REMARKS
Majority Leader Amanda Farías introduces Finance Committee meeting agenda
0:00:11
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4 min
Majority Leader Amanda Farías, acting as chair of the Finance Committee, opens the meeting and outlines the agenda for the day. She introduces eight items for voting, including property tax exemption resolutions, amendments to property tax rates, and a transparency resolution.
- Three property tax exemption resolutions are presented, detailing specific terms for rental buildings in different council districts.
- Four pre-considered resolutions to amend property tax rates for fiscal 2025 are explained, including recent state legislation to avoid large increases for residential properties.
- A transparency resolution is introduced, requiring council members to disclose any conflicts of interest with organizations receiving funding.
Amanda Farías
0:00:11
Good morning, and welcome to today's Finance Committee meeting.
0:00:14
I am majority leader, Amanda Fettias, and be sharing the committee on Finance today and chair of Brandon's absence.
0:00:20
We are joined by council members, Rivera, deputy speaker Ayala, council member, Hanks, Lewis, Williams, Osse, Brewer, Sanchez, Carr, and Hudson's in.
0:00:31
Today, the committee will be voting on 8 items, 3 property tax exemption resolutions, 4 pre considered resolutions to amend and restate the property tax rates for fiscal 2025 and a transparency resolution.
0:00:43
The first property tax exemption resolution is a new partial 40 year article 11 professor for a preservation of 1 rental building and council member Joseph's district.
0:00:52
As part of the exemption, the building will enter into an HPD regulatory agreement, capping income limits, at 50 percent AMI reserving 30 percent of units for homeless tenants and requiring completion of identified capital repairs.
0:01:05
HPD's aging in place upgrades will also be implemented as part of the agreement.
0:01:10
The 2nd exemption resolution is a new partial 40 year article 11 for preservation of 7 rental buildings in council member salam's district.
0:01:18
As part of the exemption, the buildings will complete, identify capital repairs, and implement HPD's aging in place upgrades.
0:01:25
The final exemption resolution is a new full 40 year article 11 for preservation of one rental building and council member, Herrera's district.
0:01:33
As part of the resolution, the building will undergo substantial rehabilitation.
0:01:37
After the rehab is complete, the building will convert into a co op home ownership building.
0:01:42
Next, the pre considered resolutions would amend and restate the property tax rates for fiscal 2025.
0:01:48
Every year, the council is required to set the real property tax rates for each tax class as part of the budget adoption process.
0:01:55
The formula to calculate the tax rate is set by the state's law and leaves the council very little discretion in settling the rates.
0:02:02
However, the council called for the state to pass a law amending the formula to avoid what would otherwise be large increases to class 1 and class 2 residential properties this year.
0:02:12
The governor recently signed that bill, meaning that the council now needs to pass this package of 4 resolutions to amend the rates.
0:02:19
Due to timing of the tax rate process, state law allows the Department of Finance to calculate the initial fiscal 2025 tax bills, which are mailed out early June in early June with last year's rates.
0:02:31
Once counsel adopts these resolutions, the Department of Finance will subsequently update the tax bills due to reflect the new rates on the mid year tax bills.
0:02:40
The amended fiscal 2025 tax rates will be in effect by this point superseding the rates set at budget adoption, meaning that the property owners will only see a change from the old fiscal 2024 rates to the amended fiscal 2025 rates.
0:02:54
To be clear, taxpayers will never see the fiscal 2025 rates that council was required to set at budget adoption in June.
0:03:03
Finally, the transparency resolution set sets forth the news designation and changes in the designation of certain organizations receiving funding pursuant to certain initiatives in the budget.
0:03:14
As with all transparency resolutions, council members will have to sign a disclosure form indicating whether or not a conflict exists with any of the groups on the attached lists.
0:03:24
If any council member has a potential conflict of interest with any of the organizations listed, they have the opportunity to disclose the conflict at the time of their vote.
0:03:32
As a reminder, please disclose any conflicts you may have with the proposed subcontractors used by organizations sponsored by discretionary funding.
0:03:41
These disclosures must be made before the subcontractor can be approved.
0:03:44
Disclosure forms must be completed and submitted prior to the vote on the transparency resolution and may be emailed to Francesca Delvecchio, who is also present today in chambers to answer your questions.
0:03:59
Are there any comments or questions from my colleagues on today's items?
0:04:04
We've also been joined by council member Stevens and majority with Brooks Powers.
0:04:09
I will now ask Billy Martin Community Clerk to call the role.
