It’s the end of January, the time of year when you receive that dreaded property tax bill from the La Plata County treasurer. “Legalized stealing,” as my father tells me; “liberal government waste and fraud,” as some taxpayers have written to me. But then there are other taxpayers who actually believe that paying taxes is the right thing to do. So how do we reconcile these views?
Understanding how property taxes are collected and distributed is a good place to start. The county treasurer is legally tasked with collecting all property taxes in the county, including those for metro districts, such as Three Springs, Edgemont and Purgatory; special districts, such as the water conservancies, and fire district and school districts; and the city of Durango and the towns of Bayfield and Ignacio. Let’s dissect a real-life example of where the money goes:
In this Bayfield example, viewed at http://bit.ly/2k8vPoK, this taxpayer has a mill levy of 61.105 and an actual property value of $276,070. For residential property, the assessed value is calculated by multiplying the actual property value by 7.96 percent: $276,070 x .0796 = $21,975. To get to the total tax owed, multiply the assessed value by the mill levy: $21,975 x .061105 = $1,342.48. This taxpayer has a “Senior Exemption,” so their actual taxes are reduced to $856.08. (The process for qualifying for a “Senior Exemption” is detailed on the back of your tax bill.)
Let’s see how the original tax of $1,342.48 is distributed. You might assume it all goes to La Plata County because the La Plata County treasurer collects the entire tax. But, no. La Plata County general fund gets 7.35 mills of the 61.11 mills or $161.41. The road and bridge fund gets .71 mills, for a total of $15.60, meaning the people who own this property pay less than $16 per year to plow, repair and improve the roads in La Plata County. That’s a pretty good deal for ensuring you can get to work on time, get your kids to school safely, or that the police and fire departments can get to you in an emergency.
Now, let’s dig a little deeper as to where all these tax dollars go. La Plata County gets a share, the schools get a significant portion, and the rest go to the “special districts.” La Plata County gets 8.5 mills of the 61.11, which equals about 14 percent. The school district gets 53 percent, and the special districts get 33 percent.
In Bayfield last year, property owners paid 15.98 mills to the school district and 5.27 mills for the Bayfield school bond. This year, Bayfield property owners will be paying 17.63 mills to the school district, and 14.845 mills for the bond issue. This is an increase of 11.32 mills because last November voters in Bayfield approved a tax increase for their schools.
Special districts are government entities that have been created over time to provide public services, such as sanitation, water and fire protection services. Each has their own board of directors, and they all hold public meetings, which you are invited to attend.
Special districts legally cannot duplicate services provided by the county, cities or towns. They provide services unique to a certain population.
This is why a $300,000 home in Bayfield has a different amount of taxes owed than a same-valued home in Hesperus or Durango.
As a reminder, last year the Treasurer’s Office implemented new ways to pay your taxes. You can pay by debit card or ACH (electronic debit payment) at the county’s website (http://laplatacounty.org), or by e-check through your bank with no charge to you.
You can also pay by credit card (a 2.19 percent convenience fee will be added by the credit card processor). Or you can mail your check to the county’s bank directly: LPC Treasurer, PO Box 912928, Denver, CO 80291. All of these methods have additional safeguards for you, allowing the treasurer to protect your money better.
You will notice a new feature on your tax bill this year, a scan line in the lower right corner of the coupon. This allows us to reduce the cost of processing your tax payment, increasing the county’s efficiency in our ongoing efforts to save money.
Please feel free to contact me with any questions about your tax bill.
Allison Aichele is La Plata County treasurer. Reach her at Allison.Aichele@co.laplata.co.us.
