On January 21, Legislative Director Kevin Kinnally testified before the Ways and Means Committee in support of HB 101, Property Tax—Deadline to Set County and Municipal Corporation Tax Rates—Alterations with Amendments.
This bill moves the deadline for counties and municipalities to set property tax rates from July 1 to June 1. Counties seek amendments to minimize disruptions to local budget timelines and processes.
Counties depend on property tax revenue to fund critical services such as education, public safety, and infrastructure. The July 1 deadline ensures budgets incorporate late-breaking developments and provide adequate time for public input, thorough fiscal analysis, and sound decision-making. Shifting the deadline to June 1 would upend these processes, complicate budget planning, and necessitate updates to local charters or governing documents.
To address these concerns, MACo recommends a June 20 deadline as a sensible alternative that meets SDAT’s administrative needs while maintaining counties’ ability to conduct deliberate and informed budget planning. This approach allows sufficient time to prepare homeowners’ tax credits and billing files without disrupting the local budget cycle.
HB 101’s cross-file, SB 204, was heard in the opposite chamber, the Ways and Means Committee, on March 18. MACo submitted written testimony in support of this bill with amendments.
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