Like many Wasatch County residents, Dave Misiak recently received a notice about the property taxes he’ll be paying this year.
"So my net taxes, the good news is they are still going to go down," he said.
The notice showed two scenarios: one for the taxes he would be paying if certain entities in the county — namely Heber City, the Wasatch School District and the Central Utah Water Conservancy District — don’t approve any property tax increases. The other scenario shows what he would pay if they do.
"Instead of paying a .007791 tax rate, if this budget goes through, with the increase that the Wasatch School District wants, the new tax rate would be .009374," he said.
That may not seem like a big difference but what caught Misiak’s eye is what he would be paying to the school district if it approves the property tax increase. It would be almost 50% higher than what he would pay if it doesn't.
Now here’s where it gets a little confusing: In a statement to KPCW, the Wasatch County School District said it is not proposing an increase in its property tax rate. It is proposing to maintain its current "certified tax rate." But as property values in the county increase, that means the district would bring in more revenue.
"If they want the rate to stay the same as it was in a previous year, notwithstanding the increase in values, that is, effectively a tax increase," said Utah Tax Commission spokesperson Jason Gardner.
According to Utah law, if an entity intends to collect more revenue than it did in the previous year, it needs to hold a "Truth in Taxation" public hearing. Otherwise, the entity’s property tax rate automatically decreases to a level that would bring in the same total revenue as the year before.
"If they want to increase the rate beyond what it would otherwise float down to, that's what brings in Truth in Taxation," Gardner said.
The district said increased property values taxed at the unadjusted rate will generate $14 million in additional revenue. About $8 million will be used for teacher salaries and other costs impacted by inflation, and about $6 million will be placed in the capital fund for future projects.
Attracting quality educators to the district is only possible if salaries are competitive with other districts, the district said. The board of education takes its "fiduciary responsibilities very seriously" and also strives to be "the highest-achieving district in the state."
The school board’s Truth in Taxation hearing will be Wednesday, Aug. 16, at 6:30 p.m. The district said residents can email questions and comments to the board beforehand at questions@Wasatch.edu.
The Central Utah Water Conservancy District is also asking to maintain its current tax rate. District spokesperson Rick Maloy said the revenue is needed to fund infrastructure upgrades.
"This helps us really save money in the long run," he said. "It prevents us from having to bond for this, costing the taxpayers even more money down the road."
Various entities in Wasatch County will be holding "Truth in Taxation" hearings throughout August.
Wasatch County School District - Aug. 16, 6:30 p.m.
101 East 200 North, Heber City
Heber City - Aug. 15, 7 p.m.
75 North Main Street, Heber City
Hideout - Aug. 10, 6 p.m.
via Zoom: https://zoom.us/j/4356594739
Interlaken - Aug. 8, 6 p.m.
236 Luzern Road, Midway
Wallsburg - Aug. 17, 7 p.m.
70 West Main Canyon Road, Wallsburg
Central Utah Water Conservancy District - Aug. 21, 6:30 p.m.
1426 East 750 North, Orem
