Arthur G. Purves, president of the Fairfax County Taxpayers Alliance, today reported that Fairfax County has announced, with minimal fanfare, an "effective rate increase" of five percent in the real estate tax rate. The announcement, entitled "Fairfax County Notice of Proposed Real Property Tax Increase", appeared on page A7 of the Friday, March 17, 2000, Fairfax Journal.

Whenever real estate assessments increase by one percent or more, the Code of Virginia (ß58.1-3321) requires a locality to reduce its real estate tax rate to offset the assessment increase. According to the announcement, Fairfax County's real estate tax rate would have to be reduced from $1.23 per $100 of property value to $1.17 to offset the county's five-percent increase in assessments. The code further requires that if the locality wishes to increase its rate above the lowered value, the locality must publish the amount of the increase in at least one newspaper and hold a public hearing. Since the Fairfax County Board of Supervisors wishes to continue levying the $1.23 rate next year, it is effectively increasing the real estate tax rate by six cents or five percent. The mandatory public hearing was held this past Monday at 3:30 p.m.

Apparently the county issued no press release announcing the real property tax increase. In fact in her December 20, 1999, inaugural remarks Fairfax Board of Supervisors Chairman Kate Hanley had stated that the supervisors "äwill NOT have to raise taxes to balance the budget this spring." (Please visit: www.co.fairfax.va.us/gov/bos/chair/swearing%20in.htm.) At the beginning of the supervisors' budget hearing on Monday evening, Chairman Hanley announced that there is no tax-rate increase in the proposed budget, a statement that violates the spirit, if not the letter, of the Code of Virginia.

Purves stated, "Since Kate Hanley became chairman in 1995 tax revenues in Fairfax County have increased much faster than population and inflation, continuing a trend that stretches back to at least 1975. If county spending had increased no faster than population and inflation since 1975, the average household would be paying $2000 less per year in taxes and the county's annual budget would be $1 billion instead of $2 billion. County tax increases in excess of population growth and inflation since 1975 could have paid for the Dulles and I-66 Metrorail extensions and a new Woodrow Wilson Bridge."