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Tax Rates

Educational Programs, Maintenance & Operations Levy: $3.95 per thousand
School Modernization Construction Bond: $2.37 per thousand
 
 

PROPERTY TAX EXPLANATION

 
Imagine a small school district that consists of four homes, each exactly the same, and each appraised by the Assessor at $100,000. Let’s also say that the district’s capital project bond for our district is $1,000. To raise the amount of the bond, each homeowner must pay $250. Four homes each paying $250 raises $1,000.
 
$1,000 Capital Projects Bond
 
Property Tax Explanation 1  
 
 

INCREASED ASSESSED VALUE DOESN'T INCREASE TAXES

 
Let’s say the bond amount remains at $1,000, but the Assessor doubled the assessed value of all the homes to $200,000 each. Do the taxes on each of the homes change? No.

To raise the authorized bond amount each must still pay $250.

In this example, the assessed value of each home doubled, but the tax didn’t change. 
 
 

WHAT HAPPENS WHEN THE ASSESSED VALUE OF THE HOMES CHANGE DIFFERENTLY?

 
Suppose on home goes from $100,000 to $150,000. Two homes double in value to $200,000 and the last home jumps up to a whopping $250,000! Now what happens to the taxes?

Well, the average value of the four homes is still $200,000. So the taxes on the two homes that go to $200,000 are unchanged. They are at the average and they each still pay $250.

The lowest valued home sees it taxes go down to $187.50, even though the assess value goes up 50 percent!

The home that jumped 150 percent to $250,000 in value sees its property tax go up to $312.50, a 25 percent increase.

In the end, we still only raise $1,000 total to meet the bond obligation. 
 
$1,000 Capital Projects Bond 
 
Property Tax Explanation 3  
 
 

WHAT HAPPENS WHEN NEW PEOPLE MOVE INTO OUR SMALL SCHOOL DISTRICT AND BUILD NEW HOMES?

 
If we again say the assessed value of each home is the original $100,000 but add a new home, look what happens to the individual property tax on each home. Five homes supporting the $1,000 bond means each home now pays only $200 each.

While growth brings more demand for government services, and is likely to push up demand for a greater budget, the initial effect is decreased taxes.
 
$1,000 Capital Projects Bond 
 
Property Tax Exemption 4  
 
 

BOTTOM LINE

 
If your property value increases at a lower rate than the average increases for the school district, the amount of taxes you pay will decrease.

If your property value increases at a higher rate than the average increase for the school district, the amount of taxes you pay will increase. 
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