Heber City intends to raise property taxes in the upcoming fiscal year 2027. Wednesday, locals will have the opportunity to weigh in on the tax increase.  Heber City Finance Director Sara Nagel announced the city’s intent to raise its property taxes in May. At that time, the city planned on i ncreasing the property tax rate by 5.2%. Now, Nagel said the city is looking at a proposed 4.8% property tax increase.  The city relies on U.S. Bureau of Labor Statistics data with every proposed tax increase. Nagel said she began reviewing data for the mountain-plains region in February. After submitting the original 5.2% increase to the Utah State Tax Commission, the actual suggested increase was 4.8%. “Truly, it’s a purely inflationary increase, and it’s to maintain our purchasing power and maintain stability in our most stable revenue source, which is our property taxes,” Nagel said.  Nagel added that Heber City is about 8% of property owners’ total tax bill, or eight cents of every dollar. Nagel said a common misconception is that property tax increases coming from Heber City will have a dramatic effect.  The average primary resident in Heber City with a home valued at about $850,000 would pay $16.83 more in taxes each year. A business of the same value would pay an additional $30.60 annually.  “What I hope to impress on the public is that (annual increase) is incremental, and we feel like it’s a very prudent increase,” Nagel said. “Doing it this way, these really small incremental inflationary increases, will be less impactful to an average taxpayer.” It’s to maintain current services. Nagel said about $16 per median home value is a “reasonable ask” to maintain roads, parks, cemeteries and public services. They’re all things that taxpayers use daily.  “Our public demands a safe community, working roads and safe parks,” Nagel said.   An additional $174,000 will be generated if the tax increase is approved. That funding will be distributed across countywide departments.  Heber City has increased the tax rate five times in the last 30 years. For the property tax year 2024, the rate increased by 9.4%.  Nagel said the city uses a zero-based budgeting process, meaning each department begins every year with a budget of zero dollars. Rather than applying a flat increase across all departments, each must justify every dollar requested.  “While this approach takes significantly more time to complete, it is an effective tool for keeping spending in check,” Nagel said.  Nagel added that another common misconception is that when property values increase, the city receives more tax revenue.  “This is not the case,” Nagel said. “The only way a city can receive additional revenue, aside from new growth … is by going through the rigorous Truth in Taxation process.” No action will be taken during the Truth in Taxation hearing in Heber City on Wednesday. Nagel said it’s simply a public hearing that is required by the state.  “It’s an opportunity for the public or anyone … interested to come and give their feedback to the council,” said Nagel. “They could have a resolution that night, but we have chosen to just have a public hearing to allow the council to hear feedback.” State law requires Heber City to make a final decision by Sept. 1.  Mayor Heidi Franco said the best option for residents looking to learn more is to contact the Heber City Council. That way, residents can have a conversation.  On Wednesday, the City Council will review the reasons behind the tax increase and where funds will be allocated. The meeting is likely the only opportunity to provide public comment before the vote. Nagel said the city has compiled educational materials.  “It is not intuitive to understand how Utah calculates property taxes,” Nagel said. “If (people) have deep questions, reach out before the public hearing to get those questions answered so that you can come and just make your comment.” The post Heber City locals can weigh in on proposed property tax increase on Wednesday appeared first on Park Record. ...read more read less