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Ordinance 09-025 Declaring Substantial Need ( CITY OF SPOKANE VALLEY SPOKANE COUNTY,WASHINGTON ORDINANCE NO.09-025 AN ORDINANCE OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY, WASHINGTON, DECLARING A SUBSTANTIAL NEED TO LEVY A 1% INCREASE IN REGULAR PROPERTY TAXES FOR THE CITY OF SPOKANE VALLEY, WASHINGTON IN SPOKANE COUNTY, PLUS ADDITIONAL REVENUE RESULTING FROM NEW CONSTRUCTION, IMPROVEMENTS TO PROPERTY, NEWLY CONSTRUCTED WIND TURBINES AND ANY INCREASE IN THE VALUE OF STATE ASSESSED PROPERTY FOR THE YEAR COMMENCING JANUARY 1, 2010; TO PROVIDE REVENUE FOR CITY SERVICES AS SET FORTH IN THE CITY BUDGET. WHEREAS, State law authorizes the City of Spokane Valley to levy an increase in regular property taxes upon the taxable property within the corporate limits in order to provide revenue for the 2010 General Fund budget of the City; and WHEREAS, the City of Spokane Valley is authorized to levy $3.60 per thousand dollars of assessed valuation deducting therefrom the highest levy collected by a Fire District within the Spokane Valley city limits and also deducting the Spokane Valley Library District levy; and WHEREAS, RCW.84.52.020 requires the City Council on or before the 30th day of November to certify budget estimates to the clerk of the Spokane County Board of Commissioners including amounts to be raised by taxing property within the limits of the City;and WHEREAS,the City Council pursuant to notice, held public hearings on August 11, September 8 and September 22, 2009 on the proposed budget estimates for 2010 including revenue sources which will fund the provision of City services, projects and activities; and WHEREAS, sales tax receipts are estimated to be$2.8 million less than 2009 receipts; and WHEREAS, service revenues(building and zoning fees)are estimated to be$388,000 less than 2009 fees; and WHEREAS, gambling tax receipts are estimated to be$100,000 less than 2009 tax; and WHEREAS, the City of Spokane Valley is a Washington Taxing District with a population of more than 10,000; and WHEREAS, the City Council of the City of Spokane Valley has determined that due to the decreasing revenues listed above and increasing expenditures (substantial need), there is a need to increase the property tax levy by 1% plus additional revenue resulting from new construction, improvements to property, newly constructed wind turbines and any increase in the value of state assessed property to ensure adequate funding for the City General Fund in 2010. NOW, THEREFORE, the City Council of the City of Spokane Valley, Washington, do ordain as follows: Section 1. The City Council of the City of Spokane Valley hereby declares a substantial need due to decreasing revenues and increasing operating costs. Ordinance 09-025 Substantial Need Page 1 of 2 Section 2. 2010 Levy. There shall be and is hereby levied and imposed upon real property, personal property and utility property, as defined in RCW Chapter 84.04, 84.55.005 and 84.04.140 in the City of Spokane Valley, Washington a regular property tax for the year commencing January 1, 2010 in the total amount of$10,799,500 which includes new construction and improvements. The regular property tax levied through this ordinance is for the purpose of receiving revenue to make payment upon the general indebtedness of the City of Spokane Valley, the general fund obligations, and for the payment of services, projects and activities for the City during the 2010 calendar year. The purpose of this ordinance is to establish the levy amount as permitted by law. The City expects the dollar amount of the property tax levy which includes additional revenue resulting from new construction, improvements to property, newly constructed wind turbines and any increase in the value of state assessed properties to be$10,799,500 which is $299,500 greater(2.9%)than the 2008 levy which was collected in 2009. Section 3. Notice to Spokane County. Pursuant to RCW 84.52.020, the City Clerk shall certify to the County Legislative Authority a true and correct copy of this ordinance, as well as the budget estimates adopted by the City Council in order to provide for and direct the taxes levied herein that shall be collected and paid to the City of Spokane Valley at the time and in the manner provided by the laws of the State of Washington. Section 4. Severability. If any section, sentence, clause or phrase of this ordinance shall be held to be invalid or unconstitutional by a court of competent jurisdiction, such invalidity or unconstitutionality shall not affect the validity or constitutionally of any other section, sentence, clause or phrase of this ordinance. Section 5. Effective Date. This Ordinance shall be in full force and effect five (5) days after publication of this Ordinance or a summary thereof in the official newspaper.of.the.City as provided by law. PASSED by the City Council this 6ih day of Octoberj1009. 7d7 . chard M.MUDS Ma or ATTES : Y Christine Bainbridge, City Clerk Approved As To Form: Office of the City Attorney Date of Publication: /d -fib' 0 / Effective Date: /d -,o77/- d, Ordinance 09-025 Substantial Need Page 2 of 2