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Editorial - April 2002

Alternative needed to the property tax

April 19, 2002 - Lincoln County schools are searching for a new source of revenue to meet rising maintenance and building expenses now estimated at close to $60 million. Lincoln County Board of Commissioners Chairman Jerry Cochrane has opposed raising property taxes and is seeking help from lawmakers to find an alternative source of revenue. Whatever source is found, the chants of protests will be heard. But the property tax should no longer be the funding machine for local government.

Several different sources were explored at a meeting Monday of county officials and lawmakers, including a county sales tax, transfer fees and impact fees. All of these should be considered.

According to County Manager Stan Kiser, a one-cent sales tax would raise approximately $4 million for the 2002-2003 school year. But even if the request is solely for Lincoln County, the entire legislature would have to vote approval. The current mood in Raleigh is not favorable toward any tax increase.

Impact fees would seem to be the most logical source of revenue. They are imposed on new construction, and therefore paid by new residents coming into the county and utilizing our schools and infrastructure. But again, approval is unlikely from a legislature that is now on a budget slashing binge to make up a huge shortfall. Still, Lincoln County must fix leaking roofs and aging heating and cooling systems in our schools. Even with the addition of a new high school and elementary school we need more classroom space on our existing campuses.

Sometime during the next several months, the Lincoln County School Board will call for a referendum on a bond issue to meet these expenses. If they can justify the need to voters, it will pass. So, where do county commissioners find the revenue? It’s back to square one and the property tax.

Somebody needs to come up with a better idea.

 

 

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