Property tax statements for 2019 are being mailed this week to the owners of residential and commercial land and buildings in Pierce County. For homes where the tax is paid through an escrow account, the statement is sent to the bank or mortgage company.
The annual tax is determined by multiplying property value by the combined rate of all taxing districts where the property is located. School funding, local and state, accounts for over half of the Property Tax. So, changes in the school formula can make quite a difference.
Last year saw tax increases for nearly every property owner, due to the Washington State Legislature’s addition of a second State School Levy, to meet the court-ordered state funding of K-12 education. This year, the second half of that equation takes effect—reduction of local school operating levies (now called Enrichment Levies) to no more than $1.50 per $1,000 of property value.
In 2018, these voted local levies in Pierce County’s 17 school districts ranged from $1.98 per thousand in the Peninsula School District up to $5.45 in the Carbonado District with most other districts in the $3 to $4 range. So, even though the value of most properties increased significantly in the past year, many taxpayers will see a reduction in their property tax due for 2019.
Voters in several school districts passed capital project levies taking effect in 2019, which will reduce the net amount of savings—and the Fife District will see an increase in the total school tax rate due to a new construction bond levy. Also, this year only, the Second State School Levy has been reduced by 30 cents per $1,000 value, resulting in some additional savings for taxpayers.