Phoenix city leaders have decided to wait two years before deciding whether to increase a city property tax rate.
The City Council on Tuesday voted to keep the current fixed combined property-tax rate, which is $1.82 per $100 of assessed valuation and has stayed the same for 14 years now.
If the property values problem persists in two years, the council will either vote to change Phoenix’s secondary tax rate, change the primary tax rate or to use the city’s general fund to cover debt payments.
The city also voted to delay $200 million in bond projects, refinance some debt and to closely monitor the situation.
Before Tuesday’s compromise, Phoenix leaders were expected to approve a property-tax hike to help pay the city’s $150 million annual projected debt.