Consideration of Resolution No. 2013-03: A resolution of the Council of the City of Flagstaff, Arizona, supporting House Bill 2498, Property Tax Levy; Community Colleges (as requested by Coconino Community College for support of an amendment to state law via HB2498, permissive language allowing community college districts to ask voters for an increase to their primary property tax levy limit base after 20 years, but no more than 35 years, from the date they set their initial levy).

This is a request by Coconino Community College for support of an amendment to state law via HB2498 providing permissive language to allow community college districts to ask voters for an increase to their primary property tax levy limit base after 20 years, but no more than 35 years, from the date they set their initial levy. If enacted, this bill would allow Coconino Community College (CCC) legislative authorization to approach voters of Coconino County to determine whether they want to reset their primary property tax levy limit base. This opens an opportunity for our community college partner to seek voter approval in their property tax rate that drives the revenue to operate the educational system for citizens in Flagstaff and beyond. 

There would be no direct impact on the City of Flagstaff.

Indirectly supports the Council goal to "retain, expand and diversify economic base."  This legislative effort creates the opportunity for a decision-point by voters on raising revenues for higher education provided by our community college.  Our support of the opportunity indirectly assists in workforce development and training of our residents.

No

(1) Adopt Resolution No. 2013-03; (2) Not adopt a resolution in support HB2498.

When the original primary property tax base was set almost 20 years ago, the long term impact of the adopted rate was not known.  The Arizona Community College Presidents' Council (ACCPC), a statewide organization of the ten accredited community college districts across the state supports this and has been trying to get legislation passed that would assist in correcting the situation for several years.

This bill has been introduced by state legislative District 6 Representative Bob Thorpe and is co-sponsored by Rep. Barton and Sen. Crandell.

CCC currently has the lowest primary property tax revenue of any of the state's community colleges, the lowest percentage of property tax contribution to total revenue and highest tuition and fees of any of the accredited college districts. They have determined it is not a financially sustainable status and the college believes it places at risk its current mission and ability to provide the high quality academic and workforce programs the residents of our county need.

It will assist the community college in providing the academic resources necessary to prepare residents of Flagstaff and individuals in the region for careers and intellectual enrichment.

NA

(1) Adopt Resolution No. 2013-03 to support HB2498, allowing voters to consider an increase in the property-tax levy base for community colleges.
(2) Not adopt a resolution in support HB2498 which allows an increase in the property-tax levy base for community colleges if approved by voters.

Adopted by CC 02/05/2013 - 6-1 - EAB