032-20 - Ordinance - Finding Substantial Need to Set the Levy Limit on Property Tax for 2021ORDINANCE NO. 032-20
AN ORDINANCE OF THE CITY OF PORT ORCHARD, WASHINGTON,
FINDING SUBSTANTIAL NEED TO SET THE LEVY LIMIT FOR THE
PROPERTY TAX LEVY FOR THE FISCAL YEAR COMMENCING
JANUARY 1, 2021, AT ONE HUNDRED ONE PERCENT (101%) TO
ENSURE ADEQUATE FUNDING; ESTABLISHING AN EFFECTIVE
DATE; AND PROVIDING FOR SUMMARY PUBLICATION.
WHEREAS, the City Council of the City of Port Orchard duly and regularly adopts as
required by law the estimate of amounts required to meet public expenses of the City during
the ensuing year from all sources including direct taxation; and
WHEREAS, RCW 84.55.0101 provides that a taxing jurisdiction with a population of
more than 10,000 may levy regular property taxes in an amount not more than the limit factor
multiplied by the highest levy in the most recent three years, plus certain other additional
amounts, with the limit factor being the lesser of 101 percent or 100 percent plus inflation for
the prior year; and
WHEREAS, pursuant to RCW 84.55.0101, if the rate of inflation is less than one percent,
a taxing jurisdiction with a population of more than 10,000 may use the full 101 percent limit
factor upon a finding of substantial need; and
WHEREAS, RCW 84.55.005 defines "inflation" as the percentage change in the implicit
price deflator for personal consumption expenditures for the United States as published for the
most recent twelve-month period; under this definition, the rate of inflation for the tax levy for
the fiscal year commencing on January 1, 2021 is approximately 0.602 percent; and
WHEREAS, the City Council has met and considered its budget for the calendar year
2021; and
WHEREAS, on October 27, 2020, the City Council held a public hearing to consider the
City's revenue sources for the following year's current expense budget pursuant to RCW
84.55.120; and
WHEREAS, the City Council, after hearing and considering all relevant evidence and
testimony presented, has determined that, due to the added costs required to meet the levels
of service expected in the areas of public safety, road repair and transportation, parks and
recreation and other City services, there is substantial need to set the levy limit at one hundred
one percent (101%); now therefore,
THE CITY COUNCIL OF THE CITY OF PORT ORCHARD, WASHINGTON, HEREBY ORDAIN
AS FOLLOWS:
Ordinance No. 032-20
Page 2 of 2
SECTION 1: The City Council finds that there is a substantial need under RCW
84.55.0101 to use a limit factor of one hundred one percent (101%) for the property tax levy in
2021, to ensure adequate funding for City services in calendar year 2021.
SECTION 2: The Finance Director is hereby directed to certify to the County Assessor of
the Kitsap County, Washington, a copy of this ordinance.
SECTION 3. Severability. If any section, sentence, clause or phrase of this Ordinance
should be held to be unconstitutional or unlawful by a court of competent jurisdiction, such
invalidity or unconstitutionality shall not affect the validity or constitutionality of any other
section, sentence, clause or phrase of this Ordinance.
SECTION 4. Publication, This Ordinance shall be published by an approved summary
consisting of the title.
SECTION 5. Effective Date. This Ordinance shall take effect and be in full force and
effect five days after publication, as provided by law,
PASSED by a supermajority of the City Council of the City of Port Orchard, SIGNED by the
Mayor and attested by the Clerk in authentication of such passage this 27th day of October
20200
ATTEST;
rson, MMC, City Clerk
APPROVED AS TO FORM:
Charlotte A. Archer, City Attorney
PUBLISHED: October 30, 2020
EFFECTIVE DATE: November 4, 2020
Robert Putaansuu, Mayor
SPONSOR:
Clauson,�Councilmember
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