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ORD 2009-23 LEVY OF GENERAL PROPERTY TAXESORDINANCE NO. 2009-2 AN ORDINANCE of the City ofBainbridge Island, Washington, stating the intent of the City to increase the levy of general property taxes for the City of Bainbridge Island for the fiscal year commencing January 1, 20 10, at a rate in excess of the increase in the implicit price deflator, and finding substantial need for the increase. WHEREAS, RCC 84.55.010 provided -that a taxing jurisdiction may - levy taxes in an amount no more than the limit factor multiplied by the highest levy of the most recent three years plus additional amounts resulting from new construction and improvements to propel, newly constructed wind turbines, and any increase in the value of state -assessed utility property; and WHEREAS, RCC 84.55.005 1 defines "inflation" as the percentage change in the implicit price deflator for personal consumption expenditures for the United States as published for the re st recent 12 -month period- by the Bureau of Economic Analysis of the federal Department of Commerce in September of the year before the taxes are payable; and WHEREAS, "info. ti n" for July 2009 i -0.848 percent and the limit factor is 99.152 percent, meaning the taxes levied in the City of Bainbridge Island in 2009 for collection in. 2010 X11 decrease except for the amounts resulting from neer construction and improvements to property, newly constructed wind turbines, and any increase in the value of state -assessed utility property; and WHEREAS, REAS, R C W 84.5 5.0101 provides for use of a limit factor of 10 1 percent or less with finding of substantial need by a majority plus one councilmember r two out ofthree commissioners and WHEREAS, the Office of Financial Management has estimated the City's population to be 23,180 which is in excess of the 10,000 persons, requiring a separate declaration of substantial need to approve a tax increase in excess of the implicit price deflator; and WHEREAS, the City Council of Bainbridge Island will consider the financial requirements of the City for 2010 as set forth in the Financial Capacity Analysis in the 200912010 Biennial Budget and approved/endorsed by the City Council on December 17, 2008, and the amounts necessary and available to be raised by ad valorem taxes on real, personal and utility property which are included therein arra will update the projections of the City's Finance Director; and WHEREAS, the City Council, after hearing and duly considering all relevant evidence and testimony presented a public hearing held for this purpose on November , 2009 has determined that the legitimate needs of the City requires ars increase in excess of the implicit price deflator in the amount of the property tax levy on real and personal property; and FBAs, the passage of Initiative 695 and the subsequent decrease in motor vehicle excise tax and other revenue available to the City has placed additional pressure on the City's ability to accomplish its mandated functions with the revenues allowed to it; and WHEREAS, the City, during its administration of the Biennial Budget of 200 9/2010 has eliminated over $2 mill ion annually of operating expenditures to offset the general eeorro is decline in its tax supported f and ; now, therefore' THE CITY COUNCIL of THE CITY of BAINBRIDGE ISLAND WASHiNGToN DO ORDAIN AS. FOLLOWS: Section 1. The City Council Inas determined that, in order to not reduce current service levels and to meet general infrastructure maintenance creeds, there is a substantial .need 'to increase the property taxes by one percent and to set the levy limit at one hundred and one pert t. Section 2. An increase in the regular property levy, excluding the increase re lting from the addition of new construction and improvements to propel and any increase in state -assessed property, is authorized for the 2009 property tax leery for co lleetion . in 2010 in the :rrrount of $6,446,152 which is an increase of one and no one -hundredths (1.00) percent from the amount ..r authorized for - the previous year plus an increase equal to the amount allowed under the new construction provisions of RCW 84.55.010, state -assessed properties and all allowable tevies. Section 3. This ordinance has been passed by the affirmative ative vote of at least a majority ority plus one of the whole membership of the City Council. Section 4. This ordinance shall be effective 5 days after its passage, approval, and publication as required by law. PASSED by .a super majority of the City Council of the City of Bainbridge Island, approved by the Mayor and attested by the Clerk in authentication ofsuch passage this 18"' day of November 2009. Chris Snow, Mayor ATTEST/AUTHENTICATE. . �.,55 1�! - - - )ku �. an &a .osall.nd D. Lassoff, City derk 4LPV VED AS TO FORM: t Pain McMurray, City Atta FILED WITH THE lTY RK: October 15, 2009 PASSED BY THE CI C UNCI: November 1 , 2009 P BLIS14 D: November 20, 2009 EFFECTIVE DATE: Ioveber 2, 2009 ORDINANCE NO.: 2009-23