Monticello City Council discusses the process of raising taxes

by David Boyle
News Director
Monticello City Council members spoke about tax rates, city owned streets and approved a contract to move donated solar panels to Bluff in their latest meeting.
Members of the Monticello City Council continued conversations about taxes and the process for raising them in the city at their August 13 meeting.
As part of the conversation, Mayor Bayley Hedglin explained why she wanted to visit about taxes and the process of raising them.
Hedglin explained that in all of her years on the council and as mayor, the city has always approved the state certified tax rate.
“We’ve never in my history discussed where we’re at, what we charge and what we could raise if we wanted to,” said the Mayor.
Hedglin also explained that the council is often approached by citizens asking about amenities, including a year-round pool or a recreation center, with the city discussion item explaining that process would inevitably include an increase in taxes.
In the report, City Manager Kaeden Kulow shared property tax rates in Monticello going back more than 25 years.
Each year, the state gives the city a certified tax rate which, if adopted, would keep the revenue the same as was budgeted in the previous year.
In order to raise property taxes in Utah, an entity must go through the ‘truth in taxation’ process, which includes advertisement and running a public hearing.
Kulow explained, “If we want to go down the road of raising this, we would need to do multiple hearings, explaining why we need the money, and what we would do with it.”
Looking at the previous year, the city had a nearly 95 percent collection rate, with taxes charged minus relief and in addition to other revenues and collection totaled to $318,919 in 2023.
The city also reviewed transactional taxes, including sales and use tax rates, transient room tax and others as shared by Kulow.
“Looking over all of our taxes there’s not much we can adjust when it comes to sales tax.
“In my opinion of looking at everything there’s not a need to do anything. Just understand what we’re charging and how it’s coming back to us as a city.”
Hedglin concluded by saying that the city isn’t at a point where they would take on any new big projects that would require additional funding.
”When people come and ask us why we don’t have things, we run a very tight ship here and I’m proud of us for what we’ve done financially.
“We’re getting to the point to do some extra fun things but let’s get what we have shining first”
At the meeting, the Monticello City Council also approved an agreement to finalize the transfer of solar panels to the town of Bluff.
Kulow explained that the document before the council removed liability for the state of the donated solar panels.
The City of Monticello received the solar panel donation from AES for a project that was not approved by the council. After a split vote, the council voted to return the panels, before the Town of Bluff asked to receive the donation instead, which was approved by all parties.
Members of the council approved the liability contract for the transfer of solar panels to Bluff.
Members of the Monticello City Council also held a public hearing without making a decision on the continuation of 300 South past 200 West.
Assistant City Manager Megan Gallegos explained that the city had believed that it owned a piece of property that would act as an eventual extension of 300 South past 200 West into a current empty lot.
The issue was raised by two property owners who wish to develop lots in the area. 
A survey by County Surveyor Brad Bunker revealed that the city did not own the property and a title search by Anderson and Oliver title revealed it was owned by a Maggie Johnson in 1917. 
The public hearing was held for the city to consider if it would want to try to get the property to create a new road or declare they don’t have interest in the property.
Members of the council did not make a decision as part of the public hearing but indicated they would at their next city council meeting.
At the meeting, city administrative staff noted that this issue hasn’t been the only time that staff has dealt with four incidents in the last year as multiple streets within the City of Monticello have not been officially deeded to the city. 
City staff explained that they would save time down the road if they could slowly take on these issues to make sure long-maintained established city streets are, in fact, owned by the city.
Council and staff noted that changing the language in city code to include prescriptive easements, which includes long-standing public right of ways, could make things easier for city staff working with the public on the roads that aren’t technically deeded to the city as of right now.