Some locals opening their latest property tax bills were met with sticker shock, but commissioner Harley Masters said any increases are primarily the result of property tax reappraisals.
Previous commissioners didn’t raise the property tax rate for five years, which meant predictable tax bills during that time.
But during that time of predictability, commissioners also approved a salary study, the purchase of property for a new middle school, funding for Mayland Community College’s hotel project and other things. In 2021, officials were forced to use general fund money to balance the budget. Other cuts followed.
“If a county lets their general fund balance get below 8%, the local government commission will come in and set a tax rate of their choosing,” Masters said. “I, for one, do not want that to happen.”
Instead, the commissioners during the most recent round of budget discussions for the next fiscal year cut the tax rate from 58 cents per $100 of valuation to 56 cents. But because many property value evaluations rose, many overall bills did, too.
Property owners were given the chance to appeal the appraisals. Elderly, disabled and veterans can choose a deduction to offset the values, provided they meet the requirements.
North Carolina General Statutes require regular property reappraisals. Said reappraisals must be 100% of market value at that time. Appraisal values are based on all property in the area that has sold recently.
“That means sometimes the value of your home will go up and sometimes it will go down,” Masters said. “The commissioners have no control over how much citizens sold or bought property for, but the fact is that people that bought or sold a house or land for three times the market value is what drove these prices up.”
Area properties are appraised every four years. It used to be eight years before a previous board of commissioners changed it so citizens could avoid potentially large price hikes after eight years. The four-year appraisal cycle is common in the state.
Among its peers in the state, Mitchell County is in the lower third of the tax rate charts. Pender County, for example, has a tax rate of 64.5 cents, good for 42nd out of the 100 counties. Carteret County boats the lowest rate in the state at 33 cents and Scotland County hits residents for $1, making it the most expensive of the state’s counties. The bulk of tax dollars supports essential state-mandated services like EMS, law enforcement, public health, fire departments, schools and social services. Despite inflation, fire departments have kept the same budget for two decades.
Tax dollars aren’t earmarked for the new law enforcement center, new middle school or recreation center. All of those projects are funded through state grants.
The county budget is public record and can be inspected at the Administration Building in Bakersville.
“I advertised budget workshops when we were going through the budget process a few months ago and only two citizens attended,” Masters said. “I can say for a fact that there haven’t been any drastic purchases in the last 20 months with county tax dollars during my time as commissioner.”
Those worried about their ability to pay their tax bill can meet with officials from the tax office to discuss their circumstances.
“If you want to yell at someone, then come yell at the commission board in a live meeting,” Masters said. “The employees at the tax office are only doing their jobs.”