The Fulton County Board of Commissioners voted 4-3 on June 18 to set the property tax rate ceiling to a full mill higher than what staff recommended, citing possible escalating jail costs and a need to restore other programs.
The commission voted to set the millage rate at 9.87 mills on a motion by Commissioner Mo Ivory. Commissioner Marvin Arrington said he wasn’t sure that was enough to restore funding to veterans’ services, arts organizations, and to revive the youth summer jobs program that was eliminated this year after 10 years of allocations.
Raising the millage rate by one mill would increase property tax revenue by $78.9 million. That would increase the staff’s revenue estimate to $778.6 million for the General Fund.
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“In a year when the federal government is cutting money, Fulton County, as Commissioner [Khadijah] Abdur-Rahman says, should be standing in the gap. We should be increasing our money to these organizations, to arts organizations, to veterans, to youth,” Arrington said.
Before a higher rate was approved, Commissioner Dana Barrett questioned staff on whether the proposed 8.87 mill property tax rate was enough. She cited the unknown costs for the county to meet the consent decree requirements to improve Fulton County Jail conditions.
Chief Financial Officer Sharon Whitmore reminded Barrett that the current budget includes $10 million for debt service. That funding was intended to enable a bond issue to raise funds for the jail, Barrett wasn’t confident that would be enough.
An increase in property tax assessments and a growing tax digest meant that the staff proposed 8.87 mills rate was a tax increase. It would generate enough revenue so that the county would not need to consider spending constraints for the next fiscal year.
Commissioner Bridget Thorne wanted to stick with the staff recommendation.
“Right now, I think it’s a struggle for the most basic needs, for people to have housing, to have interest rates where they can’t afford to buy, it drives up the cost of rentals all across. And I’m hoping that we can get some fixes to the economy here,” Thorne said. “But right now, I can’t burden the taxpayers with more than a 10 percent increase in taxes.”
Thorne’s belief was that an increase in taxes would make homeowners more dependent on county services because the additional taxes make living in Fulton County difficult or impossible.
Commissioner Bob Ellis wanted to approve the staff-proposed 8.87 mills rate. He said he didn’t understand why a 10 percent or more tax increase was needed. Staff’s projections don’t suggest the county will run out of money or be in a financial crunch in 2025, he said.
The final motion by Ivory to set the millage rate at 9.87 mills was seconded by Arrington. Commissioners, Barrett and Abdur-Rahman also voted for that tax rate. Commission Chairman Robb Pitts, Thorne, and Ellis voted against that millage rate.
The commission will hold three public hearings before making a final vote to set the millage rate on Aug. 6. By law, the maximum rate they could adopt would be 9.87 mills, though they can adopt a lower rate.