Most property owners in Rowan County will see a significant hike in their tax bills this
year because of the countys commitment to boost school spending. Despite a 22 percent increase in property
values as a result of revaluation, county commissioners will be hard put to keep the tax
rate below the current rate of 63.75 cents for every $100 of assessed value.
County Manager Tim Russell says
the schools need a $4.3 million increase in the coming year, including $3.1 million as
part of the plan to bring per-pupil spending up to the state average.
Add to the budget required
increases in public assistance, toss in extra courtrooms for an expanding court system,
and theres not much left to work with, Board Chairman Newton
Cohen said.
A revaluation year usually
provides commissioners with political cover to raise taxes without raising the tax rate.
Higher property values mean the tax rate can fall without losing revenue.
But with all the hard pruning he
could do, Russell could bring the proposed tax rate down to only 63.38 cents.
Russells first proposed budget actually called for a post-revaluation *itincrease to
65 cents.
Its safe to say
all five were startled, Russell said, recalling how individual commissioners
reacted when Russell gave them their copies of the budget. It was very obvious
from all board members that they were totally concerned with the tax rate.
Commissioners begin working on the
budget Wednesday, May 26. A public hearing is scheduled for June 7.
At the current rate of 63.75
cents, the owner of a $75,000 home has paid a tax bill of $478.
If that homeowners house
went up by the average amount of around 22.44 percent, his property is now valued at
$91,830. With a tax rate of 63.38 cents, that homeowner would pay $582.02 $104.02
more than last year.
No one should be surprised that
taxes are going up, Russell said.
There shouldnt
be a reason why the public doesnt understand that in order to provide (school
spending) at the state average, it is going to take revenue, Russell said.
The school spending includes $3.1
million to meet the statewide average; about $400,000 to increase teacher supplies; and
another $780,000 to replace funds spent for the schools in 1998-99 from
one-time sources.
But schools arent the only
big-ticket items driving up the budget numbers:
- Public assistance payments are
projected to rise by $805,000. More than half of that increase is going to Medicaid and
foster care programs. Those programs are spending more because of the states
emphasis on improving the quality of life for children.
- The county faces at least $1.5
million in Justice Center improvements, including new district courtrooms. The county will
finance the project over time, but annual payments will still boost the budget.
Cohen was skeptical that people
will remember how strongly they wanted better schools, but said the board will stick by
its commitment.
The same people who
said they want our schools up to the state average, when their taxes go up, they are going
to complain about the taxes, Cohen said. They are going to
remember that a whole lot more than they will remember telling us to raise the
schools. |