After a couple of years of lowered property taxes in Atlantic, circumstances call for an increase for Fiscal Year 2019. City Administrator John Lund spoke of a .47-cent per thousand dollars taxable valuation (or, 2.87%) increase over FY 2018, when he presented the bound, one-inch thick Budget to the Atlantic City Council during their meeting, Wednesday night. He said Atlantic’s tax rate is still much lower than Denison, Harlan, Shenandoah and Red Oak, by comparison. The City ranked 11th among those of comparable size. Creston is lower, at $13.46/$1,000.

According to Lund, in 2015 Atlantic’s tax levy reached an all-time high of $18.00 per $1,000 taxable property valuation. The tax asking was lowered in each of the next two years (2016 $16.79, & 2017 $16.39). In 2018, the levy dropped to $16.39 per thousand. The 2019 proposed levy is $16.86/$1,000. The City’s FY2019 budget proposes an increase of $439,754 (or 3.06%) from the FY 2018 Budget, to $14,789,359.

Lund said he anticipates keeping the tax rate for FY2020 and 2021 unless taxable growth is really weak. He said also, Atlantic will see noticeable losses in collections based in-part on the legislature’s action on the mult-residential and residential property rollback declining, and the lack of a State backfill to offset the loss. Operating and labor costs are expected to increase over the next Fiscal Year and years to come.

An issue with the debt service also factored into the equation.