>Chandler City Council passed $ $8.357 million budget, no tax increases

> Chandler City Council passes $8.357 million budget, no tax increases On Thursday the Chandler City Council unanimously approved $8.357 million for 2…

Chandler City Council passes $8.357 million budget, no tax increases The Chandler City Council on Thursday unanimously approved an $8.357 million budget for the 2012-13 fiscal year, beginning July 1. The budget does not include an increase in property tax rates or water rates, a bill that many council members praised. Chandler's primary property tax rate remains $0.3292 per $100 of assessed value, and its secondary rate remains $0.9422 per $100 of assessed value. The budget does not include library and swimming lessons, which were included in the original draft. Chandler staff had proposed that in early May, residents pay $2 an hour to use the city's library study rooms. Staff has also proposed a $1 increase in the cost of conducting ownership training throughout the city. Following the council's recommendation, these fees were removed. "This has been a long process, but Chandler residents should be proud. Over the past year, we have been able to find a solution," said Councilman Rick. "This is not the budget of a few years ago, it's a very grim budget." While a nearly 25 percent increase from this fiscal year, the city's budget reflects at least $1.81 million related to Intel's $5 billion expansion project. Chandler's 2011-12 fiscal year budget is $6.765 million. Intel will reimburse the city for most of the project money — namely a $164 million expansion of the airport's water reclamation facility — that must be allocated in the budget. City taxes are approximately 12 to 13% property tax. The rest goes to Maricopa County, school districts and special tax districts, said Gregg, the city budget manager. Because property tax rates will remain the same but property values ​​have generally declined, the amount the city collects from property taxes will decrease each year, including in fiscal year 2012-13. The current budget will include expected losses in other areas. Chandler is scheduled to pass the property tax levy into the budget on June 28. The 2012-13 budget allows for early repayment of $847.5 million in Series 2003 bonds, which will avoid future inability to pay off principal and interest on the city's debt. "I'm glad (Chandler) was able to buy some of our debt," Councilman Kevin said. Deputy Mayor Jeff also praised the move and said he hopes future councils will reach a point where they can't always borrow money to pay for these projects. The newly approved budget also increases a city reserve fund to maintain infrastructure by about $346,000. Officials estimate the reserve will support about five years of maintenance capital projects, namely repaving streets and maintaining parks. The reserve fund is a new program to offset the decline in property tax values ​​and cover bonds that cannot be sold.