Tax Levy Presentation 201011

Half Hollow HillsCentral School

District

2010- 2011 Tax Levy

Estimated Tax Levy May 2010

3.29%2010-2011 Gross Tax Levy % Increase

$ 5,424,941Total Gross Tax Levy $ Increase

$164,683,336Less Gross Tax Levy: 2009-2010

$170,108,277Gross Tax Levy: 2010-2011

(4,150,000)Less: Appropriated Fund Balance

(33,623,605)Less: Estimated Revenue

$207,881,882Proposed 2010-11 Budget

Approved Tax Levy October 2010

3.08%2010-2011 Gross Tax Levy % Increase

$ 5,074,941Total Gross Tax Levy $ Increase

$164,683,336Less Gross Tax Levy: 2009-2010

$169,758,277Gross Tax Levy: 2010-2011

(4,500,000)Less: Appropriated Fund Balance*

*Board of Ed. appropriated $350,000 to lower tax levy.

(33,623,605)Less: Estimated Revenue

$207,881,882Approved 2010-11 Budget

Tax Levy vs. Tax Rate

� Gross Tax Levy: Total dollar amount HHH must collect in taxes to support the approved 2010-2011 expenditure budget of $207,881,882 (Set by HHH).

� Tax Rate: Amount charged per $100 of assessed value to determine individual tax owed (Set by Towns of Huntington and Babylon).

What affects the tax rate?

� Gross Tax Levy (School District)

� Assessed Valuations (Towns of Huntington and Babylon)

� Equalization Rates (New York State Office of Real Property Taxes)

Assessed Value

� Determination made by the Town Assessor of the value of the property to be used for property taxation.

� Assessments are at a small fraction of full market value.

� The average assessment for HHH residents in the Town of Huntington is $5,500.

� The average assessment for HHH residents in the Town of Babylon is $4,184.

Assessed Valuation History for HHHSet by Town of Huntington

Town of Huntington - HHH Portion

ASSESSED VALUES

$75,000

$80,000

$85,000

$90,000

$95,000

$100,000

1995-9

6

1998-9

9

2001-0

2

2004-0

5

2007-0

8

2010-1

1

Year

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Assessed Valuation History for HHHSet by Town of Babylon

Town of Babylon - HHH Portion

ASSESSED VALUES

$15,000

$17,000

$19,000

$21,000

$23,000

19

95

-96

19

98

-99

20

01

-02

20

04

-05

20

07

-08

20

10

-11

Ye a r

As

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Equalization Rates:

� Set by NYS Office of Real Property Taxes (ORPS)

� New York State’s measure of a municipality’s Level Of Assessment (LOA)

� Ratio of total assessed value to market value

� The municipalities (Towns of Huntington and Babylon) determine assessed values

� The State estimates the market values

Equalization rate of:

� 100 means municipality is assessing property at 100% of market value

� Less than 100 means market value is greater than assessed value

�More than 100 means assessed value is greater than market value

Equalization Rates:

How do Equalization Ratesrelate to school property taxes:

� Fairly distribute property tax levy.

� Levy needs to be divided in proportion to the total market value of each municipal segment to allow for equitable distribution (for HHH that would be Towns of Huntington and Babylon)

� Estimates the total market value of an entire taxing jurisdiction.

� Formula:

Total Market Value Estimate =Current Total Assessed Value Current Equalization Rate

How do Equalization Rates relate to school property taxes:

EXAMPLE:

� School District AB needs to raise $1M.

� District contains all of Town A and Town B

� Each Town has total assessed value of $10M

� If levy were simply allocated on basis of assessed value, the taxpayers in both towns would evenly split the levy

EXAMPLE cont’d:

� State determines, through equalization process, that Towns A & B have different levels of assessment

� Town A has equalization rate of 33.33

� Town B has equalization rate of 50.00

What does this mean?.......................

EXAMPLE cont’d:

$4 per $100 AV$4 per $100 AV$4 per $100 AV$4 per $100 AV$6 per $100 AV$6 per $100 AV$6 per $100 AV$6 per $100 AVTax Rate for each TownTax Rate for each TownTax Rate for each TownTax Rate for each Town(Tax Levy / Assessed Value) x 100(Tax Levy / Assessed Value) x 100(Tax Levy / Assessed Value) x 100(Tax Levy / Assessed Value) x 100

$400,000$400,000$400,000$400,000$600,000$600,000$600,000$600,000Tax Levy to be raised from each TownTax Levy to be raised from each TownTax Levy to be raised from each TownTax Levy to be raised from each Town

40%40%40%40%60%60%60%60%Percent of Market Value (and, therefore, Percent of Market Value (and, therefore, Percent of Market Value (and, therefore, Percent of Market Value (and, therefore, percent of levy) for each Townpercent of levy) for each Townpercent of levy) for each Townpercent of levy) for each Town

Market Value of School District AB = $50 millionMarket Value of School District AB = $50 millionMarket Value of School District AB = $50 millionMarket Value of School District AB = $50 million

$20 million$20 million$20 million$20 million$30 million$30 million$30 million$30 millionMarket Value of each Town (AV/ER)Market Value of each Town (AV/ER)Market Value of each Town (AV/ER)Market Value of each Town (AV/ER)

50.00%50.00%50.00%50.00%33.33%33.33%33.33%33.33%Equalization Rate (ER) of each TownEqualization Rate (ER) of each TownEqualization Rate (ER) of each TownEqualization Rate (ER) of each Town

$10 million$10 million$10 million$10 million$10 million$10 million$10 million$10 millionAssessed Value (AV) of each TownAssessed Value (AV) of each TownAssessed Value (AV) of each TownAssessed Value (AV) of each Town

Town BTown A

Equalization Rates for Towns of Huntington and Babylon:

NYS ORPTS

Municipal

Profile

Suffolk

County:

2010

Equalization

Rates

State

Swis Type Municipality Equalization Date Complaint Level of

Code Name Rate Status Established Filed Assessment*470000 County Suffolk 21.79 Final 11/10/2009 N

472000 Town Babylon 1.19 Final 08/24/10 N 1.19

472200 Town Brookhaven 0.86 Tentative 06/17/10 N 0.86

472400 Town East Hampton 0.77 Final 09/08/10 N 0.77

472600 Town Huntington 0.88 Tentative 06/17/10 N 0.88

*As reported by the Assessor. Section 305-2 of the Real Property Tax Law requires that all real property be

assessed at a uniform percentage of market value. (In Nassau County and New York City the uniform percentage

is not municipal-wide, but applies to property classes). Most villages are not required to report a uniform percentage.

Actual Valuation History for HHH

Set by Town of Huntington

Town of Huntington - HHH Portion

ACTUAL VALUATION

$0

$1,500,000

$3,000,000

$4,500,000

$6,000,000

$7,500,000

$9,000,000

$10,500,000

$12,000,000

199

5-9

6

199

8-9

9

200

1-0

2

200

4-0

5

200

7-0

8

201

0-1

1

Year

Ac

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Actual Valuation History for HHH

Set by Town of Babylon

Town of Babylon - HHH Portion

ACTUAL VALUATION

$0

$250,000

$500,000

$750,000

$1,000,000

$1,250,000

$1,500,000

$1,750,000

$2,000,000

$2,250,000

$2,500,000

19

95

-96

19

98

-99

20

01

-02

20

04

-05

20

07

-08

20

10

-11

Year

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TRANSLATION:

Tax Computation 2010-2011 PROPOSED 169,758,277$ (TAX LEVY)

Township Assessed Valuation Equalization Rate Full Value Percentage TAX Tax Rate/C

Huntington 86,848,608$ 0.00880 9,869,160,000$ 86.63301% 147,066,706$ 169.337$

Babylon 18,120,799$ 0.01190 1,522,756,218$ 13.366989% 22,691,571$ 125.224$

TOTALS 104,969,407$ 11,391,916,218$ 169,758,277$

TAX RATE COMPARISON SUMMARY

2010/11 2009/10 CHANGE %

HUNTINGTON 169.34$ 160.90$ 8.44$ 5.24BABYLON 125.22$ 125.65$ (0.43)$ -0.34

TAX LEVY COMPARISON SUMMARY

2010/11 2009/10 CHANGE %HUNTINGTON 147,066,706$ 141,528,541$ 5,538,165$ 3.91%

BABYLON 22,691,571$ 23,154,794$ (463,223)$ -2.00%

TOTAL: 169,758,277$ 164,683,335$ 5,074,942$

% CHANGE 3.08%

4 Year ComparisonTax Rate vs. Tax Levy

3.08%$ 164,683,336

$ 169,758,277 TOTAL1.66%$ 161,996,879

$ 164,683,336 TOTAL

% CHANGE2009/10 2010/11 % CHANGE2008/09 2009/10

TAX LEVY COMPARISON SUMMARYTAX LEVY COMPARISON SUMMARY

-0.34%125.66125.22BABYLON3.36%$121.57$125.66BABYLON

5.24%160.90169.34HUNTINGTON2.64%$156.76$160.90HUNTINGTON

% CHANGE2009/10 2010/11 % CHANGE2008/09 2009/10

TAX RATE COMPARISON 2010/11TAX RATE COMPARISON SUMMARY 2009/10

2.84%$ 157,530,742 $ 161,996,879 TOTAL3.65%$ 151,985,649 $ 157,530,742 TOTAL

% CHANGE2007/08 2008/09 % CHANGE2006/07 2007/08

TAX LEVY COMPARISON SUMMARYTAX LEVY COMPARISON SUMMARY

-1.06%122.87121.57BABYLON8.98%$112.74 $122.87BABYLON

4.51%149.99156.76HUNTINGTON3.33%$145.16 $149.99HUNTINGTON

% CHANGE2007/08 2008/09 % CHANGE2006/07 2007/08

TAX RATE COMPARISON 2008/09TAX RATE COMPARISON SUMMARY 2007/08

156.88 160.90 174.92 200.51 193.77 201.19 201.15 215.69

A HHH B C D E G F

Town of Huntington

2009-2010 Tax Rates

125.65 159.92 172.24 163.76 162.93 174.06 166.74 182.95

HHH F A G D C E B

Town of Babylon

2009-2010 Tax Rates

Tax Rate Comparison Tax Rate Comparison 2009/10 2009/10

2010/11 Tax Levy2010/11 Tax Levy

�Board of Education approves tax levy lower than levy proposed in May 2010

�Lowest school tax rate in the Town of Babylon

�2nd lowest school tax rate in the Town of Huntington

THANK YOU!