Title
Adoption of Property Tax Levy for 2025-26 Fiscal Year (Ordinance S-52140) - Citywide
Description
An ordinance levying separate amounts to be raised for primary and secondary property tax levies upon each one hundred dollars ($100.00) of the assessed valuation of the property subject to taxation within the City of Phoenix for the fiscal year ending June 30, 2026. Phoenix City Charter Chapter XVIII, Section 7, requires Council to adopt an ordinance levying the property tax no later than the last regularly scheduled meeting in July.
Report
Summary
The proposed property tax adoption ordinance (Attachment A) is consistent with the requirements of A.R.S. Title 42, Chapter 17, and establishes primary and secondary tax levies within the limits determined by Arizona Revised Statutes (A.R.S.) Sections 42-17051, 42-17107, and 35-458.
The ordinance provides for: a primary property tax rate resulting in a levy of $224,967,827 (a General Fund revenue source) equating to a rate of $1.2658 per $100 of assessed valuation, including $0.08 for maintenance of parks and playgrounds and $0.2658 for the operation and maintenance of libraries; and an estimated secondary property tax levy of $144,688,188 (used only for debt service) equating to a rate of $0.8141 per $100 of assessed valuation. The total rate of $2.0799 is unchanged from the total 2024-25 rate of $2.0799.
Concurrence/Previous Council Action
The proposed 2025-26 property tax levy reflects actions taken by the Council on the budget at the May 21, 2025 Formal meeting, at the June 4, 2025 Formal meeting to adopt the tentative 2025-26 budget, and at the June 18, 2025 Formal meeting to adopt the final 2025-26 budget. At the June 18, 2025 Formal meeting, a public hearing on the proposed primary property tax levy was held in accordance with A.R.S. Sections 42-17104.B and 42-17107.A.6.
Department
Responsible Department
This item is submitted by City Manager Jeffrey Barton and the Budget and Research Department.