Public Hearings on Tax Increase

UPDATE 8/25/2014: Watch the Video Here: Commissioner Ben Hasan and Mayor Deke Copenhaver made possible the increase on the property tax for Richmond County.
UPDATE 8/19/2014: AUGUSTA, GA (PR) - The Tax Commissioner is running out of time to send the bills for property tax, but the Augusta Richmond County Commission failed to pass the tax increase. The board will try again Monday at 1:30 pm. The Commission must balance the budget.

The Augusta Richmond County Board of Commissioners has tentatively adopted a millage rate which will require an increase in property taxes by 21.77%. All concerned citizens are invited to the public hearings on this tax increase to be held at the Warren Road Community Center Gymnasium, 300 Warren Road, Augusta, GA on August, 11, 2014 at 10:00 am and at the Henry H. Brigham Senior Citizens Center, 2463 Golden Camp Road, Augusta, GA on August 11, 2014 at 6:00 pm.

Times and places of additional public hearings on the tax increase are at the Lee Beard Commission Chambers, Municipal Building 530 Greene Street, Augusta, Georgia on August 19, 2014 at 1:30 pm.

This tentative increase will result in a millage rate of 9.788 mills, an increase of 1.75 mills. Without this tentative tax increase, the millage rate will be no more than 8.038 mills. The proposed tax increase for a home with a fair market value of $100,000 is approximately $61.25 and the proposed tax increase for non-homestead property with a fair market value of $125,000 is approximately $87.50.

The Augusta Richmond County Board of Commissioners announces its intention to adopt a millage rate which will require an increase in property taxes. This tentative increase will result in a countywide millage rate of 9.788 mills, an increase of 1.75 mills. This millage rate is 21.77% over the computed roll back rate. The proposed tax increase for a home with a fair market value of $100,000 is approximately $61.25.

When the total digest of taxable property is prepared, Georgia law requires that a rollback millage rate must be computed that will produce the same total revenue on the current year’s digest that last year’s millage rate would have produced had no reassessments occurred.

The 2014 Budget adopted by the Augusta Richmond County Commission included across the board reductions to expenditures but also required the use of reserves. The February 2014 ice storm necessitated an additional use of reserves. The actions taken by the Commission to propose a millage rate sufficient to eliminate the use of reserves for operating expenditures and to systematically replace a portion of the reserves used for ice storm expenditures is sound fiscal policy.

The proposed millage rate for the Urban Service District is 5.200 mills, which is 2.787 mills below the 2013 rate and 2.780 mills below the computed rollback rate for 2014. This reduction reflects a change to the method by which Urban Service District residents paid for garbage services. Beginning in 2014 all Augusta residents that receive garbage services will be charged by the same fee structure. The mill rates for Capital Outlay, Fire Unincorporated and Fire for the City of Blythe are the computed rollback rates for 2014.

Before the Augusta Richmond County Commission can set a final millage rate, Georgia Law requires three public hearings to be held to allow the public an opportunity to express their opinions on the increase.

All concerned citizens are invited to the public hearings on this tax increase to be held at:

 Warren Road Community Center Gymnasium, 300 Warren Road, Augusta, GA on August, 11, 2014 at 10:00 am

 Henry H. Brigham Senior Citizens Center, 2463 Golden Camp Road, Augusta, GA on August 11, 2014 at 6:00 pm (Video above)

 Lee Beard Commission Chambers, Municipal Building 530 Greene Street, Augusta, Georgia on August 19, 2014 at 1:30 pm

Tax Increase - Rationale
By William Lockett

Due to the passage of House Bill 386, the state and local sales and use taxes on energy used in manufacturing was phased out over a 4-year period beginning January 1, 2013. The legislation established a process aimed towards making the impact of this removal of the local sales tax revenue neutral for city and county governments, provided that these governments adopt  a local excise tax on energy used in manufacturing at the same rates. Columbia County adopted the local excise tax whereas Augusta declined to do so at a cost of $1 million in 2013; $2 million in 2014; $3 million in 2015; and $4 million the following year.

The 2014 General Assembly passed a collection of tax measures, signed by Governor Nathan Deal, that will drain up to $107 million from Georgia's local governments over the next two years and up to $154 million over the next five years. The total loss would have been higher had Deal not vetoed the title ad valorem tax (TAVT) legislation, House Bill 729, which would have cost local governments an additional $53 million dollars over the next five years.

Remember! We had an ice storm that did extensive damage in the area and created an unanticipated drain on the cities finances. The ice storm expense coupled with all the unfunded mandates has given Augusta no other choice but to increase taxes.

I solicit your ideas. Let me know what we can do better.

Redevelopment

The defense contractor Sabre Systems is moving into the urban core and is following behind other new companies (Rural Sourcing & South Point Media) locating in the Enterprise Mill. Sprint Foods Metro Market opens next month next to the Augusta Commons. The $11 million Canal Side (4 story residential) and GRU Gateway project (grocery store, Chick fil a, restaurants, etc) begin soon. The $172 million Starbucks, $115 million Rockwood, $20 million Augusta Renewable Energy, $10 million Eco Energy, etc are moving forward in South Augusta.

The hotel tax (over 1.5 million tourist) is paying for the Laney Walker improvements. The 14,500 SQ. FT. center (Integrity Medical, Diablo's, etc) is under construction on 1022 Walton Way between the CBD and Laney Walker.

The Windsor Square redevelopment is underway and includes many new businesses (Chick Fil A, Krispy Kreme).

The first new hotel, the Holiday Inn Express, in decades just opened this year in downtown. Augusta Lung Associates opened at 1301 Broad street earlier in the year, and several new restaurants have opened recently (Farmhaus Burgers, Craft & Vine, Whiskey Bar, etc). 

The $11 million Canal Side is considered the first new residential construction in decades.