Polk County lowers its property tax levy for 2022-23 after budget approval
Polk County homeowners will see a 5% reduction in their property tax levy under a budget the county supervisors approved Tuesday.
Starting July 1, urban Polk County residents will pay $6.77 per $1,000 in taxable valuation, while rural residents will pay $11.32. That's a decrease of 36 cents from the last fiscal year.
Budget Manager Deb Anderson said the county was able to lower its tax levy in part because Iowa shifted funding for its mental health system from property taxes to the state's general fund. That took away a mental health tax levy of 38 cents.
Anderson said it also was able to increase its debt service levy by only 2 cents instead of the planned 11 cents from a new $65 million bond voters approved last year to fund conservation, recreation and water quality projects countywide.
The Polk County levy is only one portion of annual property tax bills. Cities and school districts set their own levies.
Supervisor Robert Brownell thanked the county staff for their work to get the levy lowered, and said he hopes they can continue lowering it each year.
"I wish it could have been more but I think this was a good step in the right direction," he said at Tuesday's meeting. "Our finances are very good. I think we’re spending money appropriately and directing our money to the right places."
More: Iowa's tax overhaul reduced a large research credit. Why business leaders are concerned.
What else did the Polk County budget change?
The new budget includes $317.4 million in expenditures, an 11% decrease from the current fiscal year.
Notable changes include a 6.5% increase to the public safety budget and a 24% increase to the county environment and education budget. Reductions included 19% for mental health and 52% for administration.
The new budget reflects an additional $5 million in revenue over the fiscal year 2020-21 budget, in part from rising property tax assessments. Conducted every odd-numbered year, residential assessments increased an average of 7.45% based on a variety of factors, including the home's location, physical changes or improvements and the surrounding neighborhood's overall home sales.
More: The majority of Iowans support a flat income tax but not corporate tax cuts, Iowa Poll finds
How much will Des Moines collect in property taxes?
Last week, the Des Moines City Council approved a $1.02 billion budget, that included an unchanged rate of $16.61 per $1,000 in taxable valuation.
The new assessment and property tax levy will be reflected on tax bills due in September.
Kim Norvell covers growth and development for the Register. Reach her at knorvell@dmreg.com or 515-284-8259. Follow her on Twitter @KimNorvellDMR.
This article originally appeared on Des Moines Register: Polk County, Iowa lowered its property tax levy. Here's why
