SPOKANE VALLEY, Wash. — Spokane Valley homeowners could see some tax relief starting next year. Councilman Al Merkel has proposed the “Spokane Valley Taxpayer Dividend Plan”, that would provide roughly $4 million in tax relief to residents by cutting the city’s spending budget and returning money directly to vehicle and homeowners.
The proposal comes after a GSI Pulse survey found that 69% of Spokane Valley residents who participated are considering moving out of the area, with high taxes cited as one of the top reasons.
“The folks who pay the taxes that make the city financially well-off are not feeling financially well off,” Merkel said.
If passed, Vehicle owners would receive a full year’s worth of license plate tax refunds, and property owners would get back 10% of their city property tax, and a $25 per parcel storm water rebate.
To fund the dividend payments, the plan would reduce spending in several areas, including the city’s technology expansion and staff cuts in the communications department.
“The communications department, which is really new in the city’s history — we didn’t have one for 23 years. And I would argue that I think we don’t need one,” Merkel said.
Councilman Merkel acknowledged that the city has made recent investments in staff and equipment, including new snowplows and adding more staff, but he believes current economic conditions require a different approach.
“When you’re hurting, you know, and when you’re having to tighten your belts, that’s what we should do, too. The city should really be operating on the same level as the taxpayers who pay for it,” he said.
The full proposal will be discussed at the next advanced agenda meeting. The city council would need to approve the plan before it could take effect. If approved, it would begin next year.
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