Township Assessor

Inflation Rate Multiplier 2023 Bulletin

Below is the summary of proposal A that created taxable value which is used to calculate our annual taxable value:

Proposal A passed by the voters on March 15, 1994, places additional and profound limits on values used to compute property taxes. Prior to Proposal A, taxes were calculated using “State Equalized Value” (S.E.V.) which keeps pace with market value regardless of ownership change.  Starting in 1995, property taxes are calculated annually using “taxable” value, capped by the consumer price index or 5% whichever is less, until a property transfers ownership.  The year following that transfer of ownership, the taxable value is then uncapped at the current years assessed value at that time and then recaps to meet the guidelines of Proposal A. (Also to note that any new “additions” and or “losses” to a parcel are calculated in taxable value calcs as well.)

Attached is the annual State of Michigan Bulletin that issues the set consumer price index (CPI) also known as the inflation rate multiplier.  This state bulletin is issued each year by the State.

**Property tax bills are calculated by multiplying the current years taxable value by the State of Michigan’s set consumer price index (CPI)

Also, to note:  the assessing department does not have any control over approved and or passed millage rates that are used to establish the actual tax billing calculated amounts.  Proposed Millage rate proposals are placed on election ballots and are voted on and approved/denied by voter majority until the set date passed for expiration.