In a unanimous vote, the council decided Wednesday in favor of the tax increase and budget during its meeting at the city's offices. Thirteen residents attended a short public hearing before the vote.

Earlier this month, about 60 residents attended a hearing where city leaders heard residents' frustrations about the tax increase.

Many residents had said the city should resolve its money problems and not put the burden on folks dealing with their own tight budgets. Others were unhappy that no new city services or amenities would come with the tax increase.

Under the current tax rate, owners of a home valued at $250,000 pay $10.69 a month in property tax. Their monthly bill would increase to $23.13 - a $12.44 increase, said City Manager Ken Leetham.

The city's 2007-08 operating budget is $7.7 million, $1.5 more than the coming year's approved budget.

Officials earlier this summer had proposed to raise taxes by 200 percent because of a loss of new-growth revenue, such as building permits.

To cut costs, the city eliminated 18 positions, froze wages, required employees to pay more for health insurance and canceled or delayed community celebrations and road projects.

The tax-increase proposal was later dropped to 78 percent to raise roughly $800,000. But then increased to the new rate of 116 percent to generate $1 million, Leetham said.

This was the first time this city on Utah Lake's northwest shore has increased its property-tax rate since its 1997 incorporation.

jsanchez@sltrib.com