While Loretta is a member of the Citizens' Budget Advisory Committee (CBAC), these articles reflect Loretta's personal understanding and do not represent positions of the CBAC.
Colorado Senate Bill 24-233 extended the 2023 adjustments to the actual value and the modified assessment rates into 2024. Colorado House Bill 24B-1001 created property tax limits for certain local governments and a process to waive the limit for all school districts. It also set new assessment rates for future years
In 2024, the formula used remained the same as 2023.
Property Taxes Due = (Assessed Value – any applicable adjustment) x Assessment Rate x Mill Levy
Actual Value: The residential assessed values are to be reduced by up to $55,000 and commercial properties by up to $15,000 per Colorado Senate Bill 22-238 and Colorado Senate Bill 23B-001.
Assessment Rate: The assessment rates vary according to type of property. These are several of the main categories and the associated 2024 assessment rates.
Residential: 6.7%
Agricultural and Renewable Energy: 26.4%
Oil & Gas: 87.5%
All other vacant land, commercial and industrial property types: 27.9%
Before these rates were decreased by the legislature, the residential rate was 7.15% and the commercial rate was 29%. Excruciating detail on the rates for many different property types can be found here.
Mill Levy: The 2024 total Mill Levy for most properties within the city limits of Golden is 90.8060. One mill means $1 per $1000 of value. So, the 90.8060 mill levy appears in the formula as .0908060.
Residential Property Example:
If your residential property is assessed at $750,000, your property tax is:
($750,000 - $55,000) x 6.7% x 0.0908060 = $4,228.38
(Actual Value) x (6.7% Assessment Rate) x (.0908060 Mill Levy)
Commercial Property Example:
If your commercial property is assessed at $750,000, your property tax is:
($750,000 - $30,000) x 27.9% x .0908060 = $18,199.73
(Actual Value) x (27.9% Assessment Rate) x (.0908060 Mill Levy)
Golden does not receive the majority of the property tax paid on properties within the City limits. Where does the money go? That is determined by breaking down the Mill Levy portion of the formula.
Tune in tomorrow to learn more about the Mill levy!
The full "Understanding the Budget" series is available here.
