Valparaiso residents have a chance to weigh in on a proposed property tax increase.
The city's Cumulative Capital Development Fund rate is currently just over one cent per $100 of assessed valuation. Now, the city council is considering an ordinance to reestablish the fund at its maximum rate of four cents, starting in 2023.
Eric Walsh with accounting firm Baker Tilly told council members Monday that would bring in another half a million dollars a year that the city could use for any general purpose. But he said residents with homes valued at $150,000 or more would likely see little or no increase, due to the property tax cap. Those with a $50,000 home could expect to pay another $2.76 a year.
CCD Fund rates typically go down over time, as the dollar amount generated stays the same, while net assessed value grows — leading local governments to move them back up to the maximum level every so often. A public hearing on the CCD Fund reestablishment is scheduled for the March 14 Valparaiso City Council meeting.