Lower tax digest numbers may result in higher property taxes for City of Dacula residents.
According to Dacula City Administrator Jim Osborn, the millage rate would need to be increased to 5.703 from the current rate of 5.128 in order to avoid a revenue shortfall.
Last year, the City of Dacula in an attempt to partially compensate for lost revenue caused by a fall in the tax digest. Though the millage rate increased, most property owners did not see an increased tax bill due to lower property values. Mayor Jimmy Wilbanks said this year could be different. Any resident whose property value remains unchanged from last year would see a higher tax bill. Wilbanks said the taxes on his home would increase $44 a year under the proposed rate.
Unlike last year when the city did not receive any additional income from the millage rate increase, the 5.703 rate would allow the city to end the year with a $103 surplus. Without the increase, the city stands to lose nearly $10,000.
Since the new rate would result in additional income for the city, three public hearings are required by law. The dates of those hearings have not yet been set.