Harrisburg Dealing With Decrease In Property Tax Revenue
Harrisburg Town council members must decide how they will compensate for a $550,000 drop in property tax revenue caused by a weakened housing industry, the Independent Tribune reports. Officials are now debating whether they will generate the money through town departmental budget cuts of 5 to 10 percent or through a property tax increase. Currently, residents are taxed $0.23 for every $100 of property value. Officials may have to raise the rate to $.2657 for every $100 of property value. Due to the loss in property values, however, the taxes the residents would be required to pay would be comparable to before. Town Councilman Brian Leepard opposes the adjusted taxes. "You are paying more," he said. "You're paying the same amount, but your property value is less. Therefore you are paying more. There is no doubt about it. But it doesn't feel like more because it's what you are paying currently out of pocket."