The average City of Verona homeowner’s taxes will increase by $43 this year, partly because of increased property values.
That’s based on a $272,000 home, which is the same assessment as last year because Verona homes have not been reassessed in several years. They are scheduled for a revaluation in 2020, but tax rates account for the assumed increase in market values, known legally as equalized values.
The city released the calculation of tax bills Thursday, Nov. 21, about a week after Dane County finalized its budget. City administrator Adam Sayre said the bills will be mailed the second week of December, well before the state’s Dec. 16 deadline.
This year’s tax increase is significantly less than last year’s average hike of $150, mostly the result of an error by the city assessor in which money was diverted inadvertently to a tax-increment financing district. The previous year, the Verona Area School District’s referendum to build a new high school and upgrade assorted buildings contributed to an average tax increase of $250.
VASD taxes remain the biggest contributor to the tax increase this year, accounting for a $90 hike on that average home. City taxes are dropping $36, offsetting the assessor’s error from 2018 that had contributed to raising city taxes by an average of $40. County taxes are adding $20 to that bill.
State credits, which reduce the tax bill by an absolute amount, rather than a proportion of the value of the house, are increasing by $34.
The school district’s nominal tax rate – based on equalized value – stayed flat at $12.77 for the third straight year, but with an average increase in property values of 6% in the city, that translated to increases in taxes, as well.
Dane County dropped its tax rate overall by 3%, but adjusting for the rising home values, taxes will go up 2% on Verona tax bills.
The city’s rate dropped 2.2% in a tighter-than-usual budget year because of lagging growth, but that rate, unlike those published for the county and school district (which serve multiple municipalities), is based on assessed value, so that already factors in home values.