PERRYVILLE - Taxpayers here will see a decrease in their real property rate, thanks to an overall increase in the value of property in the city.
The City Council voted Thursday to set the rate at 25 cents per $100 of assessed value, a 1-cent decrease. The council was presented the option of a 2-cent decrease, but declined.
The 1-cent decrease will provide the city with a 4 percent increase in revenue from the tax. Had a 2-cent decrease been approved, the revenue would have remained the same. Every year the council has the option of approving a rate that results in a 4 percent increase in revenue. Any increase producing more than that could be subject to a recall by voters.
City Attorney Bill Stevens recommended the city take the increase in revenue this year because of a tight budget.
Stevens said the council was able to reduce the rate and still get more revenue due to a combination of new property assessed and stronger reassessment of existing property. The rate also likely went down because real property value went up, Stevens said.