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Guest Essay | Property Taxes: Where Does the Money Go?

Published on Wednesday, September 2, 2026 | 5:36 am
 

Now that the 2026 Assessment Roll has been closed as of June 30 and publicly released with a total net taxable value of $2.272 trillion, I thought it would be helpful again if I broke down approximately where our portion of the money goes.

But first I wanted to give you a brief description of Los Angeles County’s property tax system. Our role is one piece of a complex puzzle and is essential to the overall process. In fact, I often emphasize that the Assessor’s Office is, in many ways, the most important local government office. Other agencies simply cannot do their job until we have done ours. If we miss the mark, potential property tax revenue that should be collected is untapped.

Most of our assessments are made via deeds and permits sent to the County Registrar-Recorder/Clerk. Then, the Auditor-Controller calculates how much money you owe in property taxes. Finally, the Tax Collector sends you the bills and collects payments.

The property tax revenue collected by Los Angeles County is distributed back to local governments, which include cities, schools and community colleges, special districts, and redevelopment agency successor entities. This past year, your property taxes generated more than $27 billion dollars. Here is a look at how those funds are approximately distributed: *

School Districts – About 40%

Funding the public school system accounts for a significant percentage of money from local property taxes. Although both the federal and state governments kick in to help foot the nation’s education bill, local school districts still rely heavily on property taxes for financial support.

Unincorporated Areas – About 24 %

Communities that belong to the County but are not part of a city and therefore the County Board of Supervisors serve as city council and the Supervisor representing the area serves as mayor. County Departments provide the municipal services.

Incorporated Cities – About 15%

Los Angeles County has 88 incorporated cities, each with their own elected mayor and city councils.

Successor Agencies – About 14%

Manage redevelopment projects, make payments on enforceable obligations, and dispose of redevelopment assets and properties. Each Successor Agency has an Oversight Board that supervises its work. In Los Angeles County there are five Oversight Boards organized by Supervisorial Districts.

Special Districts – About 7%

Agencies that provide services to local communities such as libraries, sanitation, water, cemetery, etc.

Some other breakouts:

Safety

Property taxes also pay for the salaries and supplies of public safety, firefighters and emergency medical technicians, or EMTs.

Spaces

Like to jog, bike and hike in your off-hours? Unless funded by the state, private donors or the U.S. Government, public parks and recreation facilities are usually built and maintained with property tax revenue.

Streets

Money from property taxes goes toward maintaining most of the nation’s public streets and roadways. Property taxes also pay for routine maintenance that ensures public safety on the roads. Maintenance includes making the necessary streetlight and traffic light repairs within a county or city limits. Although general maintenance also includes street cleaning and patching potholes, tax dollars also are used to make improvements.

*These percentages are approximate and change slightly each year based on property values and apportionment formula. For more on apportionment, contact the Auditor-Controller at auditor.lacounty.gov.

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