Originally Posted by
Locke09
Detroit's FY 2010/11 budget is 2.9 billion, but that includes both general and enterprise funds.
Taxes [[Property, Income, Casino Wagering and Utility Users Excise Tax) account for approximately 27% of the total revenue for that budget - about 772 million. Of that 772 million, only 220 million is from property tax [[7.54% of total revenue). Note: The City expects to bill 257 million, but only collect 220 million bc of delinquencies and adjustments. 215 million is projected from Income Tax [[7.39%). So the City projects 435 million from property and income tax, approximately 15% of total revenues, 25% if you exclude the enterprise fund revenue.
Of the approximately 83 mills the City residents pay for property tax [[less for homestead properties), only 20 mills go towards City operations. The rest goes to Wayne County [[14% including summer and winter taxes), Schools and education [[37% including school bond debt) libraries [[5%) and debt [[7%).
So, what would be a significant reduction in property taxes, for instance? 10%? The entire 10% would have to come out of the City's portion for operating [[unless Wayne County is going to give up some of its portion or the State is going to ask for less for the schools or we are going to default on some debt bond obligations). The City would therefore lose 40% of its property tax revenue [[about 8 mills) to save us about 10% on our taxes.