Los Angeles County Tax Revenue Could Suffer With Property Value Drop

Los Angeles (AP) - Falling real estate values mean lower property tax revenues and the likelihood of a round of belt-tightening in Los Angeles County over the next two years.

County officials anticipate a 2 to 5 percent increase in property tax collections next year, which compares to 9 percent this year, as the housing market cools.

County Chief Executive Officer Bill Fujioka says he’s preparing a report on the potential effects on the county budget as the first property tax checks start rolling in with the Dec. 10 deadline.

In the past five years, Los Angeles County property tax revenues nearly doubled to $4.6 billion, helping to boost the county budget to $21.8 billion.