City Council Minutes 1992 11 25 - Laserfiche WebLink

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determine the maximum increase in its fiscal year spending under Amendment No. 1 and in order to calculate the maximum amount of property tax revenue it can receive under Amendment No. 1. This is one part of the formula, the local growth rate calculation, plus the CPI, which is included in here (SEE ATTACHED), is needed in order to make these calculations. Sisk: Could you amplify for me why the CML is using 3.40% CPI, which is based upon January to July, as opposed to using a more current CPI that would be January through September? Asti-Caranci: January to July is the most current. The July through December comes out in February. Griffiths: The City is having to guess what the CPI is going to show next February. Among the positions that can be taken is the 3.40%, which is the actual January through July or the 3.80%, which is an estimate of another governmental entity. What this does is take not the lowest, the 3.30%, but the actual for the first six months. Asti-Caranci explained the three ways to calculate property tax (SEE ATTACHED). She stated that under Amendment 1, Louisville would have to go with the most restrictive or the lowest, which is $9].6,713.00 (5.862), which would lower Louisville's mill levy. Griffiths: Once the City reduces the mill levy, it's likely under Amendment No 1 that it could not increase the mill levy in future years without a vote. There is some discussion by CML of calling a reduction, a temporary rate reduction in the hopes that in the future years, if you need to raise it back up to the previous level, that would not require a vote. Howard: If you receive more sales tax than you had anticipated and, so for a