During its most recent meeting, the Vineyard City Council voted to set a truth-in-taxation hearing to consider a property tax increase. The hearing will be held in August.

The proposal would set the certified tax rate to .003369 up from .002842 in 2023. For a home valued at $559,000, that would add about $164 per year or about $13 a month.

Laura Lewis, a financial advisor for Vineyard, said that as inflation continues to increase, the tax rate will decrease over time as the rate adjusts each year to generate the same revenue.

Kristie Bayles, city finance director, said the increase is needed to offset additional public safety costs as the city continues to grow.

About $730,000 more was needed for the fire department and $434,000 for police, Bayles said while presenting to the council. There also was a 6% increase in employee health insurance and cost of living adjustments for employee and elected officials’ pay.

“If we do not do a tax increase and use the general fund to fund the difference that’s needed for public safety, it will take our general fund balance down to 11% and that is not an acceptable level,” Bayles said.

Vineyard does not have its own fire or police department. Rather, the city contracts with the Utah County Sheriff’s Office and Orem City Fire Department to offer those services.

Even with the tax increase, Bayles said it still won’t completely cover all public safety costs, with about 30% still needing to be covered, but an estimated increase in sales tax and building permit revenue is expected to cover that amount.

Bayles said they have estimated a 5% increase in sales tax revenue and 26% increase in revenue from building permits, which was attributed to the city’s continued growth.

Vineyard is in the process of building a firehouse in the city, which will house firefighters from Orem’s department as a way to increase response times in the city. That firehouse is planned to be a temporary solution for about five to 10 years, after which the city plans to convert the current City Hall into a fire and police department and build a new City Hall.

Lt. Holden Rockwell, with the county sheriff’s office, addressed the council Wednesday night, saying that as the city grows, he has to continue assigning deputies to the area.

“The priority that we received from you over the years and different councils has been to be a proactive police department and keep our response times low and provide a high level of service,” Rockwell said. “And in order to do so, pretty much every year, I have to add new deputies, because we grow and our demographics change.”

Rockwell said he would be adding another deputy in July and another in January. He also added that Vineyard has fallen below the standard response times for officers, which he said should be within five minutes.

During the council discussion on the budget, Councilmember Jacob Holdaway questioned the need to increase taxes, stating the city should explore cutting costs elsewhere, specifically noting funds spent on Employee Appreciation Week and the city’s partnership with World Trade Center Utah. Holdaway voted against approving the budget and setting a public hearing for the proposed tax rate.

Councilmember Mardi Sifuentes said she saw Holdaway’s concern but said they have already cut items, such as denying requests for new staff from various city departments. She also added that looking to cut capital projects to fund day-to-day operations like public safety is not sustainable for the budget.

“I see the concern,” she said. “It’s not like it’s not a noble cause trying to save the residents money. I understand that. I look at the budget, I feel like we have made adjustments.”

While reviewing capital projects in the city, Councilmember Sara Cameron asked the council to consider hosting a town hall meeting specifically to show residents what projects the city is working on and provide transparency on what is being spent.

The truth-in-taxation hearing, which is required by state law, is scheduled for 6 p.m. Aug. 14 at City Hall, 125 S. Main St.