deferral.
(posted by Elvis Clark on September 16, 2022)
Milwaukie's Property tax bill for the typical home owner increases 3.2% from last year's property tax bill - A few important comments
Oregon assessed value is limited to 3% per year increases. (e.g of Milwaukie's property tax line items to the right here.) But if voters pass special property tax levies or bond tax projects (like new School buildings), then property taxes can increase faster than 3% in any particular year. It looks like the North Clackamas School District bond approved for renewal last November 2020 results
Notes on this year's property tax bill for Clackamas County
The Urban Renewal Milwaukie line item property tax charge nearly doubles from last year (? mark in above photo). I contacted the Clackamas County Tax Assessor's office for an explanation. It turns out that it is in line with how urban renewal generally works. What happens with urban renewal is the properties placed into an urban renewal area by a City Council - for instance much of down town Milwaukie is in its urban renewal area - the properties in this area are taxed the same as other parts of the City. However, once properties are put into an urban renewal area, the normal three percent increase in property value assessment for the urban renewal properties gets siphoned to a special urban renewal account. The City can use these funds to subsidize further development and construction within this urban area.
The ultimate consequence for property tax payers is other City government property tax rates are reduced from the normal rate of 3% increase. So, for instance, the City Milwaukie line item in our property taxes increases by about 2.4% from last year's City Milwaukie line item property tax charge. Without urban renewal, this line item for Milwaukie government would have increased by the limit of 3%.
The down side to urban renewal is that City General funds increase at less than 3% per year, as the difference between 3% increase rate and this year's 2.4% (City Milwaukie charge) flows instead to the City's urban renewal slush fund...err excuse my French. Often the consequence of urban renewal is to under fund basic services like police, parks, city wide sidewalks and streets in some cases, etc. If the decrease in basic services becomes significant, then a lot of times City Councils go on to enact additional new taxes and fees on City residents.
So, in conclusion, urban renewal tends to short City provided basic services and other discretionary city expenditures. In the case of Milwaukie, the City Council I believe gave a property tax exemption to the newly constructed Axle Tree mixed use Apartment complex in Milwaukie's down town urban renewal district. This took a chunk of the Axle Tree's property value off the property tax rolls.
This didn't cause City Milwaukie line item property tax charge to increase. But had the Axle Tree not been granted the property tax exemption (lasting some ten years); then maybe the City would have had more urban renewal funds or if urban renewal were ended; then the City would have more money for City services.
As it turns out, Milwaukie's commercial real estate agent is saying mixed use apartment complexes like the Axle Tree may not be financially sustainable in years going forward. As the cost of new construction is unaffordable for prospective renters. Then too, the Orange line down town is suppose to be an attractive feature for down town development; but Covid-19 and the increasing attractiveness of ride sharing services is making transit oriented development like the Axle Tree look less important and financially viable. There is also a trend towards working at home, which tends to require more living space in your housing unit....not so conducive to small apartment units.
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In other notes: As long as your property tax payment is post mark by November 15, 2020; you still receive the 3% discount on your property tax bill. It doesn't need to be received by November 15, 2020. It just needs to be mailed by then and post marked accordingly. The actual due date this year is Monday November 16, 2020; because November 15th is a Sunday. I am not sure you can get a post mark on a mail-in payment on Saturday November 14th. So, probably should get it to the post office by this Friday November 13th.
I watched a property tax webinar hosted by Clackamas County's Tax Assessor office this afternoon. I will post a link to this webinar on Thursday, when it becomes available supposedly.
(posted by Elvis Clark on November 10, 2020)
Not too bad of increase in this year's property taxes (1.5%)
Milwaukie's urban renewal charge almost doubles but taxes for bonds decrease helping mitigate
The question I want to pursue with the City of Milwaukie is why its charge for urban renewal nearly doubled from last year. Milwaukie's urban renewal district is mostly its down town area. What an urban renewal district does is too freeze the urban renewal district area's property taxes, rather than increasing them at the 3% maximum rate of increase allowed under the state constitution. To make up for the lack of increase in property tax revenues from the City's urban renewal district area, the rest of the City is charged to make up the difference.
I am wondering if the granting of a ten year property tax exemption to the latest new building down town, the Axel Tree Apartments, might not have caused the rest of Milwaukie to be charged more under the Urban Renewal Milwaukie line item.
Elsewhere, we are getting some relief from construction bond property tax items, such as the North Clackamas School District Bond line item. This might be due to the old debt expiring and the replacement bond having a lower interest rate cost for property tax payers.
Well the above tabulation of property taxes assumes you didn't add any significant new construction/remodeling to your home. The home is largely unchanged in size and other attributes counted by the County appraiser for taxable real estate value.
There is one measure on this November election ballot which is said to raise the average home property tax bill by $45 per year beginning next year, and this is Measure 3-564, "Children Safety Services." I did not like how the current Clackamas Board put this Measure on our ballots. The public is largely unaware of this Measure, even as the deadline for putting it on our ballots is within two weeks of the Board approving it for the ballot. The so-called non-profits pushing for this property tax levy came in literally like at the last minute to pressure the Board to place this on the ballot. County staff even had to drop any mention of an administrative cost cap on administering these charities. Now the charities really act as a tax arm of the County.
Oh, the tax man...let's not end on such a sour note....here's a video comedy clip from "It's a Mad, Mad World" in which a group of money hunters who are on the trail of some buried bank robbery monies talk of how they can divvy up the loot once they find it and the subject of taxes comes up:
https://www.youtube.com/watch?v=vZ0B_5N28vY
(posted by Elvis Clark on October 25, 2020)
An early example of Costly Government housing programs
