During a recent city council meeting, officials discussed the establishment of the fire tax levy for the fiscal year 2024-2025, a special tax approved by voters that requires annual assessment of rates and amounts. The estimated revenue for the upcoming year is approximately $3 million, with a tax increase capped at 3% based on the Consumer Price Index (CPI). This increase reflects a $1.7 million gap between budgeted amounts and available funding, with additional revenue expected from other fire department sources.
A significant portion of the discussion centered on the fire tax obligations of the Habitat Authority, a quasi-governmental entity that manages open space and wildlife habitats within the city. Council members raised concerns about whether the Habitat Authority is contributing its fair share towards fire protection, as it currently pays a fixed amount based on a historical agreement rather than the standard per-parcel tax structure. The council expressed a desire to investigate this arrangement further, questioning if the Habitat Authority's contributions adequately reflect the services it receives, especially in light of rising fire protection costs.
Additionally, the council examined the implications of accessory dwelling units (ADUs) on fire tax assessments. Current tax structures do not account for the increased residential capacity that ADUs represent, leading to potential inequities in tax burdens among property owners. Council members suggested a comprehensive review of the fire tax system to ensure fairness and equity, particularly as housing sizes and community needs evolve.
The meeting concluded with a consensus to explore the legalities surrounding the Habitat Authority's tax obligations and to reassess the fire tax framework to better align with current residential dynamics and fire protection needs.