Cairo sets tentative millage rate
Published 11:08 am Tuesday, August 15, 2017
- Addleton
CAIRO — City of Cairo officials are gearing up for a lower millage rate that could affect the upcoming fiscal year budget.
The Cairo City Council adopted a tentative millage rate of 7.5 mills Monday night.
City Manager Chris Addleton presented four options on setting the 2017 millage rate.
The first was a rate of 7.366 mills, which reflected the rollback rate based on the 2017 tax digest. The second option of 7.88 mills would bring in the same amount collected in 2016. The current millage rate is 8.325, the current millage rate, and an 8.93 millage rate would bring in the expected revenue to fully fund the city’s 2018 budget.
Addleton noted if the council went with the second, third, or fourth option, three public hearings would have to be conducted. Addleton said setting a millage rate higher than the rollback rate would be considered a tax increase.
With the first option, Addleton noted, a projected $283,000 loss in collections could occur if the millage rate was rolled back. The second option would see an approximate $200,000 decrease in tax collections.
“We can find $200,000,” Addleton said.
Council member Jerry Cox said he was in favor of the 7.366 millage rate option.
Addleton said a rate of 7.88 mills was more doable than 7.366 mills but “we’ll do what we have to do” with the 2018 fiscal year budget.
Council member Jimmy Douglas expressed his concerns with not only the City of Cairo millage rate, but also the millage rates for Grady County and Grady County Board of Education.
“There’s probably going to be a revolt in this community when everyone gets their tax bills,” he said, noting residential property owners would bear the brunt of taxes from all three entities.
Real property was reassessed for an additional $13.7 million, according to the city’s 2017 tax digest.
“It’s a big mess, in my opinion,” Douglas said.
Douglas also noted the city “may have to bite the bullet on the budget” and move back budgeted items to 2018 or 2019.
Resident Laverne Whigham questioned what was driving the need for a tax increase.
The Cairo City Council also scheduled public hearing dates for the proposed millage rate.
The public hearings are scheduled for:
• Aug. 28, 6 p.m., City Council chambers
• Aug. 31, 5 p.m., City Council chambers
• Sept. 11, 6 p.m., City Council chambers
Reporter Jordan Barela can be reached at (229) 226-2400, ext. 1826.