If death and taxes are two certain facts of life, a third is if property taxes jump dramatically howls will be heard throughout the community.
City of Kent officials and the Kent Regional Fire Authority found the third fact to be true when the 2011 property tax statements were sent to businesses and homeowners earlier this year.
The fire authority and the city began receiving numerous complaints from residents and business owners who saw fire benefit charge added to the property tax bill.
A meeting was scheduled by the Kent Chamber of Commerce Government Affairs team Tuesday afternoon that included members of the business community, three City Council members, Mayor Suzette Cooke and Fire Chief Jim Schneider.
The meeting brought all sides together to discuss and explain the taxes and charges for the Kent Regional Fire Authority.
The fire authority was established in April 2010 by a vote of the people merging the city of Kent Fire Department and Fire District 37 into one organization, removing it from the city. The measure was approved by more than 70 percent.
The essence of the tax concerns addressed Tuesday centered on the fire benefit charge. Many of the complaints came from the commercial property owners. The charge comes in high for business owners because the risk is often higher than a residence.
The other issue raised during the meeting was a portion of the tax levy collected by the city that would have operated fire department that was kept in the general fund to help balance the city’s 2011 budget. The figure that went into the general fund was nearly $5 million.
According to John Pietromonaco of HRP Properties based in Mercer Island, when the statements reached the mailboxes he began getting complaints from his tenants in Kent.
“I can tell you there was a whole bunch of upset property owners,” Pietromonaco said.
According to Pietromonaco, HRP Properties owns about 3.5 million square acres of commercial property in Kent and the valley.
Jim Berrios, owner of the Golden Steer restaurant on East Hill, was another business owner with pointed questions about the tax bill he received and the funds kept by the city.
Berrios stated in an interview prior to the meeting he leases the property for his restaurant, but pays the property taxes on his portion of the Benson Center where the restaurant is located.
According to Berrios, when he and his wife saw the large jump in the tax bill for the restaurant he began asking questions.
Schneider described for the gathering the economic difficulties the fire service has faced over the past decade, particularly since the beginning of the Great Recession in 2008.
Schneider noted the population of Kent has increased, the calls for service have gone up and travel time for emergency vehicles has increased.
Because of the increases in population and calls for service and the drop in revenue due to falling values of property during the recession, the fire authority was proposed to the voters in 2009.
Discussing the fire benefit charge, Schneider said, “We are not interested in grabbing a lot of money. We just want to stabilize.”
The chief said as property values increase and construction picks up he anticipates the fire benefit charge could lower.
Schneider also told the gathering the fire authority will begin a re-evaluation of the risk factor portion of the fire benefit equation.
During the discussion Schneider addressed rumors he heard floating through the community including that the fire authority had hired 20 new staff. The chief said four were hired mainly for positions previously provided by the city of Kent.
Schneider also noted the fire authority has had a nearly 27 percent increase in health care costs this year.
City officials agree a portion of the property tax money collected that would have operated a city fire department was directed to the general fund.
Council President Jamie Perry said at the meeting the money went to the general fund to maintain essential city services. She also stated at all the public meetings prior to the regional fire authority vote it was always made clear to the public a fire benefit charge would be assessed.
She stated at the public meetings the question was always asked, “Is this going to cost me more money, and the answer was always yes.”
City Councilman Ron Harmon said, “We knew the money was there and we chose not to give it back…. As far as I’m concerned the city’s budget was balanced on the back of the RFA (regional fire authority).”
Harmon stated he raised the issue at the Sept. 21, 2010 Council meeting, but there was not enough votes to pass that issue.
The budget was passed in December 2010 on a 5-2 vote with Perry and Deborah Ranniger voting against it.
Berrios said at Tuesday’s meeting he didn’t believe it was right for the city to keep the money “instead of giving it back. (But) what I’m fighting for is the next five years. I’m pushing for the Council to not take the tax for the next five years.”
Berrios is a member of the Kent School District Board of Directors and ran for mayor of Kent in 2009, losing to Cooke.
Berrios stated this is not a political issue for him.
“Credibility is important to me,” Berrios said. “Why not consider giving the money back to offset the fire benefit charge?”
Harmon and Councilwoman Debbie Raplee indicated they would consider reductions in the tax during deliberations for the 2012 budget.
Perry said she felt the city would need the money to provide essential services.
The city’s budget is initially written and proposed by the administration, but is approved by the Council.
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