What criteria are used for identifying the maximum authorized rate of taxation on new bases?

The maximum authorized rate of taxation on new bases is fundamentally tied to the estimated gross revenue from the prior base. This criterion ensures that the taxation rate remains consistent with past revenue levels, facilitating stability and predictability in tax collection. By considering the previous revenue generated, assessors can establish reasonable limits that reflect the current economic environment and ensure local governments have sufficient funding.

In this context, projected population growth, market trends, and state fiscal policy adjustments can provide background information and influence overall taxation strategies; however, they do not directly determine the maximum authorized rate of taxation in the same way that the revenue from the prior base does. The continuity in relying on established revenue models helps to maintain taxpayer confidence and ensures that the system does not overreach in taxing new properties based on potentially volatile or speculative factors.