Many Oak Park Heights residents can expect to see a decrease in city property taxes in 2018, after the city council unanimously approved a preliminary budget and tax levy Sept. 12.
The city’s total 2018 preliminary tax levy is about $5.3 million, a 2.6 percent increase over 2017. The levy may be lowered by not raised before a final levy is approved in December.
Although the levy went up overall, homeowners won’t bear the increase, because business property values in the city went up more than residential values did. That means businesses will pay a larger share of the total tax burden next year.
Overall, residential properties saw a 0.7 percent increase in value from last year to this year.
The median-value home in Oak Park Heights is worth about $210,000, and under the proposed levy would pay $1,044 in city property taxes next year. That’s $25 less than it paid this year (assuming its value increased 0.7 percent).
A $100,000 home would pay about $390 in city property taxes (a $9 decrease), and a $400,000 home would pay about $2,170 (a $52 decrease). Again, these assume the property values went up by 0.7 percent. Individual properties could see different results depending on how their values changed.
The city’s 2018 preliminary general fund budget was approved at about $5.8 million, a 3 percent increase over 2017.
The mandatory Truth in Taxation hearing is scheduled for Tuesday, Dec. 12.
Contact Jonathan Young at [email protected]