LELAND — The Town of Leland could soon implement a 4-cent tax increase, up 19% from its current 21-cent tax rate.
Next week, Council will review the town’s draft budget for fiscal year 2019-2020, which would take effect in July.
Related: Leland mulls raising taxes in resident survey. Here’s a breakdown of potential increases
Council won’t take a vote on the proposed budget until after a planned public hearing in June.
Leland’s tax rate is currently 21 cents per every $100 of evaluated property. The town last raised taxes in 2017, a 14.5% increase from its previous tax rate of 18.33 cents. Rates increased by 20% in 2016, when the town broke from a steady five-year tax rate between 2011 and 2015 at 15.15 cents.
The proposed tax rate, included in a draft budget presented to Council last month, would take effect on July 1, 2019. During an April 15 draft budget discussion, David Hollis, Leland’s manager, said the proposed increase is still well below the average tax rate for comparable towns.
For $200,000 home, at the current tax rate of 21 cents, residents would owe the town $420 when taxes are due in September. With the proposed 19 percent increase, residents would pay about $500, an $80 difference.
This year’s budget also includes a proposed 20% increase in fire fees.
Hollis will present a draft budget next week at Council’s regular meeting, on Thursday, May 23, at 6 p.m. A budget hearing is scheduled for June 3 at 6 p.m. at Leland Town Hall.
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