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Jefferson County commissioners voted Monday to replace the long-standing flat fee for municipal property tax billing with a percentage-based structure, prompting frustration and warnings from local city leaders about rising costs and strained municipal budgets
Since 2010, towns and cities contracting with the county for tax billing services paid a flat $3 fee per parcel. As of July 1, that will change to a 4% per-parcel billing fee, applied only to properties within municipalities, not rural areas. The decision follows a February resolution proposed by County Manager Eddie Madden.
While cities aren’t required to use the county for tax collections, many do to simplify the process for residents. The county says it needs additional revenue to maintain services—but cities say the move blindsided them.
Whiteville City Manager: “Are You Trying to Get Out of the Tax Business?”
Whiteville’s City Manager Darren Currie said repeated requests for a meeting with Madden about the proposal went unanswered. Only the city clerk and mayor received an official letter, he claimed. Currie emphasized the drastic impact on city costs, citing a projected increase from $12,000 to $120,000.
“We are willing to negotiate a reasonable fee. Does the county just want out of the tax collection business?” Currie asked before being cut off at the 3-minute public comment limit.
Tabor City Manager: “This is the Only Avenue We Have”
Tabor City Town Manager Josh Ford called the meeting a last resort for voicing concerns. He warned that small business and individual property owners would face tenfold increases in billing charges—from $3 to $360 for some commercial properties.
“The taxpayers are going to have to simply take it from one pocket to put it in another,” Ford said.
Mayor Terry Mann: “This is Just Crazy”
Whiteville Mayor Terry Mann expressed deep skepticism, pointing out that the retroactive nature of the change (to Jan. 1) could create legal and logistical problems for municipalities.
“To go from a flat fee to a percentage—that’s just crazy,” Mann said. He warned the new cost model could leave cities scrambling to build new systems with little time and no financial cushion.
Commissioners Respond and Compromise
While some commissioners, including Scott Floyd and Barbara Featherston, initially moved to table the measure, the board ultimately adopted a replacement motion by Commissioner Brent Watts. It includes a provision for future rate negotiations, aiming to soften the blow for cities while implementing the change.
The motion passed unanimously.
Why It Matters
This shift represents a significant change in how urban taxpayers in Jefferson County will be billed for services. Municipal officials argue that it creates disproportionate burdens on cities compared to rural areas, and allege poor communication from county leaders.
With a July 1 deadline and retroactive implementation to January 1, municipalities are left to absorb costs, raise taxes, cut services, or exit the county agreement altogether—a potentially unfeasible move for smaller towns with limited infrastructure.
Key Takeaways
- Flat $3 tax billing fee replaced by 4% of each parcel’s tax amount for cities.
- Rural properties remain unaffected.
- Municipal leaders warn of budget strain and possible service cuts.
- Compromise passed to allow future negotiations.
- Policy is retroactive to Jan. 1, 2025.
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