The Property Tax Levy Constitutional Amendment & Why We Don't Need It

2 days ago
3 min read

Key Context

There is no single statewide property tax rate in North Carolina. Property taxes are levied entirely at the local level (counties and municipalities).

Key Figures & Averages

In addition to county property taxes, municipal taxes may also be assessed.

Regional Comparison (Southeast):

Rates are approximate.

NC is drastically lower than high-tax states: New Jersey (~2.08%), Illinois (~1.95%), and Connecticut (~1.78%).

How NC Property Taxes Work

County-Driven Assessments:

Property taxes in NC are levied entirely at the local (county and municipal) level rather than the state level. Each of NC's 100 counties conducts a reappraisal at least once every 8 years (though many fast-growing counties do so every 4 years).

Local Variation:

Rates vary significantly depending on where you live in the state:

Urban/High-Growth Areas: Counties like Wake (Raleigh) or Mecklenburg (Charlotte) have higher local property tax burdens due to city combined rates and rapid property value appreciation.
Rural Counties: Generally feature lower overall rates, though tax bases vary.

Vehicle Property Tax:

Unlike many states, North Carolina collects property taxes on private vehicles annually at the same time you renew your vehicle registration ("Tag & Tax Together" program).

Why Does It Matter?

North Carolina law already has a limit on property taxes. No level of government may, on its own, charge more than $1.50 per $100 of value on private property.

The bill is too vague. It suggests local governments will be precluded from governing their own primary method for raising necessary revenue while it remains silent on the role that the General Assembly will play in managing property tax rates.

Traditionally each of the counties levies its own property tax rate. County Commissioners are responsible for these levy rates. The Commissioners in each county are also responsible for developing the county budget and finding the revenue to meet the county’s budgetary demands. We should not underestimate the basic validity of this arrangement. Our Commissioners are best positioned to identify our normal budgetary needs and to anticipate extraordinary, non cyclical projects. For example, our remodel and expansion of our county judicial and law enforcement complex, our need to overhaul the failing Etowah water/sewer system, the need to extend the water/sewer system to Edneyville and post-Helene floodplain restoration and mitigation work on the Bat Fork and lower Mud Creek streams. Local knowledge and planning/funding agility are critically tied to local control of our property tax computations.

It is inconceivable that the legislature that is four hours away in Raleigh that is also planning to manage this same basic function on behalf of the other 99 counties, can be even remotely responsive to our needs. Trust our commissioners, not the NC General Assembly.

It is worth noting that our local representatives in Raleigh, Tim Moffitt, Jennifer Balkcom and Jake Johnson, both voted in favor of this amendment.

It is also worth noting they also voted to curb our ability to make our own zoning decisions.

Finally, comparing property tax data among the Southeast states and from other sections of the country, strongly supports a conclusion that North Carolina is not over taxing its citizens. The analysis, in fact, suggests modest increases may be necessary if we want to support our fellow citizens as Washington withdraws financial support for myriad health and social programs.

Next Steps

As always, we have our voice and our vote. We need to share our understanding of the real impact of turning over management of our Henderson County property tax rate to Raleigh with neighbors and friends, regardless of political affiliation. As we canvas and phone bank please share these new additions to our November ballot with a strong recommendation to vote “NO”. Please remind our fellow voters that Tim Moffitt, Jennifer Balkcom and Jake Johnson all voted in favor of this amendment.

Joe Elliott, ejoe2397@gmail.com