A recommended millage rate increase to Chatham County property owners will be reduced, following slight growth in the county’s annual tax digest.
The 2013 net tax digest released this week showed a 2.23 percent increase in the county digest, 2.55 percent growth in the unincorporated area and a 2.07 percent increase in the transit district.
The unexpected news was greeted positively at the Old Courthouse, as county commissioners consider whether to raise taxes.
County officials had projected only 1 percent growth in the digest, which is what they had based their recommended 1.431 mill increase on. That would have meant $40 more annually for owners of a $100,000 home and $98 more for owners of a $200,000 non-homestead property.
However, the recommended millage rate increase will be reduced as a result of the digest growth, said Linda Cramer, county finance manager.
“If your net digest values go up, then you should have more revenue because there’s growth,” Cramer said.
She estimated the county’s net digest growth translates to $2.6 million in additional revenue if commissioners kept the millage rate at 11.109 mills. That’s not nearly enough to cover the $7.4 million in extra jail expenses largely responsible for the suggested tax hike, but it would provide a little relief for property owners.
Nevertheless, Cramer said the digest figures will be treated conservatively by county staff because of the uncertainty surrounding the revenue impact of the state’s new ad valorem tax some residents now pay just once on their vehicles. That went into effect March 1.
“Even though we had growth in those motor vehicles on this digest, we’re not sure if we’re going to see any revenue from that because of that caveat and the way that might flow through,” according to Cramer, who said she has been busy calculating projections.
Most of the growth in the digest can be attributed to new construction and reappraisals based on the market, said chief appraiser Roderick Conley, who has been on the job for six months.
“I think a combination of the two will probably account for the increase,” he said.
The digest is the combined value of all real and personal property and registered vehicles in the county. Its significance lies in the fact that county and city government officials use the digest to estimate tax revenues and set their annual budgets.
The county commission will use the digest data in adopting the county’s 2014 fiscal year budget and a millage rate on June 28. Three public hearings on the millage rate are scheduled beforehand.
The county’s fiscal year runs July 1 through June 30.
The county, including all municipalities, has a net tax digest of $10.8 billion, compared to the unincorporated area’s $4.4 billion net digest. The transit district — which incorporates the city of Savannah, unincorporated area and part of Garden City — has a $8.6 billion net digest.
The net digest figures are used to set millage rates, said Cramer.
For the record, the gross digest for the county is $13.7 billion, $6.2 billion for the unincorporated area and $11.1 billion for the transit district; all are increases from a year ago.
Commissioners were officially notified about the digest on Tuesday, after it was approved by the county Board of Assessors on May 9. The chief appraiser is scheduled to deliver the digest to the state Department of Revenue by Aug. 1.
According to the chief appraiser’s office, there are 99,658 residential properties in the entire county and assessments were reduced on 17,894, or 18 percent, of them compared to 40 percent in 2012.
A total of 67,162 residential properties, or 67.4 percent, reportedly increased in value from 2012 to 2013.
In all, 115,871 assessment notices, including 6,813 personal property and 7,986 commercial notices, were mailed on May 17, said Conley.
He reported 363 appeals had been filed as of Thursday morning, 14 percent fewer than this time in 2012.
At 296, most of the appeals, Conley said, were for residential properties, while 49 appeals were for commercial/industrial property and 18 were for personal property, which among other things include vehicles.
Property owners have 45 days from the date listed on assessment notices to appeal.
CHATHAM TAX DIGEST
Chatham County’s tax digest was a mixed bag as far as the net digest of its eight cities are concerned:
• The city of Savannah has a digest of $4.6 billion, up 1.49 percent from the 2012 digest.
• Thunderbolt’s digest stands at $101 million, a modest 0.46 percent increase.
• Tybee Island’s digest of $426.2 million grew by just 0.69 percent.
• Pooler’s digest is $1 billion, an increase of 4.70 percent.
• Garden City’s digest of $351.2 million is a 5.11 percent decline from last year.
• Port Wentworth’s $335.4 million digest experienced a 4.66 percent increase.
• Bloomingdale’s digest of $75.7 million fell by 3.95 percent.
• Vernonburg’s digest is $22.5 million, down 1.41 percent.
PUBLIC HEARINGS
The Chatham County Commission will conduct three public hearings on the millage rate at 9:30 a.m. and 6 p.m. June 20; and 9:30 a.m. June 28 at the Old Courthouse Building.