DEMOREST — While the exact amount is yet to be determined, the Demorest City Council voted 3-2 Tuesday night to hold the line of the city's ad valorem tax millage rate, even if it means losing roughly $16,000 in tax revenue in 2017.
"I want to hit the rollback rate," said longtime Councilman John Popham.
Councilman Sean Moore agreed.
Mayor Rick Austin pointed out rolling taxes back to collect the same amount of taxes next year as this year would equate to roughly $16,000 on a more than $4-million budget.
Councilman Jerry Harkness said he is concerned the city could need the additional money next year.
Councilwoman Florence Wikle also expressed concern about rolling back the millage.
Moore agreed with Austin that ad valorem tax revenues make up such a small portion of the city's budget that the decrease in collections won't significantly affect operations.
"We're never going to make our revenue on those taxes — not in this city," Moore said.
Popham made the motion to stay with the rollback rate rather than hold three hearings required for a tax increase. Moore seconded the motion. Both voted in favor.
Harkness and Wikle voted against the motion, with Austin casting the deciding vote in favor of staying with the rollback rate rather than holding three hearings for a tax increase.
The council will adopt the actual millage rate at an upcoming meeting.
"This is the third conversation that we've had regarding whether or not we're going to meet the rollback rate or stay at the present millage rate or even potentially increase it," Austin said following the meeting. "What is presented to us as a governmental entity is that if you're going to increase taxes in any way it takes three public hearings to do so."
"What we voted on tonight was to keep it at one public hearing, which indicates that we're going to meet at least the rollback rate, which means no tax increase for the citizens of Demorest for the forthcoming year," Austin said.
http://accesswdun.com/article/2016/10/453610/demorest-votes-3-2-to-use-rollback-millage-rate