Woodland City Council approves budget amendments – Daily Democrat
Woodland City Council passed a resolution authorizing changes — totaling $6.1 million — to the budget for the 2021-22 fiscal year.
“The requested appropriations are funded through a mix of new or increased revenue, available dedicated reserves, or the use of unrestricted fund balances from various funds,” the city staff report said.
The report notes that some very significant budget corrections are recommended, including $3.5 million for Spring Lake debt service, $930,053 for wildfire team operations, and $874,566 income transfer to measure F.
“Of the $6.1 million in credits requested, staff expect $5.3 million in offsetting revenue with a net impact of $825,989,” the report adds.
Mayor Mayra Vega asked Evis Morales, a Woodland finance official, how the town’s revenue has increased given rising house prices and increased property taxes.
“Some of the property tax money goes into the general fund,” Morales explained during last week’s city council meeting, held via Zoom. “We take that money and allocate it to various activities supported by the general fund, including fire service, police service and community development.”
City Manager Ken Hiatt added that property tax revenue for the city also depends on where the property is located in Woodland and when the area was annexed.
“Of that 1% property tax that is paid, we get about 18% and for the new parts of the community that are being built…especially Spring Lake, we have a much lower percentage that we collect. It’s actually a little over 12%…so every dollar that’s paid into that class of property tax, we don’t get all of that.
Councilman Tom Stallard noted that the original purpose of property taxes was to cover property-related services provided by cities, but that “they don’t come close to covering those costs in the post- Prop 13”.
He pointed out that property taxes don’t even provide enough money to cover the cost of public safety in the community, noting that police operations alone account for about $16 million in costs in any given year. .
“You might realize if you look at the property taxes, $14 million doesn’t even pay for the operation of public safety in this community,” he pointed out. “Our former city manager used to say, ‘we agree with people, you pay a lot of taxes, we just don’t see that money at the city, we get 21 cents on a dollar’ property tax.'”
The board voted unanimously to pass the resolution approving the $6.1 million budget changes.