EXPLANATION: CAPITALS indicate matter added to existing law.
[Brackets] indicate matter deleted from existing law.
* WARNING: THIS IS AN UNOFFICIAL, INTRODUCTORY COPY OF THE BILL.
THE OFFICIAL COPY CONSIDERED BY THE CITY COUNCIL IS THE FIRST READER COPY.
INTRODUCTORY*
CITY OF BALTIMORE
COUNCIL BILL
Introduced by: Councilmember Kraft
A BILL ENTITLED
AN ORDINANCE concerning
Title
Annual Property Tax - Fiscal Year 2007
FOR the purpose of providing a tax for the use of the Mayor and City Council of Baltimore for the period July 1, 2006 through June 30, 2007; setting the semiannual payment service charge for that period; and providing for a special effective date.
Body
Recitals
The City is projecting a surplus for Fiscal Year 2007 of some $60.9 million. That surplus is a one-time occurrence.
It is appropriate that one-half of this surplus be returned to the taxpayers of the City. Given the fact that a surplus is simply that, returning the money from the actual surplus will result in nothing more than a one-year credit, as the ability to continue it would be dependent on future surpluses of the same amount or more. Anticipating, however, the City's continued increase in new residents, property values, and median household income, and its consequent growth in income, any tax relief should be granted not from the City's surplus but from its general revenues.
One cent on the property tax rate equals $2.7 million. One half of the surplus is $30.45 million. Thus, a return of one-half of the surplus would result in an 11 cent reduction in the tax rate. This would set the rate at $2.195 for Fiscal Year 2007, which is also approximately 0.029 cents lower than the consta...
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