MIDVALE — The only Salt Lake Valley municipality planning to raise property taxes is stepping back from that plan in light of decreasing property values in the city.
Midvale had planned to raise taxes by about 6 percent through the state truth-in-taxation process, which requires multiple public notices and public hearings. But Tuesday, the City Council unanimously approved a city budget for the 2009-10 fiscal year that does not include an increase.
Properties in the city decreased in value by about 10 percent last year, so the city's official tax rate will increase by about that same amount. City residents will pay about the same in taxes this year as last year, even though their properties are less valuable, explained city finance manager Laurie Harvey.
"We were quite surprised to find that (tax revenues) were higher than anticipated," said Midvale city manager Kane Loader.
Though Midvale won't take a hit by way of property tax, city sales-tax revenues are down about 18 percent in the first quarter alone, compared with 2008. The city has tightened its belt in multiple departments but could be forced to take another look at the 2010 budget if sales remain unusually low.
— Rebecca Palmer