Growls

A letter to the editor writer in this week’s Arlington Sun Gazette says the Arlington County Board "patted each other on the back for not raising the real estate tax rate," but continued "reaching into our pockets . . . by increasing fees for essential services." Specifically, he pointed out that the combined water and sewer billing rate has increased 71% over the last six years, in addition to an increase in the cost of parking meters.

Well, it’s worse. Since overall real estate assessments increased by 6.3% from CY 2010 to CY 2011, which included both commercial (12%) and residential (1.4%), the effective real estate tax increase would have been 5.6% -- even if the real estate tax rate remained unchanged.

But it’s even worse still. Reference Table E, page 171 of Arlington County’s Comprehensive Annual Financial Report for FY 2010. In 2001, “general property” taxes represented 79.5% of total general government tax revenues ($308.5 million divided by $$387.9 million). By FY 2010, the percentage of total tax revenues coming from “General Property” taxes increases to 83.9%. That means the County Board is placing a greater reliance on real estate taxes.

Let’s take a closer look at the 79.5% to 83.9% increase. If “General Property” tax revenues in FY 2010 had stayed at 79.5%, the county would have collected about $31.2 million less General Property taxes. If the Board would have rebated that back to Arlington taxpayers, it would have translated to lowering the real estate tax rate by about 3.5 cents or about a $179 lower tax bill for the “average homeowner.”

Something to talk about during your next conversation with a member of the Arlington County Board?