Columbus, Georgia

Agenda Item #______



Columbus Consolidated Government

Council Meeting

June 10, 2003



Agenda Report # _________



TO: Mayor and Councilors



SUBJECT: FY 2004 Tax Millage



INITIATED BY: Finance Department

_________________________________________________________________________



Recommendation: Approve an ordinance levying ad valorem tax rates for the

calendar year 2003 in support of the FY 2004 Budget for the Columbus

Consolidated Government for the fiscal year July 1, 2003 through June 30, 2004.



Background: The Budget which was presented to Council on April 29, 2003

includes property tax revenue based on a projected net county operating digest

of $3,203,488,728 in all districts, which is 2.75% greater than the 2002 state

approved digest for the county.



Analysis: The proposed General Fund operating budget has been increased by

$578,107 during the council review process having no impact on the tax millage.

The proposed Paving Fund operating budget has been increased by $899,926 during

the Council review process having an impact of a 0.25 increase (equivalent to a

$800,872 increase) on the tax millage. The proposed millages reflect a 0.25

increase in millage for the Paving Fund in both Urban Service District 1 and

Urban Service District 2. Also reflected is a 0.25 increase in millage for the

General Fund, a 0.41 increase in millage in the Debt Service Fund, and a 0.04

millage reduction in the Transportation (METRA) in all urban service

districts. Therefore, the proposed millage rates are as follows: in Urban

Service District 1, 17.50 mills; in Urban Service District 2, 11.15 mills; and

in Urban Service District 4, 12.20 mills.



Alternatives: The Tax Millage Ordinance will be on second reading June 17,

2003. Any delay beyond that date will delay the delivery and return of

property tax bills.



Financial Considerations: Based on the projected net digest, these tax rates in

conjunction with the debt digest will provide $55,506,305 of revenues for the

FY 2004 budget. An increase in the digest greater than the 2.75% growth factor

projected for the FY 2004 Recommended Budget would provide additional revenue

for operations. Likewise, a growth of less than the projected 2.75% would

require a reduction in appropriated expenses. The three Business Improvement

District?s tax millages will produce combined revenues of $540,457, which will

be remitted less commission fees to the Business Improvement District.



Legal Considerations: In accordance with O.C.G.A. 48-5-32, the proposed tax

millages and levy for the current year and five prior years have been

advertised prior to Council adoption. There exists no requirement to publicize

adjusted millages.



Recommendations/Actions: Approve an ordinance levying ad valorem tax rates for

the calendar year 2003 in support of the FY 2004 Budget for the Columbus

Consolidated Government for the fiscal year July 1, 2003 through June 30, 2004.