by Mindy Aguon
Guam - The Department of Revenue & Taxation is hoping it can conduct a real property tax assessment before the end of the year. The governor mentioned such an evaluation would be necessary to determine the government's borrowing debt ceiling as the administration is hoping to borrow money to pay tax refunds.
Rev & Tax Director John Camacho says the last assessment was done almost two decades ago and the agency is looking to implement new software that will help provide more accurate figures. Camacho says if the government wants to go out and borrow more money it will need to increase the island's assessment value for real property.
He explained, "I'm not too sure where the ceiling is right now or what the borrowing capacity is right now but if the borrowing capacity, let's say for example we only have $100 million or $150 million, then something has to happen. We need to increase that 10% debt ceiling by doing a revaluation and hopefully the value would increase."
Camacho says the software, once fully operational, will help assess real property values on the island, which he says will save the government money as doing an appraisal could cost $3-$4 million.