Published: July 03, 2009 11:46 am      

County tax rate holds

ASHEBORO — The Randolph County commissioners passed a budget of $111,662,221 for 2009-2010 that holds the property tax rate at 55.5 cents per $100 valuation.

The budget is a decrease from the current year of 2.21 percent, reflecting a projected drop in sales tax revenues of more than $5 million due to the sluggish economy.

The shortfall in revenues is offset by the use of $7.4 million from the fund balance.

The commissioners voted 3-1 for the budget. Phil Kemp, who represents District 1 (Asheboro), cast the lone dissenting vote.

He had urged the board to raise property taxes by 3 cents to avoid a much larger increase for the next budget year.

Citing a county debt load of $135 million and a prolonged recession, Kemp said he supported the increase to avert a steeper increase next year.

“I hope the board has the intestinal fortitude to raise the tax 3 cents,” he said. “Without a tax increase, we may have to cut jobs.”

Kemp said 3 cents on the tax rate equals $30 more on a $100,000 home.

“Folks spend that much at Wal-Mart,” he said. “Next year we may have to raise taxes by 10 cents if we don’t start now.”

Stan Haywood of District 4 said his constituents have told him “they can’t stand a 3-cent raise. I’d rather take it out of the fund balance than for some guy in Raleigh or some guy in Washington to grab it.”

Arnold Lanier of District 5 agreed with Haywood.

“People are struggling,” he said. “I don’t feel like people can stand it. I oppose a tax increase now. Maybe next year will be better.”

Vice Chairman Darrell Frye, who represents the Archdale-Trinity area, said he’s had “maybe 10 times more calls this year about not raising taxes.”

Frye said the state could possibly give counties relief by allowing taxes from other areas. He said other counties have made more cuts than Randolph, such as unpaid furloughs for employees.

“There are a lot of unknowns that could help us next year,” he said. “The general feeling is people are hurting. A year from now things could be better.”

Frye made the motion, seconded by Lanier, to adopt the proposed budget as amended and hold the tax rate at 55.5 cents.

Earlier, the board had moved some funds around to fund an ambulance for $58,000 and provide $25,000 to the Central Boys and Girls Club.

The money came from a reduction in raises for locally-funded school salaries of $83,000.