FAYETTEVILLE -- Washington County's justices of the peace on Tuesday narrowly endorsed a proposed property tax increase.
The Quorum Court's Finance and Budget Committee voted 6-5 to send a budget including the millage increase, from 3.9 mills to 5 mills, to the full Quorum Court on Thursday.
County Budget
Washington County’s Quorum Court is set to consider the 2019 budget and a possible property tax increase at it’s next meeting, set for 6 p.m. Thursday at the County Courthouse, 280 N. College Ave in Fayetteville.
Source: Staff report
Chairman Bill Ussery, justice of the peace for District 4, presented two budget options, one with the millage increase and one without. Ussery said not acting to increase the millage would be "kicking the can down the road" for another Quorum Court to deal with. He said without the millage increase the reserve will be reduced to less than 5 percent of the annual budget.
Bobby Hill, treasurer, calculated the revenue from the property tax at 3.9 mills at $12,450,000. He said raising the rate to 5 mills would increase revenue to $16,420,000. Hill said a taxpayer owning property valued at $100,000 would pay $22 more per year if the rate is increased.
The justices of the peace raised the prospect of increasing the property tax rate at a budget meeting last week. The property tax millage is now set at 3.9 mills. The Budget Committee voted last week to consider an increase to 5 mills. The general fund property tax millage has been as much as 5 mills in the past, which is the highest allowed by state law without voter approval. The Quorum Court reduced the millage rate over a period of several years -- the last in 2011 from 4.4 mills to 3.9 mills.
Also Tuesday, the justices of the peace discussed charging cities for holding prisoners in the county jail. Sheriff Tim Helder said the county charges Fayetteville a one-time $62 booking charge. The county has contracts with the federal government and charges $62 per day to house federal prisoners. An agreement with Madison County allows Washington County to charge $62 per day to house prisoners from Madison County.
The county has been considering a jail expansion project due to overcrowding and justices of the peace have been eyeing ways of reducing the cost of operating the jail. With Springdale having plans to close its jail, the county is expecting more prisoners.
The committee has also discussed ways to lobby the state government to increase the amount paid to Washington County for holding prisoners sentenced to terms in the state Department of Correction. The state pays $32 a day and the county says its cost is $62 per day.
The committee voted to send to the December Quorum Court meeting an ordinance implementing the fee at a reduced rate of $31 per day on Jan. 1, 2019, and increasing to $62 per day on Jan. 1, 2020.
The ordinance was delayed when questions were raised about the cost to the cities. Greg Tabor, Fayetteville police chief, said the city has budgeted about $268,000 in 2019 for the booking fees but needs more information about the daily fees. Mayor Lioneld Jordan said the city has about $5 million in reserve and his staff estimated the $62 daily fees could cost the city as much as $2.6 million a year.
"In two years my reserves will be gone," Jordan said.
The justices of the peace invited Jordan to return for Thursday's Quorum Court meeting when the fees will be discussed again.
Justice of the Peace Eva Madison had questions on several lines of the budget but Carl Gales, chief of staff for County Judge Joseph Wood, said he wasn't prepared to discuss the budget line for line and wouldn't answer Madison's questions.
"I find it shocking we're being asked to approve a budget and we're being denied the opportunity to ask questions," Madison said.
Ussery told Madison she could email her questions to the county and he would have answers for her at Thursday's meeting.
NW News on 11/14/2018