Fulton County commissioners will try again in two weeks to take the first step toward a 17 percent tax increase after failing Wednesday to get the number of votes necessary to start the process.
Fulton’s first countywide tax hike in 23 years would cost the owner of a $275,000 home an extra $140 a year. But it failed to clear its first hurdle at the Fulton Board of Commissioners on Wednesday. With several commissioners absent, a proposal to advertise the tax increase and schedule public hearings failed on a 3-1 vote. It needed four votes to pass.
The proposal will be back on the commission’s agenda June 18. Critics say the tax hike is illegal and unnecessary.
“It’s reckless because Fulton County residents are still recovering from the worst recession in modern history,” said state Rep. Jan Jones, R-Milton. “The last thing they need is the county reaching further into their wallets.”
Supporters say the tax increase is needed to protect vital services and stabilize a budget still reeling from the Great Recession. Commissioner Joan Garner said Wednesday she supports the tax hike, but also wants to make sure Fulton is spending its money wisely.
If commissioners approve the tax increase, Fulton would become the latest local government to raise property tax rates in recent years. Cobb ( 16 percent), DeKalb (26 percent) and Gwinnett (21 percent) all raised their tax rates as the recession took a toll on real estate values and government tax revenue.
But Fulton County’s government has received closer scrutiny that most in recent years. Critics have long complained it spends too much.
An Atlanta Journal-Constitution investigation last year found Fulton spends more on some key services than neighboring counties. But its spending in most areas examined is in line with comparable urban counties across the country, the newspaper found.
Republicans in the General Assembly last year passed several laws designed to scale back Fulton government. Among them: A freeze on property tax increases until 2015. The law also requires a super-majority of commissioners – at least five votes – to approve a tax increase thereafter.
Jones said the law is “crystal clear that Fulton County is prohibited from raising the property tax rate” this year. She said a court challenge could come from the state or from private citizens.
A majority of Fulton commissioners disagree. Last summer, they voted to repeal the General Assembly’s property tax cap, saying the state constitution allowed them to do it.
Commissioners in January approved a $625.4 million 2014 general fund budget to pay for countywide services like libraries, courts, social services and elections. The budget assumes commissioners will approve the property tax increase this summer.
Wednesday, commissioners considered a proposal to advertise the tax increase and schedule several hearings to solicit public feedback. But two of the seven commissioners, Chairman John Eaves and Commissioners Liz Hausmann, did not attend the meeting. A third, Commissioner Tom Lowe, arrived after the tax vote.
Commissioner Robb Pitts, who opposes the tax increase, voted against advertising it.
A final vote on the tax hike originally was expected to occur June 25. But county attorney David Ware said the vote now may not take place until July.
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