Fayetteville’s City Council held the first of three required public hearings on Aug. 19 to discuss its proposed millage rate for 2021. Financial Services Director Mike Bush said that maintaining the current 5.646-mill rate would effectively increase property taxes by 5.24% (due to higher assessments) but would increase city revenue by approximately $473,828. The suggested millage rate designates 4.776 mills for the general fund and .870 mills for capital projects.

That would mean that a property valued at $185,000 would see a $20.79 increase in annual tax payments, while a non-homestead property valued at $350,000 would have a tax increase of $39.34. Bush said the additional revenue could be used for several still-unbudgeted projects, including Church Street Park, road resurfacing or a staff pay study, or as a hedge against unexpected expenses such as recent coronavirus-related needs.

The final two millage hearings will be held at 9 a.m. and 5:30 p.m. on Aug. 26 at City Hall before the council votes that evening.

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