Lower Real Estate Tax Rate Supported By Lee District Supervisor

KINGSTOWNE, VA — The supervisor representing the Lee District expressed support for addressing the rising real estate and car values in the budget.

During a Thursday town hall, Supervisor Rodney Lusk said he supports lowering the real estate tax rate as well as reducing the personal property (car) tax assessment.

On the subject of real estate, Lusk noted Lee District had the highest average assessment increase of the county's nine supervisor districts in 2021. Average assessment increases were even higher across all districts this year. The average residential property value increase is 9.57, and 92 percent of Fairfax County residential properties had a value increase. In Lee District, the average value increase was 8.88 percent.

"I recognize, as we all must, that these changes are driven by market forces, and that those forces are especially pronounced in our district, where home prices are among the most desirable in the region, driving up prices as more and more people compete for fewer and fewer homes. I understand that leadership homeowners of all income levels are facing difficult financial situations due to our current economic climate.

Lusk has shared with fellow supervisors that he supports lowering the real estate tax rate rather than increasing it or keeping it the same. Even if the real estate tax rate would stay the same — $1.14 per $100 of assessed value — tax bills would increase by an average $666 due to rising property values.

"To say it very clearly, keeping or increasing the current tax rate is not something I will be able to support," said Lusk. "With that, we also need to be realistic about the fact that lowering the tax rate means decreased revenues. That means we're going to need to be proactive about finding creative solutions to maximize county funds and resources to better serve our residents."

Along with deciding the real estate tax rate, the Board of Supervisors will consider the personal property tax on cars in the county budget. Normally, car values depreciate each year, which would mean a car owner's personal property tax bill would be lower. But due to supply chain issues affecting car parts, new and used car values are increasing.

A county staff presentation to the board's budget committee said nearly 90 percent of car owners could see a substantial increase in their personal property tax bill with an average increase of $186. The option recommended by county staff is using an 85 percent assessment ratio for car values rather than 100 percent. The other two options not recommended by staff were changing the tax rate of $4.57 per $100 of assessed value or using a different assessment valuation method.

A large portion of the county's budget is transferred to Fairfax County Public Schools. Lusk said he supports fully funding the FCPS request to address pay for staff.

The Board of Supervisors will hold public hearings on the budget from April 12 to 14. Budget mark-ups are scheduled for April 22 in the budget committee and April 26 for the full board. Budget adoption is scheduled for May 10. After the county budget is set, the Fairfax County School Board will adopt its budget on May 26.

The Lee District budget town hall included presentations by Christina Jackson, Fairfax County's chief financial officer, and Leigh Burden, assistant superintendent in the FCPS Department of Financial Services.

The full Lee District budget town hall is available to view online.