Property tax cut to be OK’d

Tuesday, May 20, 1997 | 11:59 a.m.

Here's something homeowners in the city of Las Vegas haven't heard in a decade: Your property taxes are going down.

The Las Vegas City Council was expected to approve this morning a 1997-98 budget that will reduce property taxes by 9 percent.

The property tax reduction means city homeowners will pay $35 less a year on a $140,000 house and $25 less on a $100,000 dwelling.

"We took $2.5 million in growth-related dollars and, rather than put it in reserve, we're giving a tax rebate," Mayor Jan Laverty Jones said Monday. The new property tax collection will be $5.8 million less than the amount allowed under the statutory tax cap.

At $239 million, the city still will have a record budget with 54 new employees on the payroll. Also, expenditures have increased 9.2 percent over the current year.

The proposed budget is $20 million higher than the 1996-97 package. City officials say valleywide growth will result in a 5 percent increase in sales tax revenues, which will help make up for the funds lost from the property tax cut.

Jones said the Municipal Court voluntarily cut its budget by 4 percent. To do so, it reduced its extended hours of operation to those of Clark County's Justice Court.

Asked if city services will be cut as a result of the property tax reduction, Jones said "absolutely not."

"We have held down our new hirees to a level below the growth level and have better utilized our personnel by cross-training them to do other jobs," Jones said. "I believe we are sending a strong message with this budget."

The city will employ 2,134 people in the upcoming fiscal year, which begins July 1.

Thirty-six proposed new positions paid for from the general fund include nine jobs in public works, nine in the fire department, five in detention services, four in planning and development, four in neighborhood services, two in parks and one each in the city manager's office, city clerk's office and general services.

Eighteen proposed new positions paid for from sources other than the general fund include 11 in public works, two in finance and business services, two in general services and one each in fire services, general services and neighborhood services.

The budget includes the city's share of funding 50 new Metro Police officers and an additional 60 civilian members on the force.

The bulk of the general fund -- 55 percent -- will come from "intergovernmental revenues," which is the sales tax. Property taxes account for 19 percent, as do licenses and permits.

Rounding out the revenues are 3 percent from fines and forfeits, 2 percent from charges for services and 2 percent from interest earnings and miscellaneous.

Budget expenditures include 57 percent for public safety (police and fire), 15 percent for general government, 8 percent for culture and recreation, 6 percent for public works and 5 percent for judicial.

Rounding out the expenditures are 1 percent for economic development and 8 percent for all other expenses of running the city government.

The city will spend 41 percent of its funds on salaries and wages and 41 percent on services and supplies. Employee benefits eat up another 15 percent, while transfers and capital outlay account for 3 percent.