There seems to be a lot of inaccurate information circulating about City Council’s June 19th decision not to raise Flagstaff residents’ and businesses’ property tax rate. Here are a few facts that people should know:
1. The June 19th vote kept the property tax rate at 2012 levels. This will leave $270,887 in the hands of the residents and businesses of Flagstaff to use as they please.
2. The budget remains balanced and Flagstaff will have a fund balance (reserve) of $8,157,759. No cuts to anything from the previous Council’s adopted 2013 budget is required for the budget to remain balanced.
3. Flagstaff will still have an 18.7% fund balance and as stated by the City Manager, “we do not see decreasing the Fund Balance from 19.4% to 18.7% affecting our bond rating”.
Bottom line. No Tax rate increase. Balanced budget. No cuts needed to maintain balanced budget. Bond rating not negatively affected.
I take my duties as your Council Representative very seriously. That is why prior to my vote on June 19th I gathered the above information in order to make an informed and prudent decision. Keeping $270,887 in the taxpayers hands while still maintaining an $8,157,759 reserve, a balanced budget, no cuts to the 2013 adopted budget and a solid bond rating is a win, win for everyone in Flagstaff.
Councilman Jeff Oravits