As a whole, Pinal County property owners will be paying more in property tax next year due to higher land values.
The Pinal County Board of Supervisors voted June 7 to approve the preliminary countywide budget for the 2021-22 fiscal year, which includes a 6-cent reduction in the primary property tax rate, dropping it to $3.69 per $100 assessed valuation.
However, increasing property values will in most cases eclipse that tax rate reduction and lead to somewhat higher payments next year, averaging out to a 0.39% increase countywide.
That won’t be across the board, as some owners will likely see a reduction as valuations for tax purposes are recalculated on all parcels, but those in high-growth areas are likely to have a higher tax obligation to go along with their higher value.
Board of Supervisors Chairman Steve Miller, District 3, pointed out Arizona law limits the annual increase in valuation on an existing home to 5%.
The county also levies secondary property taxes on all parcels to support the countywide library and flood control districts; both are expected to increase about 2% next year.
Considered together, the owner of a $100,000 home will owe $395.39 in Pinal County primary and secondary taxes next year, versus $393.54 if the tax rates had been reduced enough to offset rising property values.
The preliminary budget approved by the Board of Supervisors for fiscal 2022 was capped at $735.5 million in potential expenditures from all sources, including state and federal funds and special districts. The general operating fund, for which primary property taxes are the main source, will be about $227.4 million.
Miller said, “We have to list everything that we might spend. We may not spend it, but if we think we might, we have to list it here. So the projections are a lot higher than the actuals.”
The final Pinal County budget for 2021`-22 was adopted July 7.