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County, PTC reaping property tax windfallTue, 08/08/2006 - 3:15pm
By: Letters to the ...
Mayor Logsdon, during your campaign, you promised to do something about our runaway taxes. It was on this platform that my wife and I supported you and allowed you to place a huge campaign sign in our front yard. Where you once had an “eye of the tiger” mantra to control our taxes, it would appear that you are now losing your stripes. Fayette County and Peachtree City have recently enjoyed a windfall in property taxes due to a marked appreciation in property tax assessments. Our home’s assessment, for example, increased 7.98 percent in 2005. The millage rate was adjusted such that our property taxes increased by 6.33 percent. Let’s compare this to the Consumer Price Index (CPI) as a measure of inflation. The statistic I use includes all items (core, energy, etc.) and can be verified at the Web site for the Bureau of Labor Statistics (www.bls.gov). According to this data, the CPI measured 3.4 percent for calendar year 2005 and is currently at 3.8 percent for 2006 on an annualized basis. This should represent a fairly accurate yardstick of the cost increases associated with running Fayette County and Peachtree City year over year. Assuming that my property tax assessments are representative of others, Fayette County and PTC enjoyed a windfall in tax revenue of nearly 3 percent above the CPI for 2005. I personally believe that our tax bill for 2006 should be reduced commensurately by this overage. Looking at 2006, my property assessment has gone up a whopping 10.46 percent, which means a nearly 20 percent increase over a two-year period. In fairness to the citizens of Fayette County and PTC, our millage rate must be reduced significantly to ensure that any increase in our overall tax burden is in line with the CPI rate of 3.8 percent (minus 3 percent if given credit for the overage of 2005). If the rate is not adjusted, the county will receive a projected windfall of 6.66 percent over the CPI for this calendar year. This represents a total tax increase of 16.79 percent over a two-year period when inflation amounts to a mere 7.2 percent over the same period. It also means a windfall of 9.59 percent, or more than double the rate of inflation (a multiple of 2.33, to be exact), over this two-year period. In other words, Fayette County collected from me a tax increase of nearly double the rate of inflation for 2005 and will collect almost triple the rate for 2006, if the millage rate is not ratcheted down considerably. This is where I expected you to lead the charge. In fact, it was this very topic of discussion on which you and I shook hands as your campaign sign was being pounded into my lawn. It is for this reason that I am completely dumbfounded that you were a proponent of and have actually pushed through a millage rate increase. Add to this the recent SPLOST and rainwater runoff fees and the city/county is digging deeper and deeper into our pockets. Mr. Mayor, I must respectfully ask that you revisit the platform upon which you campaigned and honor your fiduciary responsibility to the citizens of Peachtree City to control our taxes. You can do this by working with our county commissioner-elect to push hard for a substantial millage rate decrease that will bring our tax burden more in line with inflation. Remember that many of your fellow citizens have recently endured serious cuts in pay and benefits so now is not the time to be overspending and overtaxing. Ralph P. Trapaga |