At a time when states and localities are looking to cut property taxes and increase affordable housing, the Board of Commissioners in North Carolina’s Wake County went the opposite route in passing a $2.17 billion budget that raises property taxes and reduces proposed housing.
The Herald-Sun reports commissioners approved a county tax rate of 51.71 cents per $100 valuation. With this adjustment, the owner of a $450,000 home will now pay $2,326.95 in county taxes, a $16.20 increase. The new rate, which is higher than the rate proposed by County Manager David Ellis, will be used to fund the public school systems – another property tax rate increase of 1.5 cents per $100 valuation will be directed to the Fire Tax District to fund the maintenance of aging fire stations and pay increases for firefighters.
The commissioners also voted to lower the amount for its Housing Opportunity Fund by $1 million over the next five years. The public-private revolving loan fund is designed to buy land for affordable housing in “more affluent urban areas” – the county acknowledged this will reduce the projected number of new affordable units from 2,500 to 1,250 over the fund’s 15-year life span.
The county’s budget includes pay raises from 1% to 3.5% for 5,000 public employees, which the lowest pay increase since the pandemic.
