Property tax revenue is set to increase throughout the state as county assessors report significant increases in the assessed values of properties.
July 1 was the deadline for assessors to complete their assessment rolls indicating the value of locally assessed properties on the January 1 lien date. While many assessors have been granted 30-day deadline extensions by the State Board of Equalization, several larger counties reported their data in the past week.
Santa Clara County Assessor Larry Stone reported that property values in his county increased 6.7 percent this year to establish a new record of $661.2 billion. This follows a 7.5 percent increase in 2022 and a 4.6 percent increase in 2021.
However, Stone warned that “high mortgage interest rates and inflation have reduced consumer buying power,” and that with residential sales volume down 20 percent and office vacancy increasing, “the volatile and unpredictable nature of Santa Clara County real estate causes us to question the future of property values.”
Contra Costa County Assessor Gus Kramer reported that his county also established a new record for assessed value.
“The increase to the local tax base for 2023-2024 is over $14.96 billion,” Kramer wrote in a letter to the county Board of Supervisors. “This represents a 5.94 percent increase in assessed value and brings the total net local assessment roll to more than $266.67 billion. The 2023-2024 assessment roll is the highest to date in Contra Costa County’s history.”
The assessment roll consists of 379,442 parcels, an increase of 1,202 from the previous year, Kramer said.
In other counties, in alphabetical order:
Alameda County Assessor Phong La reported a roll value of $414.8 billion, 7.27 percent above last year. The 2023 roll consists of approximately 470,046 real estate parcels and 58,424 business personal property accounts.
Fresno County Assessor Paul Dictos reported assessment roll growth of 7 percent from the previous year.
Orange County Assessor Claude Parrish reported a $767.5 billion roll, up 6.41 percent from the prior year. “Each of Orange County’s 34 cities except the unincorporated areas had a year-to-year increase in net taxable value,” the Assessor’s Office stated. “Value changes are reflecting the Orange County real estate markets that show continued appreciation in property values this year and the restoration of values previously reduced under Proposition 8 decline in market value provisions.”
Sacramento County Assessor Christina Wynn announced that the annual assessment roll topped $232 billion, a 7.43 percent increase over last year.
“The 2023-24 assessment roll will generate approximately $2.2 billion in 1 percent gross ad valorem property tax revenue,” Wynn said. “This year’s roll growth will yield an additional $150 million in gross revenue over last year. Property tax revenue funds over 175 local government agencies, including schools, special districts such as fire, park, and community service districts, as well as cities, and redevelopment agencies and is one of the largest sources of discretionary revenue for Sacramento County’s General Fund.”
San Bernardino County Assessor Chris Wilhite reported a record-high $316.6 roll, up 9.7 percent from last year. “For the eleventh year in a row, San Bernardino County has seen a steady increase in our region’s property values,” Wilhite said. The city of Ontario has the highest assessed value at $40 billion, followed by Rancho Cucamonga at $34 billion and Fontana at $30 billion.
San Mateo County Assessor Mark Church reported a 6.87 percent increase in the roll, with the city of Brisbane leading the way with the largest percentage change, at 17.34 percent.
Santa Barbara County Assessor Joseph Holland reported growth of 6.4 percent.
Sonoma County Assessor Deva Marie Proto said the county net assessment roll has hit an all-time high of $114.5 billion, which represents an increase of 5.68 percent over last year. The increase “can be attributed to Sonoma County’s strong residential market combined with the 2 percent increase to the Consumer Price Index,” the Assessor’s Office stated.
Tulare County Assessor Tara Freitas reported growth of 6.7 percent. “The increase reflects a steady volume of sale transactions, new construction projects, and continued market value increases in Tulare County’s residential and commercial markets,” the assessor stated. “Most of the roll growth resulted from new base-year values established at current market levels for properties that changed ownership or experienced new construction.”
Yolo County Assessor Jesse Salinas reported that his county’s roll reached $36.1 billion, a 6.87 percent increase over the prior year. This is the 11th consecutive year of growth, Salinas said. The year’s growth “is most notably due to a strong ongoing demand for single-family housing as well as a strong market growth in the industrial properties throughout the county,” the assessor added.