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Council explains why rising home values can shift tax burden to homeowners
Summary
A council member explained Draper receives a fixed dollar amount from property tax, so when residential valuations rise faster than commercial valuations the effective burden shifts to homeowners; the council member suggested advocating at the state level to address assessor data issues.
A council member provided a short explainer on how assessed-value changes can alter who bears more of a jurisdiction's property-tax burden.
The council member said the city receives a fixed total from property tax and that when valuations rise the tax rate is adjusted downward; the effect, he said, is that fast-rising residential values shift more of the tax burden onto homeowners while commercial properties have seen slower publicly reported valuation increases because many commercial transactions are non-disclosure. He recommended the city advocate at the state legislature to ensure assessors use accurate data for commercial valuations.
This explanation was offered to contextualize why some residents feel their property taxes are increasing even when the city has not regularly raised tax rates.
