The real estate market here—and particularly in Montecito—has been through the roof ever since the Covid pandemic, with many properties selling for the first time in decades. Has the county reaped a huge increase in property taxes as a result? —D.
Every time a property sells for an astronomical amount, such as 120 Montecito Ranch Lane (above), someone asks a version of this question. But getting an answer has always flummoxed me, and I hit wall after wall, with the exception of an aide who directed me toward the county board of supervisors’ budget workshops last April. I watched a fair bit of the proceedings and then, losing the will to live, I told my husband that I was throwing in the towel. “Why don’t you just ask AI?” he said. It was a pointed question, because he knows full well that I dislike and distrust AI, and I’ve refused to engage with it even when it would probably be easier than doing the research myself. But I gave in (and made him do it).
Claude’s summary
1. Property tax revenue in Santa Barbara County is up about 37% over the past six years. Annual revenue from FY2019-20 to FY2025-26 rose from $861 million to about $1.18 billion, an increase of roughly $317 million. That’s an average annual increase of 5.4% vs around 4.9% pre COVID.
2. After inflation, the gain is smaller. Prices rose about 26% over the same period, so the real increase is only about 8.5%.
3. Total assessed property value county-wide rose about a third. It went from $88.1 billion in FY19-20 to $116.7 billion in FY24-25. The Auditor’s figures point to about $122 billion for FY26-27.
4. Home sales are the main driver. Homes are reassessed to market value when they sell, and modeling this suggests those step-ups now bring in about $255 million a year (about $288 million projected for FY26-27). That adds up to about $1.2 billion over ten years. These are estimates; exact figures would need a records request to the Assessor.
5. Schools got the largest share of the increase. Schools and colleges gained about $166 million, the county $90 million, special districts $42 million and cities $34 million.
6. Most school districts didn’t actually gain. For most districts, the extra property tax just reduced the state Local Control Funding Formula aid they receive. The real winners were the basic-aid South Coast districts (SBUSD, Goleta Union, Montecito, Hope, Cold Spring), which kept about $84 million.
And here’s the full rundown, if you’re interested—naturally, you have to take the specifics with a grain of salt. And while Claude insists that the “$317M a year” in the first sentence below makes sense, it’s clearly cumulative.
Is there a question you’d like investigated? Email [email protected] or text 917-209-6473.
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Previous Burning Questions:
••• What’s the story with the old building near the train tracks in Montecito?
••• Hermosillo Road’s history, Hank Pitcher’s mosaic benches, missing Chase Palm Park plaque, and more.
••• What are these signs at the San Ysidro roundabout?
••• Can anything be done about biting midges?
••• How come the Gaviota rest areas are closed so often?
••• Why is the Cliff Drive overlook closed?
••• Who installed this security camera in Montecito?
••• Why are the railroad tracks being expanded along Padaro Lane?
••• Will you explain the plan to adapt the waterfront for climate change?
••• Why did the Rosewood Miramar Beach install gates?
••• How long will this big pipe be at East Beach?
••• Is Cabrillo Boulevard going to be widened under Highway 101?
••• Was there a Fisherman Inn in downtown Santa Barbara?
↓↓↓ What are those old buildings at the corner of Castillo and Montecito streets?
••• What’s this scaffold structure on Las Positas Road?
••• Why does street striping take so long to happen?
••• Why do rocket launches look the way they do?
••• How is the San Ysidro Debris Basin designed to work?
••• What’s this building on Helena Avenue?
••• What are those old pilings in Arroyo Burro Creek?
••• What’s this building under construction in Toro Canyon?
••• What’s the story behind the seal of the City of Santa Barbara?
••• Butterfly Beach steps, green power lines, SBAG license plates, and more
••• What’s this pole with a flashing blue light?
••• What are these sculptures on the Riviera?
••• What’s the origin story of this fence on Hot Springs Road?
••• Why is part of this West Beach mosaic covered in concrete?
••• What was the Weeping Willow Inn?
••• What does the “S” on certain chimneys stand for?
••• What’s the status of the decommissioning of Rincon Island?
••• What happened to the gas flame on Highway 101?
••• What do we know about the proposed apartment complex at 1 Hot Springs Road?
••• What’s the history of this tower on Ortega Ridge?
••• What’s up with these sculptures on a hillside in Summerland?
••• Is there a master plan for the new walking paths in Montecito?
••• Why are the Thousand Steps still wet?
••• What’s happening with Sola Street?
••• Why is this lot on Milpas Street still vacant?
••• Where else do cruise ships that visit here go?
••• What is this large memorial in Ennisbrook?
••• Who bought the former St. Mary’s seminary—and why?
••• What will happen to the SBPD building when the new building is completed?
••• What’s the story with this house on W. Cota Street?
••• What are those little houses on Santa Barbara Street?
••• What’s the point of this light pole near the freeway?
••• What’s inside Paseo Nuevo’s State Street tower?
••• What’s the point of these markings on Laguna Street?
••• Why is there a giant red shoe off Highway 101?
••• What’s up with the “no e-bike” signs on local trails?
••• Why is Franceschi House in a holding pattern?
••• What’s happening with this derelict house in Summerland?
••• Can you explain how sundowner winds work?
••• Why is there a pressure cooker attached to this utility pole?
••• What’s this concrete ramp thing on East Beach?
••• Why does “USA” get written on the street?
••• What are those poles in the ocean near the Ritz-Carlton Bacara?
••• Are people really allowed to set fires in the middle of Montecito?
••• What’s the story with the half-finished lot next to the Montecito Country Mart?
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