Utah County's overall tax rate for 2006 is about 8 percent lower than last year's rate, and property valuations have increased almost 18 percent to $17.3 billion.

County commissioners approved the 2006 tax rates Tuesday. The overall county property tax rate is .00096, down from .00104 in 2005.

If the property tax rate stayed the same as values went up, governments would end up with a lot of surplus money, Utah County commissioner Jerry Grover observed. While some new revenue is needed to pay for the additional services growth demands, governments should avoid windfalls, he said.

"The tax rate should drop as the valuation goes up," Grover said. "You're dropping your tax rate to make up for the growth."

The rates approved Tuesday apply only to property taxes paid to Utah County. Other entities, such as school districts, set their own tax rates.

The new rate is projected to raise $13.7 million in 2006, up from $12.7 million collected in 2005.

A house that is a person's primary residence is taxed at 65 percent of its assessed value.

For example, the taxes on a $200,000 home under the new rate would be $124.80.

Properties such as a second home are taxed at their full value.

In other business, commissioners:

Discussed the addition of Vineyard to the Timpanogos Special Service District, which would provide water and sewer service.

Some details of the proposal still need to be worked out, but district officials said the agreement could be in place by September. Vineyard's impact on the district wouldn't be significant at first, but as the city grows the service district likely will have to expand its capacity to meet demand.

Approved a zoning change that allows sexually oriented businesses to locate in industrial zones in the unincorporated area of Utah County.

Before the change, someone who wanted to open a sexually oriented businesses in the county could do so in any zone, according to a county report.

This story appeared in The Daily Herald on page D4.