The working parts of funding
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DAYTON–There are several Levy Limitations which determine how much money a taxing district may receive. Three of the Levy Limits have been a topic of discussion in our county. Here is clarification on the relationship to the Metropolitan Park District (MPD) that is up for vote on our November 8, 2022 ballot.
The MPD will have an opportunity to request funds up to a specific rate which is determined by the Aggregate Limitation and has a limit of 1% increase per year prior.
1. Metropolitan Park District Commissioners may request funds up to the Maximum Statutory Levy Rate of .75 per 1000 of Assessed Value.
2. This .75 is also limited by the $5.90 Aggregate Limitation per tax code area. (The sum of local tax district levies, restricted by the $5.90 Aggregate Limit, may not exceed $5.90 per 1000 of assessed value.) The Port District and EMS District are exempt from the $5.90 limitation.
Each district falls within a level of priority, in which they can receive funds. The Assessor's office follows this Level of Priority per RCW 84.52.043.
3. 101 Percent Levy Limit: Each taxing district is limited to an increase of 1% over the amount that was received the previous year. The only exception is if they have "Banked Capacity". The Town of Starbuck and the Library District are the only districts in Columbia County that have "Banked Capacity". They may request up to their available banked capacity as long as they are still within their Maximum Statutory Levy Rate and within other levy limitations.
Example for the 101%:
Port District received $463,141.34 in 2022 so they may only request 1% more than that for 2023. (463,141.34 X .01=4,631.41) $463,141.34 + 4,631.41=$467,772.75 new limit for resolution that may be requested.
There are 8 levels of Priority. Please see the taxing districts limited to the $5.90 Aggregate Limitation and where they are in the level of priority. (Level 8 has highest priority, we start there and work down).
The accompanying table is a listing of the Maximum Statutory Levy rate for each taxing district restricted by the $5.90 Limit.
Lower levels are not listed as there are not any districts that have requested funds from them.
Looking at this year, the $5.90 Aggregate Limitation was met at Level 6 and the Joint Hospital District was pro-rated and received less funds than they could have.
If there was a Metropolitan Park District this year, it would not have received any funding. The $5.90 Aggregate Limit was met in Level 6, and the MPD's first opportunity for funding would be level 5.
In this situation, the only way the MPD could receive funds would be from grants, donations and/or an Excess/Special Levy Request. The MPD Commissioners would determine a specific amount of money needed and place it on the ballot for voter approval.
Another year's scenario could be different, since each year is unique.
As you can see, the only district below the MPD is the Joint Hospital District. MPD receives its first .50 in level 5 and the remainder in level 4. If there were funds available after level 6 and MPD had requested funds, they would take priority over the hospital in level 4. Each designated entity only receives funds at its priority level if funds are available.
If there are funds available for a level that has more than one taxing district (Example Level 4) but not enough funds to satisfy both requests, than the amount received would be based on a Proration Factor Calculation. (Each would each receive funds but at a lesser amount).
This is not a simple process. There are several moving parts and limitations to consider.
The lesser of all Regular Levy Limitations is the end result.
Budgets and Levy Certifications are to be turned into the County Legislative Authority by November 30 of each year. Each District's Resolution is to be turned into the County Assessor by November 30 as well.
Submitted by Tammy Kitterman, Columbia County Assessor
