Kennewick homeowners can expect a nickel break on their city property tax rate next year.
The city council will review the property tax levy numbers Tuesday night, and is expected to approve them Nov. 29 following a public hearing.
If adopted as proposed, the 2012 levy rate will be $2.11 per $1,000 of assessed property value, or $211 a year for a $100,000 home, or $316.50 for a $150,000 home.
This would be the fifth consecutive year to have the levy rate drop. It was $2.38 per $1,000 in 2007.
Kennewick's levy rate for 2011 was $2.16 cents per $1,000 of assessed property value.
The drop in the levy rate may not mean a smaller tax bill, however, because a home's value can be increased when the county assessor does a revaluation, typically at least once every three years.
The city picked up about $198 million in new assessed valuation in 2011, of which $107 million was from revaluation of existing property.
There also was $91 million in value from new construction, including $8.4 million for new construction activity in the Southridge local revitalization area, according to a report to be presented to the council by Dan Legard, city finance manager.
Kennewick's total assessed valuation is about $5.1 billion, which is expected to provide the city just under $11 million in property tax revenue in 2012.
While the levy rate has declined during the past decade, from a high of $2.67 in 2002, the city's assessed valuation on private properties has gone up. It has doubled from $2.5 billion in 2002 to more than $5 billion for 2012, Legard's report states.
Legard also noted that Kennewick's levy rate will have added to it 7.9 cents for general obligation bonds and 39 cents for library district bonds. That resulted in a 2011 total property tax charge of $2.63 for Kennewick property owners, or $263 a year for a property valued at $100,000.
In comparison, Pasco's 2011 tax rate was $2.18 per $1,000 while Richland's was $3.01 per $1,000.
Kennewick officials also like to point out that the city receives only 19 cents from every tax dollar paid by city residents in Benton County.
School districts collect 43 cents from that dollar, the state takes 19 cents and the county receives 12 cents. The remaining 7 cents is distributed to other agencies.