The Harlan City Council voted during its regular meeting in August to set the city’s real estate and property tax rate and keep the rates unchanged.
Mayor Joe Meadors addressed the matter at the beginning of the meeting.
“We need to set property tax rates for 2024,” Meadors said. “They should have a sheet there showing how our 2023 assessments compared to 2024 assessments.”
Meadors pointed out that real estate valuations have increased this year.
“The 2024 estimates are up about $1.639 million,” Meadors said. “That’s in large part because properties are being bought and sold. In our community, it’s usually the case that the higher the purchase price was, the higher the purchase price is, and that leads to higher estimates.”
Meadors told the council that there had been no major changes in tangible assets this year.
“Our physical value has not increased at all,” Meadors said. “But it has not decreased either.”
Meadors mentioned to the city council that the city is obligated to finance the taxes.
“We have to pay our tax assessments,” Meadors said. “Schools don’t have to do that, and county governments don’t have to do that, but cities do.”
Meadors said municipal taxes increased by $1.6 million for real estate, $64,000 for property, and $630,000 for motor vehicles.
“We have flexibility in both real estate and tangible assets,” Meadors said. “Last year, our rates were 0.46 cents (per $100 of assessed value) and 0.4879 cents (per $100 of assessed value).”
Meadors’ additional motor vehicle tax is 0.32 cents per $100 of assessed value, but this rate cannot be adjusted by the council.
“If we keep the same tax rates as last year, it will bring in a little extra money because the levies have gone up,” Meadors said. “Your actual tax rate will not change.”
Meadors added that watercraft ratings have declined.
“My recommendation is to just leave the tax rates as they are,” Meadors said. “We’re not raising the tax rates and that will bring us some extra revenue, which we need because everything we buy on a daily basis is going to be more expensive.”
After some discussion, Council Member Jeanne Lee made a motion to leave the city’s property and real property tax rates unchanged. Council Member Ann Hensley seconded the motion. The Council passed the motion unopposed.