Nebo School District Board of Education votes to change its tax levy
The Nebo School District Board of Education unanimously voted Wednesday evening to change its tax levy, which would lead to a tax decrease for a homeowner whose home didn’t increase in value this year.
“It has been well thought out and studied and it is the right recommendation,” said Superintendent Rick Nielsen.
As property values increase, the amount of money the district receives from taxes remains the same because the tax rate drops. In 2015, the tax rate was 0.9326 percent and the rate the board accepted for 2016 was 0.9298 percent.
For a home worth $235,500 in 2015 that did not change in value, the property taxes the district collects from it will be $3.63 less than last year. The average value of a home in Nebo School District is $175,000.
“It’s not that we are going to have less money, because property values went up and we had growth, and changes in property values, we won’t have less revenue, but the rate will be less,” said Tracy Olsen, the district’s business administrator.
Additional revenue will go into capital outlay for the growing district.
The board had to vote to raise the tax levy from what it would automatically be set at to keep the revenue the same.
More than a dozen people showed up during the hearing, a part of board of education’s Wednesday meeting, to speak out against the change.
Other numbers displayed during the Truth in Taxation hearing showed significantly lower tax rates that the district would be at if it didn’t add in tax rates due to debt, like bonds, that are being paid off.
“There is no way to explain to the average person how this all works,” Olsen said. “It is so complicated.”
Local school boards can change certain tax levies without sending it out to a public vote.