Wednesday, May 14, 2008

Where is the one mill cap in the charter legislation?

In section 1.03 of SB 82, the Dunwoody Charter legislation http://www.legis.ga.gov/legis/2007_08/versions/sb82_AP_13.htm :

(A) The millage rate imposed for ad valorem taxes on real property shall not exceed 3.04 unless a higher limit is recommended by resolution of the city council and approved by a majority of the qualified voters of the City of Dunwoody voting on the issue;

(B) For all years, the fair market value of all property subject to taxation shall be determined according to the tax digest of DeKalb County, as provided in Code Section 48-5-352 of the O.C.G.A.; and

(38) Taxes: other. To levy and collect such other taxes and fees as may be allowed now or in the future by law

in section 5.02 there is a provision for a one mill homestead exemption - not a cap on the millage:

(b) Each resident of the City of Dunwoody is granted an exemption on that person´s homestead from City of Dunwoody ad valorem taxes for municipal purposes in an amount that provides the dollar equivalent of a one mill reduction of the millage rate applicable to the homestead property with respect to ad valorem taxes for municipal purposes for the taxable year. The value of that property in excess of such exempted amount shall remain subject to taxation.

Now contrast the above with this information presented on the Citizens for Dunwoody website: http://www.citizensfordunwoody.org/faq.htm :

TAXES/FINANCIAL

3.Would my taxes increase, decrease or stay the same?

The feasibility study performed by The University of Georgia Carl Vinson Institute of Government shows that the city of Dunwoody could operate without a tax increase. Since Dunwoody has been taxed at rates higher than the cost of services delivered by DeKalb County, the CVI study showed budget surpluses in all but the most extreme scenarios. Over time, these surpluses could be used to increase the quality of our services or be returned to taxpayers.

4.What is the impact of the 1-mill cap on the property tax millage rate?

The proposed budget does not include a tax increase to provide the same levels of service. The charter limits the authority of the city council to raise the city's millage rate more than one additional mill without voter approval.

Can Representative Fran Millar & Senator Dan Weber show us where the one mill cap is guaranteed in the Charter?

1 comment:

Dunwoodyinfoguy said...

The one mill cap on property taxes is in section 1.03. As you have noted, the charter sets the maximum millage rate at 3.04 mills. The current DeKalb millage rate for Unincorporated Tax District is 2.04 mills. That means that taxes can only go up a maximum of 1.0 mills higher than current rates.