07/18/1979 Meeting - Laserfiche WebLink

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For the City portion only, on the $65,000 house, if the Eugene budget ., levy passes on August 14, the net reduction will be $37 below last year's levy on the same house that, last year, was worth $50,000. The homeowner . of the hypothetical $50,000 house last year paid $1,215 if he lived in the 4-J District. The total reduction as a result of the reductions in each of the jurisdictions (4-J and Lane Community College) might be around $250. The individual tax bills are mailed in October. It is assumed that the lending institutions will pass the savings on, but that is unclear. Renters must fill out a form by August 1, 1979, to receive their share of the 30-percent reductions. The limit of their refund will be between $300 and $400 (4.7 percent of contract rent). In the income tax area, the taxpayer does nothing. They will receive a refund of approximately nine percent on their 1978 income tax liability. That will be done starting in October. On the election date and budget process, the ballot measures, for an operating levy for cities that have voted a ballot over six percent, will have two sections--A and B. Ballot A will be a vote on last year's approved levy (or the average of the last three years, whichever is higher), adjusted with the consumer's price index and the population growth index. Ballot B (they could both be on the same ballot), will be the amount in addition to Ballot A, or new expenditures. Items on Ballot B would not be subject to the State 30-percent reduction. In addition, Eugene voters will have to vote on a new tax base for the year 1980-81. Manager said the income tax rebate mayor may not continue the following years, depending on the surplus in the State Treasury. The property tax relief will be considered part of the succeeding year's State budget. Manager introduced Bill Baines, Lane County Tax Assessor, who served on e the Oregon Assessor's Legislative Committee. He said the legislative package consists of five bills, one of which paid for the other four. One other bill refers the whole thing to the voters in the May 1980 primary. The citizens, after experiencing the bills, will be able to vote on them. The remaining three tax bills consist of: 1) income tax refund bill; 2) income tax personal exemption indexing bill, and a limit on State spending; and 3) HB 2540, which is a property tax bill. HB 2540 consists of: a) tax relief to the homeowner and renter; b) controls on State and local spending; c) control on the increase in assessments. It creates "OOPR" (Owner-Occupied Principal Residents). The County expects 15,000-17,000 problem OOPR cases (defining duplex property, farms, and "mom and pOp" businesses) out of 60,000 homestead applications in Lane County. HB 2540 increased the HARRP--Homeowner And Renter Refund Program--to incomes up to $17,500 limit. Mr. Baines stressed that every homeowner qualifies for tax relief, if they owned and occupied the property as their . - 7/18/79--4 385