Meanwhile, the city used the estimate for budgeting. Using the preliminary number of $805 million of real property value, City Manager Darrell Blenniss gave the commissioners three choices:
* Set the rate at 12.9 cents per $100 assessed value and generate 4 percent more property tax than last year, an increase of $47,417.
* Set the rate at 12.5 cents and take in the same amount of property tax as last year.
* Set the rate somewhere in between.
The current rate is 13.9 cents per $100 of assessed value. State law gives the city the option to adjust rates to reflect the new assessments.
This year, the PVA reassessed all the property in Danville, Junction City and Perryville. The unincorporated parts of the county will be done next year.
Some homeowners saw their assessments jump by $25,000 or $35,000. Tamme said the law requires him to adjust the value of property to its fair market value. Sometimes that means the value of houses won't jump at all, but the market dictated rises for most property. In neighborhoods like Green Acres or Argyll, the value of homes rose substantially, Tamme said.
Commissioners decided by consensus to set the rate at 0.129 cents. In addition to the $47,000 in new revenue that rate creates, the city staff found another $16,000 in savings in the budget.
What they would do with the extra money
Here is what they plan to do with the extra money:
* Give Heart of Danville $15,000 more, bringing its total amount to $20,000.
* Give the senior citizen center an additional $2,000.
* Donate $500 to Military Appreciation Day. The organization had received no funding.
* Give the Nursing Home Ombudsman program $3,000; its funding had been cut completely.
* Donate $450 to the Human Rights Commission.
* Allow $33,000 for city employee merit pay raises.
* Provide $5,000 to name an assistant public works director.
The balance would be surplus.
Commissioner Terry Crowley offered to give up his insurance plan, paid for by the city, for the remainder of his term, $5,000, if commissioners would agree to give the Heart of Danville $30,000 this year. The rest of the commissioners didn't go along with the plan.