San Mateo County is pulling in a record property tax haul, collecting $4.1 billion in combined revenue for fiscal year 2024-25, a roughly 6 percent jump that translates into about $238 million more for local governments. The money, which helps keep schools open, lights on in city halls, and services running countywide, comes from the controller’s annual property tax accounting.
Countywide Revenue Up 6 Percent
According to SFGATE, total property tax collections climbed 6 percent in 2024-25, rising by about $238 million after bringing in $3.9 billion the previous year. The Bay City News Service report, carried on SFGATE, walks through highlights from the county controller’s latest breakdown, which was released Friday.
How The Money Is Split
County Controller Juan Raigoza, in a press release from San Mateo County, said, "It's important that we provide taxpayers and residents visibility into the local tax dollars they pay and where those local dollars go." Of the countywide 1 percent general tax, about 51 percent is routed to school districts, roughly 25 percent to the county itself, 16 percent to cities, 7 percent to special districts and 1 percent to successor agencies of former redevelopment agencies.
What's In That $4.1 Billion
The $4.1 billion total is driven largely by the 1 percent general property tax, which brought in about $3.3 billion. On top of that, special charges added roughly $438 million and debt-service levies contributed about $399 million, as reported by SFGATE. Collections are still growing, but the 6 percent increase this year trails the previous year’s 8 percent rise.
A State Shortfall That Matters Locally
The controller’s report also puts a spotlight on a lingering state-level headache known as the Vehicle License Fee Adjustment Amount, or VLFAA. The county flagged a $119 million VLFAA shortfall for 2024-25, a projected $163 million gap for 2025-26, and about $38 million still owed from the state for 2023-24, according to San Mateo County. Local officials say those missing dollars make budgeting harder for cities and the county, since VLFAA payments were supposed to replace funds lost when the state swapped vehicle license fees for property tax revenue years ago.
Assessed Values And What Drove Growth
The tax take is built on the assessor’s roll, which climbed to about $325.5 billion for the 2024-25 assessment year, a 5.75 percent increase. That growth was fueled by steady demand for housing and ongoing commercial projects, including in life sciences, according to the San Mateo County Assessor. The expanding tax base helped push up the 1 percent general tax, even as higher mortgage rates and shifting needs in commercial real estate kept a lid on faster gains.
Local Takeaways
For residents, the bottom line is that more property tax money means more funding for schools, which receive just over half of the general tax revenue. Cities and the county split much of the rest to pay for police and fire services, parks, libraries, and other basics. At the same time, the controller’s report hints at a more complicated future: revenue is rising, but slower growth in assessed values and the unresolved VLFAA shortfalls could make long-term planning trickier for city halls and county officials across San Mateo County.
