Liberty Aldermen Vote To Increase City Tax Rate

Property owners in Liberty may see an increase in their annual tax bills this fall.
In order to bring in more revenue to a general fund budget which has been showing a shortfall, the Liberty Aldermen Monday night voted 4-1 to double the city property tax rate from .0915 to .1830 per $100 of assessed value for the 2015-16 budget year.
Aldermen Jason Ray, Todd Dodd, Joe D. Bratten, and Howard Reynolds, Jr. all voted for the increase. Alderman Paul Neal cast a vote against it. WJLE was at the meeting.
If approved by the aldermen on second reading in April, taxpayers would see their bills double in October, which for some would only amount to a dollar or five dollar increase per year. While the aldermen were reluctant to vote the increase because of the impact it could have on the town’s residents, especially the elderly and those on fixed incomes, they felt it necessary to help get the town’s financial house in better order.
For year ending June 30, 2014, General Fund expenditures exceeded revenues by $20,982. In order to balance the budget, city officials had to appropriate $20,982 from the town’s fund balance (reserves).
Over the years as costs to operate have increased, the town’s revenues have not kept pace. ” We’re getting less money from the state and interest rates have dropped to nothing. That was one of our big incomes because of the CD’s we have”, said one city official.
According to town leaders this proposed tax increase may be the first in Liberty’s history. Even at eighteen cents, the rate is the lowest among the town’s in the county that have a property tax rate. Still, the new money derived from the proposed tax hike won’t erase the shortfall. Currently, the town receives $4,273 from its tax rate. That would go to $8,660 with the increase. City officials may have to consider cuts in services in the future as a further option to reduce costs and save money
The mayor and aldermen will hold a town hall meeting or public hearing at the next council meeting on Monday, April 6 at 7:00 p.m. at town hall to give residents a chance to comment on the proposed tax increase. The aldermen are then expected to take action on second and final reading.