ST. LOUIS — Aldermen on Friday gave initial approval to a plan offering older homeowners a break on part of their property taxes.
The bill, from Alderwoman Anne Schweitzer, of Boulevard Heights, would allow seniors to freeze the amount they owe on the city’s portion of their property taxes — roughly 20% of the total levy — when they become eligible for the program.
“This will help seniors keep money in their pockets,†Schweitzer said after the vote. “That’s especially important for seniors on fixed incomes who want to stay in their homes.â€
Schweitzer’s legislation is ºüÀêÊÓƵ’ way of enacting a new state law aimed at helping older Missourians after a run of years when home values — and thus property tax bills — have skyrocketed.
It’s not yet clear how well it will hold up: Legislation in St. Charles and ºüÀêÊÓƵ counties allow seniors to freeze all of their property taxes, including those that help pay for schools, libraries and fire protection. And Dennis Ganahl, co-founder of MO Tax Relief Now, said Friday he and others plan to push state lawmakers next year to counter slimmed-down plans like the city’s.
People are also reading…
But Schweitzer has said she wants to help seniors without hurting city schools and other taxing entities that depend heavily on property tax revenue.
Her proposed program, which is expected to cost the city up to $500,000 per year in the first three years, would take effect in 2024.
It would be open to homeowners 62 or older who are eligible for Social Security and allow them to freeze taxes on a primary residence appraised at $500,000 or less.
That appraisal limit, which exceeds home values for the vast majority of seniors in the city right now, would rise over time with inflation.
Beneficiaries would still pay taxes on what their homes were worth when they entered the program, but they would be exempt from paying on any increased value.
Early estimates indicate the bill would save the average beneficiary between $50-$75 in the first year.
There were no dissenters on the bill Friday. Aldermen Joe Vollmer, of the Hill, Laura Keys, of the O’Fallon neighborhood, and Pam Boyd, of Walnut Park West, abstained from voting because their households could benefit. Alderwomen Sharon Tyus, of Kingsway East, who also said her household could benefit, voted present.
The bill still needs another favorable vote from the full board before it can go to the mayor’s desk for final approval.
The legislation is .