CITY OF HOMER

HOMER, ALASKA

McLay, Shadle

RESOLUTION 06-122(A)

A RESOLUTION OF THE CITY COUNCIL OF HOMER, ALASKA, SETTING THE PROPERTY TAX RATE (MILL RATE) FOR FISCAL YEAR 2007 AT 4.00 MILLS.

WHEREAS, The City of Homer considered a 4.00 mill property tax rate for 2006 but decided to wait to see how the revenue came in; and

WHEREAS, Because of increased property assessments property tax revenue far exceeded that budgeted, and in fact a 4.00 mill rate would have exceeded the budgeted amount; and

WHEREAS, The City is basking in a substantial increase in revenue, [including sales tax income greater than budgeted], $250,000 in State Revenue Sharing with an even greater amount expected in 2007, and expected opening of the Fred Meyer store resulting in increased sales and property tax income of about $40,000 per month; and

WHEREAS, The responsibility of a municipal corporation is to take from the citizens only what it needs to perform its services, knowing that the citizens are the wisest stewards of their finances and will supply what the City truly needs; and

WHEREAS, The administration needs to know what the mill rate will be for the preparation of the 2007 budget.

NOW, THEREFORE, BE IT RESOLVED That the City of Homer hereby establishes the property tax mill rate for Fiscal Year 2007 at 4.00 mills for properties owned by individuals who by use of that property as a primary residence also qualify for State of Alaska Permanent Fund Dividend; and

BE IT FURTHER RESOLVED That proof of Alaska PFD qualification shall be presented to the City Clerk’s Office for validation and subsequent notification of tax status to the Borough Assessor.

PASSED AND ADOPTED by the City Council of Homer, Alaska this 11th day of September, 2006. For all other properties FY 2007, property tax mill rate shall be 4.5 mills.

CITY OF HOMER

_______________________

JAMES C. HORNADAY, MAYOR

ATTEST:

_____________________________

MARY L. CALHOUN, CMC, CITY CLERK

Fiscal Note: $(261,402) as provided by Finance