SPECIAL SERVICE TAX ON TRAVERSE MOUNTAIN — AND WHY YOU SHOULD CARE
The Traverse Ridge Special Services District (TRSSD) is a residential area entirely within Draper City limits, located on Traverse Mountain. The TRSSD was created to pay for the incremental cost for certain city services.
Property owners within our district pay ordinary property taxes to Draper City for city services including snow removal, street lighting, and road maintenance. We also pay a special service tax to cover the City's incremental costs of providing these services due to a higher elevation than the rest of the City.
Residents have conducted an in-depth review of the City’s annual budgets and financial records pertaining to the Traverse Ridge Special Services District. The findings indicate that the city may be using incorrect or outdated accounting methodologies to calculate incremental costs. The result is that TRSSD property owners are charged more than the total cost-of-services — which amounts to double taxation.
HOW TO ASSESS INCREMENTAL COST
Example: if it costs $10,000 to provide a service outside the district, and it costs $12,000 to provide the same service inside the district, the incremental cost to the district is $2,000.
In this simple example, all Draper City property owners pay the ordinary property tax that funds the $10,000 service. In addition, TRSSD property owners would pay special service tax that funds the $2000 incremental cost to provide the same service at a higher elevation.
The methodology that the City uses to calculate incremental cost is significant because it is the basis for the amount of special service taxes levied on TRSSD taxpayers each year — moreover, correctly calculated costs would prevent double taxation.
Our coalition strives to ensure that the TRSSD is only taxed for the incremental costs associated with regular public services provided by Draper City. We seek improved accountability, transparency and collaboration with the City regarding all matters of our District.
How you can help
By supporting the pursuit for fair taxation, you can help us save millions of dollars.
Please help by writing to city council members, talking to your neighbors, and attending City Council and coalition meetings to learn more about the issues. Further help can be given through donations to offset printing, legal counsel and website costs.
HOW TO FIND THE TRAVERSE RIDGE ASSESSMENT ON YOUR ANNUAL TAX BILL
District property owners are levied for ordinary property taxes in addition to special service district taxes. TRSSD taxes are only intended to cover the incremental cost difference not covered by ordinary property tax. Here is an actual 2013 Utah County tax bill with both ordinary and district taxes. Click for full-scale view.
As of 6/26/14, the City Council revised the 2014-15 rate for assessed values:
Draper City Taxpayers: .001188%
TRSSD Taxpayers: .00298%
On what basis does the city calculate the tax rate for our district?
Fact Check: We provide as many primary sources as possible, including websites and .PDF files when we can't link to a specific document. All Draper City documentation shared here is official public record, available via GRAMA request on the Draper City website. If you find information on this site that isn't factual, please alert us right away. We will verify and amend inaccuracies.