Taxes are calculated based on a rate applied to the value of the property; this is ad valorem tax. The tax rate is a combination of the rates of all the jurisdictions that establish a property tax where a property is located (area code), such as Cochise County, city, school district or special districts such as a fire district tax rate. Arizona has a Primary Tax Rate and a Secondary Tax Rate. Primary taxes are levied to fund the operating expenses of a jurisdiction and the rate is applied to each $100 Assessed Limited Cash Value of a property. Secondary taxes are levied to fund special districts such as fire districts and other voter-approved items, for example, bonds and budget overrides. This rate is applied to each $100 of the Assessed Full Cash Value of a property.