By MADISON HIRNEISEN
THE CENTER SQUARE
(The Center Square) – California property owners paid a total of 6% more to state and local governments, according to an annual tally of collections.
Property tax levies in California totaled $79.9 billion during the fiscal year that ended in June 2021, representing an increase of 6% over the last fiscal year, according to a recent report from the California State Board of Equalization (BOE).
The BOE is responsible for overseeing the assessment practices of the 58 County Assessors, who value over 13 million assessments per year, according to the report. During fiscal year 2022-2021, the report states that the net statewide assessed value was $7.1 trillion, which resulted in $79.9 billion in property tax levies.
The property tax levies collected during fiscal year 2020-2021 contributed $43 billion to schools and $36.9 billion to local governments, the report notes.
“The increase in property tax levies to almost $80 billion is a clear reflection of California’s vibrant real estate market,” Chair Malia M. Cohen said in a statement. “As we transition away from the disruptions of the COVID-19 pandemic, I am heartened that these additional property tax revenues will provide significant funding for our schools and critical local government services.”
Assessments and levies in California are subject to the requirements of Proposition 13, a measure passed by voters in 1978 that limited property taxes to 1% of the assessed value. The measure also put a cap on the rate of increase for a property’s assessed value, limiting it to an increase of no more than 2% per year unless there is a change in ownership or new construction.
According to the report, the BOE set values for state-assessed properties in 2021 at $123.2 billion for the 2021-2022 roll – an increase of $3.5 billion from 2020-2021. The state-assessed property includes pipelines, flumes, canals, ditches and aqueducts that exist within two or more counties and property owned or used by railway or public utilities.
Those state-assessed properties produced $1.94 billion in local property tax revenues in 2021-2022 for the state’s 58 counties, according to the report.