MONROE — Officials are cautioning that, as letters go out to homeowners detailing their new Monroe property assessments, which are largely rising, not to assume a huge tax increase is around the corner.
That’s because an assessment without a levy or municipal budget doesn’t necessarily reflect what a homeowner will pay to local government and schools, although increased values usually lead to some uptick in taxes once the levy and mill rate are sorted by officials.
But Ald. Andrew Kranig said recently he was increasingly concerned after hearing from constituents who received letters showing dramatic increases in housing values in some cases. And, he partially blamed the school district for the heightened concern about tax hikes — citing the recent high school referendum challenge and related controversy. The school project is now back on track.
“The school did a number on property owners in this town,” Kranig said, speaking at the Aug. 21 City Council meeting. “...This was going to happen and there it is.”
But Ald. Mary Jane Grenzow countered that just because assessments go up, does not mean taxes will go up — something that cannot be determined, she said, until the city has all the information it needs to create a budget and levy taxes.
“My personal assessment can go up but it doesn’t mean my taxes will go up,” she said.
City Administrator Brittney Rindy agreed, saying that, in general, assessments did go up by about 42% across Monroe. But, she too cautioned homeowners who see even big increases in assessments to assume a proportionate rise in taxes.
Rindy said that Kranig’s assertion about taxes based on rising assessments generally is inaccurate. To help educate the public, the city has been releasing information on its Facebook page covering such topics as “What is a mill rate” and providing graphics showing how property market values have risen over time.
“We can’t guarantee that taxes won’t rise but it’s not going to be that dramatic a rise,” said Rindy.
Many are on edge after the school referendum, which was passed immediately prior to tax bills arriving showing big increases mailed to homeowners, resulting in higher taxes in addition to the modest increase from the referendum question, officials said.
But that is not what’s happening with the city assessments, officials said.
“The assessment isn’t what the taxes are,” Rindy said, before Mayor Donna Douglas moved to conclude the August meeting, as a robust discussion of assessments and taxes was not even on the original agenda.