Rockwood approves tax rate increase

The Rockwood Board of Education on Sept. 27 approved a new tax rate of $4.5357 for 2012, an increase of 7.27 cents per $100 of assessed valuation from last year’s rate of $4.463. Prior to the vote, the Board held a public hearing at Crestview Middle School. Rockwood chief financial officer, Tim Rooney, explained to those gathered that an increase was recommended to recoup $7 million in tax revenue the district lost due to a reduction in assessed valuations and taxpayer settlements issued by the St. Louis County Board of Equalization in response to taxpayers appealing their assessed valuations.

“These are appeals after the district sets their tax rate …” Rooney said. “So what that essentially does is takes away the revenue that the district was entitled to. So the district is allowed to go back and recoup those dollars that they would have lost.”

For 2012, that number is 21.5 cents per $100 of assessed valuation. State law allows the district to recoup this loss over a three-year period, which works out to about a 7.2-cent increase each year for 2012, 2013 and 2014.

Rooney explained that the owner of a $200,000 home would pay about $27.61 more per year in property taxes due to the new rate. He said the tax rate could increase again next year if assessed valuations decrease again.

“On the other side of it, if the assessed valuation grows beyond the CPI (consumer price index), we could go down,” Rooney said.

The 7-cent tax increase will bring in a little over $2 million to the district this year.