County presenters warn proposed caps and SJR 39 could slow future property tax growth
Loading...
Summary
Presenters told the Oklahoma County Budget Evaluation Team that proposed statutory caps (mentioned as SJR 39) and changes to homestead reimbursements could cut future growth in assessed value, reducing projected county revenue and prompting monitoring of the bill at the statehouse.
Presenters for Oklahoma County told the Budget Evaluation Team on April 7 that proposed changes to state limits on valuation increases could materially reduce the countys future property-tax growth.
A presenter reviewing assessed values said the countys current overall estimated increase is about 2.82%, driven in part by increments set aside in tax-increment projects. "If those caps change, youre going to see a significantly less growth than the 2.82%," the presenter said, citing a likely range "somewhere along the 1.5 to 2 point range" if the measures move forward.
Why it matters: County staff said lowering allowable valuation growth for classes of property would not take money away today but would reduce future revenue available for county services. The same presenter also noted the county has not received additional state homestead-reimbursement payments since 2002 and estimated the unpaid amount exceeds $15.6 million, leaving no near-term state funding to offset lower growth.
Details from the presentation included: presenters mailed roughly 275,000 notices of value this year and estimated two new TIP (tax-increment project) areas could add about $1.7 million to the county general fund if those values hold. The presenter flagged SJR 39 as a legislative vehicle to watch and said it might reach a House floor vote this week.
Board action and next steps: The team accepted the revenue update on a voice vote and asked staff to provide revised projections and to monitor SJR 39s progress at the state legislature. Finance staff also said appeals and Board of Equalization adjustments could change the numbers shown in the presentation.
The Budget Evaluation Team scheduled follow-up discussion and requested updated revenue statements ahead of the next meeting, where finance will present revised projections.
