City Property Tax

Source: 2017 Budget Message pg. 20-21

The City of Walsenburg receives property tax for both the entire City which goes to the General Fund and for the two General Improvement Districts. 

5.5% ANNUAL LEVY LAW (C.R.S. 29-1-301) The 5.5% Annual Levy Law requires that levies be lowered to prevent levying more revenue than a 5.5% increase from the prior year and an additional amount for new construction, annexations/inclusions and other new property. It is possible to increase this limit for capital expenditures by governing board action without an election by publishing a notice of public hearing (C.R.S. 29-1-301(1.2)). If the capital expenditures are for County Road & Bridge purposes, it is possible to secure a waiver from the Division of Local Government of the mandatory municipal share back requirement (C.R.S. 29-1-301(1.2) (b)). If an increase in the oil & gas production is experienced, it is possible to treat this as “new property" under this limit by initiating an application process through the Division of Local Government, which if successful, will allow an additional increase (C.R.S. 29-1 301(1)(b)). 

The City of Walsenburg certifies mil levies for 3 entities: 

  1. City of Walsenburg:
    This mill levy helps pay for general fund activities for the entire City of Walsenburg.
    Because Walsenburg certified a higher mil levy than allowed by state law in the past, the City is required to refund the overage. The previous administrator recommended that the City subtract 2 mils from its property tax each year as a way of refunding the overcharged taxes. With this method, we expect this rebate to be paid off in about 3 and half years from the beginning of 2017. 
  2. Northlands General Improvement District:
    The Northlands General Improvement District was established in 2008 in order to collect funds to pay for planning and capital improvements associated with extending sewer and water and gas services to the area general southwest of 1-25 exit 49. City Council did not certify a mil levy. With the establishment of the GID, district property owners approved allowing the City a property tax of up 50 mils which can be used to pay back debt incurred by the GID. This GID would most likely be dissolved when the debt for the capital improvement project is fully paid off. 
  3. Downtown General Improvement District:
    The Walsenburg Downtown General Improvement District was established in and collects funds to pay for improvements within its boundaries.