MillageRate.com

Over 99% of Georgia’s City Councils, County Commissions and School Boards fail to simply do the math.

If you are a journalist covering local government, you know that the ad valorem (property tax) process can be complicated and difficult to explain to your readers. But are you truly doing an adequate job of reporting on this important topic if YOU don’t understand it yourself; specifically, how the millage rate is supposed to be calculated?

If, according to our research, over 9 out of 10 cities, counties and school boards are not “doing the math,” then AT LEAST one and probably more taxing authorities within your paper’s coverage area is either OVERTAXING or UNDERTAXING your readers. Isn’t that a bigger story than if the millage rate is staying the same as last year or being rolled back slightly?

We welcome your inquiries about this important topic. We will be happy to explain the process to you, as well as assist in the research and preparation for your next story on the millage rate. Contact us at somebody@millagerate.com.

Most City Councils, County Commissions and School Boards across the state have calculated and adopted their millage (tax) rate for this year. We have researched dozens of taxing authorities and have only found TWO that adopted a mathematically-correct millage rate… but we’re even not sure that they did it on purpose!

If you are an elected official of a Georgia city, county or school system which has or is about to adopt a mathematically-correct millage rate, PLEASE contact us! We would love to feature your jurisdiction at MillageRate.com

This north Gwinnett city budgeted for $1,300,000 in property tax dollars to fund its 2005-2006 budget. However, the City Council adopted a millage rate of 3.80 which is expected to bring in at least $498,455 more than is necessary to fully fund this year’s budget.

The adopted millage is the same as the Council has adopted in the two previous fiscal years.

The mathematically-correct millage rate is 2.747

The owner of a $150,000 home in Sugar Hill will pay $228 in city property taxes, $63.18 more than his/her fair share to fund the cost of government this year.

See the math

For FY2005-2006, this southeastern Gwinnett hamlet has budgeted for $133,900 in property tax dollars to fund its $952,557 budget. City leaders have advertised and adopted a nice, “round number” millage of 1.500, up from last year’s equally “round” 1.00.

The mathematically-calculated millage rate, based on current data, is 1.500

The owner of a $150,000 home in Grayson will pay $90.00 in city property taxes.

Because the mathematically-correct rate was a “round” 1.500 mills, we asked for confirmation that the city had correctly calculated the rate.

Mayor Jim Hinkle responded to our inquiry: “I did the calculation myself, and correctly. The process is straightforward and easily accomplished and I was able to figure it out myself.”

It appears that the city may have engaged in the practice of matching expenditures to projected revenue based on a particular millage.

This DeKalb County city school system projected that $18,268,563 of its $29.3 million 2005-2006 budget would have to come from property tax dollars. However, the School Board has adopted a millage rate of 19.05, which is expected to bring in $219,509 less than would be produced by a mathematical millage.

The mathematically-correct millage rate is 19.282.

The school tax bill for the owner of a $150,000** home will be $1,143; however, he/she should pay $13.90 more to fully fund the budget.

See the math