Irvine could lose $8 million this fiscal year.
By SONYA SMITH IRVINE WORLD NEWS
The city stands to lose $8 million in property tax revenue this fiscal year.
The loss stems from two interpretations of state property tax equity laws – the county’s versus the city’s.
City Manager Sean Joyce said the city receives about 3.5 percent of the property tax revenue generated in Irvine – the remainder goes to county and state agencies.
Enter the Irvine Redevelopment Agency – established at old El Toro base to use property tax income to fund redevelopment of the property.
With that agency established and starting to earn its first payments, the county’s auditor contends that the money can count toward Irvine’s property tax revenue.
Joyce said the city could
lose $8 million this fiscal year, but with Irvine’s property tax income budgeted conservatively – the city would only be short $5.7 million from the projected income. Joyce said the city could lose as much as $11 million a year.
“We’re working with the county collaboratively to ensure that services are not in any way interrupted,” Joyce said.
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