What does equalized valuation represent in a municipality?

Equalized valuation represents the true value of all taxable property in a municipality. This concept is crucial for ensuring fair and equitable property taxation. Equalized valuation takes into account various assessment practices across different areas, adjusting for disparities in property assessments to determine a standard value that reflects the actual market value of properties.

This adjusted figure allows municipalities to compare property values accurately and ensure that taxes are levied based on an equitable assessment of property values. By using equalized valuation, municipalities can distribute tax burdens fairly among property owners, ensuring that each property contributes its fair share to local revenues, which supports public services and infrastructure.

In contrast, the other options focus on aspects that do not encapsulate the true purpose or function of equalized valuation. Future revenue predictions and projected service costs pertain to budget planning but do not define equalized valuation's role. Similarly, although the total assessed value of real estate is an important figure for municipal finance, it does not account for adjustments made for equalization, which are critical for determining the true value across parcels of property.