TO: Board of Supervisors
FROM: Tracy A. Schulze - Auditor-Controller
REPORT BY: Jobina Toh - Assistant Auditor-Controller
SUBJECT: Adopt a Resolution Correcting the Tax Rates for the Fiscal Year 2025-26 Secured Tax Roll
RECOMMENDATION
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Adopt a Resolution correcting the tax rates for the fiscal year 2025-26 secured tax roll. (Fiscal Impact: Revenue; County General Fund, Library Fund and Fire Fund, all County Taxing Jurisdictions including Special Districts, and County School Districts; Budgeted; Mandatory)
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BACKGROUND
This item is specifically exempt from the voting requirements of Article XIIIC of the California Constitution because it is an assessment or property related fee imposed in accordance with the provisions of Article XIIID.
In California, the property tax rates must be adopted on or before October 3 of each year, pursuant to Government Code Section 29100. Please see the attachment for the Resolution detailing the specific tax rates for fiscal year 2025-26. As established by Proposition 13, the limit on property tax is 1% ($1.00 per $100) of the assessed value for local and state assessed property. Additional tax rates are established on an annual basis for voter approved debt and other initiatives if applicable. Any additional City/Town specific rates or rates affecting overlapping school districts outside of the County are adopted by a separate resolution by the jurisdiction’s Governing Board.
On September 9, 2025, your Board adopted tax rates for Napa County fiscal year 2025-26, by Resolution No. 2025-90. The item before you today corrects three individual tax rates for school bond issuances that were incorrectly calculated due to a formula error. The rates for school bonds are to be calculated to ensure tax revenues cover the debt service payments during the fiscal year. The error resulted in an under-collection of revenues, and therefore, would not have satisfied the annual debt service requirement.
The corrections are as follows:
Calistoga Joint Unified School District, 2022 Bond: Original at 0.0254, Corrected at 0.0309
Napa Valley Unified School District, 2022 SFID2 Bond: Original at 0.0139, Corrected at 0.0217
Napa Valley Unified School District, SFID1 Bond: Original at 0.0113, Corrected at 0.0204
Requested Action: Adopt a Resolution correcting the tax rates for the fiscal year 2025-26 secured tax roll.
FISCAL IMPACT
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Is there a Fiscal Impact? |
Yes |
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Is it currently budgeted? |
Yes |
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Where is it budgeted? |
General Fund, Library Fund and Fire Fund; Special Districts and County School Districts |
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Is it Mandatory or Discretionary? |
Mandatory |
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Is the general fund affected? |
Yes |
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Future fiscal impact: |
California statute requires the Board of Supervisors to approve tax rates annually. |
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Consequences if not approved: |
The County would be in violation of California Government Code Section 29100 which would impair the County’s ability to collect secured property taxes and pay voter approved debt obligations. |
ENVIRONMENTAL IMPACT
ENVIRONMENTAL DETERMINATION: The proposed action is not a project as defined by 14 California
Code of Regulations 15378 (State CEQA Guidelines) and therefore CEQA is not applicable.