Burlington Reporter

County of Guilford issued the following announcement on Apr. 11.

The Guilford County Board of County Commissioners (BOCC) voted during their regularly scheduled meeting on April 7, 2022 to adopt a Resolution of Intent Upon Passage of the One-Quarter Cent (1/4¢) County Sales and Use Tax which is on the primary ballot to be voted on by Guilford County residents May 17, 2022. Should this local Sales and Use Tax pass the proceeds would be used exclusively to fund school construction needs and related debt repayment.

At last night’s meeting the Board took one step further in communicating their intentions. They approved, through resolution, to lower the Guilford County Property Tax Rate to an amount equivalent to the sales and use tax revenues upon adoption of the Fiscal Year 2022-23 budget. This commitment is projected to reduce the property tax by a minimum of three cents, should the one-quarter cent sales and use tax pass.

“The proposed sales tax is expected to generate about $20 million in revenues annually,” said County Commissioners Chairman Melvin ‘Skip’ Alston. “Although the recent revaluation raised property taxes for most property owners, this resolution would allow them to save money on their property tax bill if they support the one-quarter cent sales tax. Our goal is to soften the burden for the property owners. The one-quarter cent sales tax, which is paid by everyone regardless if they are renters or tourists, will help generate revenues to help to cover our $2 billion in school needs.” Alston said. “This is one way the property owners can vote themselves a tax decrease.” He added, “Let’s be clear…this school bond and quarter cent sales and use tax is about putting our children first, not just about buildings. The condition of our schools have a direct impact on our kids’ ability to learn.”

A 2019 independent facilities assessment study jointly funded by the County’s board of commissioners and school board found that the district’s schools were in a significant state of disrepair, with 50% of schools rating as being in either poor or unsatisfactory condition.  Guilford County Schools currently has more than $2 billion in facilities needs, including more than $800 million in deferred maintenance.

North Carolina counties are charged with building, equipping and maintaining school facilities under North Carolina General Statute 115C-408(b).  As a local taxing authority, counties issue debt for school construction and renovation projects.  While county property tax revenues are an important source of county funding for school facilities debts, counties can also utilize the Article 46 Sales and Use tax option to help meet these needs.

Several surrounding counties and Guilford’s peer counties including: Forsyth, Randolph, Orange, Wake and Mecklenburg counties have successfully passed the Article 46 sales and use tax as funding options in their communities.

Currently Guilford County property taxes make up roughly 60% of county revenues while sales taxes only accounts for approximately 15%.

For more information about the $1.7 billion School Bond Referendum and the proposed Quarter-Cent Sales and Use Tax, visit schoolbondfacts.com.

 Original source can be found here.