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April 4, 2007
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Board aims at less than 99 cents for property tax rate
By Greg Pearson STAFF WRITER

Miller
Perhaps reacting to citizen comments at last week's public hearing, the Chesterfield Board of Supervisors appears ready to reduce the property tax rate to less than 99 cents per $100 of assessed value.

During the hearing, many citizens called for a rate that wouldn't produce any new taxes for county residents. However, the rate of 92 cents needed to do that is not going to happen

But, a 97 cent rate, which includes inflation plus the population increase, might.

Predictably, Chairman Kelly Miller wants the lowest rate, and called for 95 or 96 cents. Midlothian Supervisor Don Sowder favored 97 or 98 cents and was willing to give up the one penny set aside for roads penny set aside for roads to reach a lower rate.

Clover Hill Supervisor Art Warren and Matoaca Supervisor Renny Humphrey have only said they support a rate "lower than 99 cents." Bermuda Supervisor Dickie King has endorsed 99 cents, adding "that I might go lower." Every penny off the property tax rate will mean $1 million less revenue to the county and $2 million less to the school system. After assessments for homes went up an average of 16.6 percent last January, many homeowners - particularly seniors without children in public schools - want tax relief.

At the hearing, several speakers on fixed incomes said they are being taxed out of their homes. One said he is going back to work because he can't afford to live on his retirement income. The county has a tax relief program for seniors ages 65 and older whose net worth is less than $200,000 (excluding home and 10 acres of land) with an annual household income of less than $52,000. Budget and Management Director Allan Carmody said that program was estimated to save taxpayers $500,000 annually.

The proposed FY08 budget of $1.17 billion was calculated at 99 cents (the current rate is $1.04). County government spending is up 6.2 percent, mostly due to the creation of 94 new positions. School spending is proposed to climb 9.7 percent to $572 million and become 52 percent of the total budget.

"The fiscal irresponsibility by the school system has to stop," insisted Brenda Stewart. She said the school budget increased 33 percent in the last two years. Stewart also wants the property assessment system evaluated.

Resident George Miles told supervisors one employee in the Real Estate Assessor's Office told him his solution to rising property taxes was to move. Miles asked where she lived so he could move next to her. Miller asked him if he knew the employee's name, but Miles didn't.

Fred deMey called for a rate of 94 cents. "Republicans should start acting like real Republicans and provide real tax relief," he demanded. All board members are Republicans.

Clover Hill resident Ronald Hall reviewed school documents and concluded there was waste and abuse in the $92 million price for the replacement of Clover Hill High School. He is a former senior officer in the Defense Investigative Service and was a District Commander of an Army Criminal Investigative Division.

Before the public hearing, Superintendent Marcus Newsome advised the board that the school system's best estimate is that the new Genito Road high school will probably cost $81 million when bids come in this summer. The new Cosby High School that opened last fall used the same design and cost $59.7 million. School officials say building materials have increased dramatically in price during the interim.

Fearful that the new high school would be cancelled or seriously scaled back, a number of speakers - many from Brandermill - implored the board to stick to the plan approved by the voters in the 2004 school bond referendum. The supervisors are supporting the school, advised Miller, but the higher cost is an issue.

The board will vote on the budget, including the property tax rate, on Apr. 11.

Alcohol study

Frustrated by the inaction of the Chesterfield Planning Commission, Miller secured unanimous agreement from fellow board members to force the commission to make a recommendation of whether the county should prohibit new businesses from allowing the sale of alcohol within 500 feet of a school, church, daycare or home. The commission must respond within 60 days.

Any non-conforming business would have to apply to the board for a conditional use permit. Two commissioners believe there should no restrictions for residences.

Reportedly, a night club wants to open in a former Winn Dixie store at Hopkins and Beulah roads near Miller's residence. King, who usually agrees with Miller, wants a more pro-business stance and believes there is "a fairness issue."

Bond rating

Since 1997, Chesterfield County has held a "AAA" bond rating from Fitch Ratings, Moody's Investors Service and Standard and Poor's. The county is one of 25 local governments out of 3,500 nationwide to achieve this rating.

Carmody estimated the bond rating saves Chesterfield $1.3 to $1.5 million yearly in lower interest rates. He said the rating services evaluate the amount of debt, local economy and the county's management among other considerations.

Bottled water

Ten times last Wednesday, gadfly George Beadles, dressed in his finest white t-shirt, trooped to the podium to address the board on various public hearing issues, giving whimsical advice in up to three minute bursts. Visually, the supervisors showed expressions ranging from bemusement to bewilderment.

Unknowingly, Beadles stumbled onto a secret marketing plan. Reporting that he had seen a bottled water company making a delivery to the Risk Management Office, Beadles said that didn't look good for the county's Utilities Department.

County Administrator Lane Ramsey then revealed that Chesterfield's water is so good that by summer residents will be able to buy bottled county water. The bottled water plan could involve other Richmond localities.


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