Board of Education drops blended tax rate by 35 cents

Board of Education drops blended tax rate by 35 cents
Posted on 09/26/2019
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During its annual Tax Rate Hearing on Sept. 24, 2019, the Mehlville Board of Education unanimously approved the 2019 blended tax rate of $3.7994.


The tax rate is a 35-cent decrease from the previous year to offset increases in assessed property value.


The blended rate is an average rate of the residential, commercial, agricultural and personal property tax rates. The blended rate includes the $0.04 temporary tax for Prop A, which ends in 2025. The tax rates for 2019-2020 by category are as follows:

  • Residential tax rate: $3.6537
  • Commercial tax rate: $3.8328
  • Agricultural tax rate: $4.3698
  • Personal property tax rate: $4.5374

Tax rates decreased about 35 cents, or 8.4 percent, over the previous year, said Marshall Crutcher, Chief Financial Officer of Mehlville School District. The tax rate went down because the assessed values of properties increased significantly more than inflation.


“The Hancock Amendment limits tax revenues to increase only up to inflation, or the consumer price index (CPI),” Crutcher said. “The additional increase of assessed values result in decreased tax rates, so the tax revenue does not increase more than inflation.”


This year, assessed value increased 12.4 percent compared to the 1.9 percent increase to the CPI. Tax rates include 3.5 cents for Prop A, a temporary tax through 2025. Prop A offset a 4 cent decrease of debt service in 2016.


Voters approved Prop A in April 2016, which increased the district’s capital projects fund by 4 cents, with a subsequent reduction in the debt service fund of 4 cents. Prop A has a 10-year sunset, and funds are being used to complete roofing projects throughout the district.


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