Berkeley Lake OKs tax increase

Berkeley Lake approved a 33-percent tax rate hike on Monday night to help pay for repairs to the city's flood-battered dam.

The City Council, by a 5-0 vote, raised the tax rate from 3.687 to 4.9 mills after more than an hour of public debate. The increase equals an additional $242 tax on a $200,000 home and will provide an annual boost of $117,000 to the city.

"Raise our taxes, fix our dam and save our lake," June Spruell implored before a packed crowed of more than 80 residents at City Hall.

Not everyone agreed. Some residents opposed the flat tax rate. Instead, they lobbied for a tiered-tax system in which residents closer to the lake paid more than those in the outlying subdivisions.

For months, the tax increase has driven a wedge between lakefront homeowners and residents in the outlying subdivisions. People on the waterfront mostly have favored the tax increase. They said the dam should be fixed quickly so the 88-acre lake it contains can return to full pool and diminish the loss in property values and recreation.

But homeowners who don't border the lake have bristled at the tax hike. They have opposed paying for dam repairs because they don't reap the full benefits of the lake. They have to shell out $250 per year just to use the private body of water.

After Monday's vote, the city approved a resolution for an independent institution to study a tiered-tax structure.