What does a Tax Rate consist of?

In California, Proposition 13 was passed in 1978. It limits the property tax rate to 1% of assessed value, plus any additional ad valorem (based on value) tax rate necessary to fund local voter-approved general obligation bonds and other indebtedness. Therefore, any tax rate you see on your tax bill in addition to the 1% represents a debt or debts approved by the voters.

Prior to Proposition 13, tax rates set to cover an entity’s general obligation bonds and other indebtedness could be passed by a majority vote. Proposition 13 changed this by requiring a two-thirds vote. In the November 2000 election, voters approved Proposition 39 allowing the voting threshold for school general obligation bonds to be lowered to 55%, if the school board so chooses.

Show All Answers

1. What does a Tax Rate consist of?
2. I thought a tax bill couldn’t exceed 1% of the assessed value. Why does my bill exceed 1%?
3. How is the general obligation bond rate calculated?
4. When does the general obligation bond mature?
5. If I’m over 65 or do not have any children, why do I still have to pay the voter-approved general obligation school bonds?
6. My children don’t go to the school listed on my tax bill. Why are these charges on my bill?
7. I live in another county, so why do I have to call Placer County with questions about my tax bill?