news-record.com

Property owners in Guilford County would pay higher taxes under the $587.9 million 2008-09 budget recommended by Guilford County Manager David McNeill.

The owner of a $200,000 home would pay $109 more than they did last year if the budget he presented to the Board of Commissioners on Thursday is approved.

Under McNeill's recommendation, Guilford County Schools would receive $12.5 million, county employees would be eligible for a 3 percent pay increase, and at least 20 positions would be lost through attrition.

A total of 26 positions would be added in other departments, for an overall addition of 6 jobs in Guilford County.

The overall 5.46-cent rate increase that McNeill recommended would raise the property tax rate to 74.6 cents per $100 valuation.

Most of the property tax rate increase is to make payments on the $651.4 million in bonds that voters passed on May 6.

Regular budget increases make up 2.02 cents of the tax rate increase.

The county would also dip in its reserve to help fund the 2008-09 budget that McNeill recommended. Under state law, that reserve fund must equal at least 8 percent of the county's overall budget. If the $25.4 million that McNeill recommended is transferred from the reserve, the money leftover would equal 8.2 percent of the county's overall budget.

Through the year, that account usually grows through tax revenues that go unspent. The reserve also helps pay for emergency expenses the county may face.

Guilford County commissioners will approve a budget after several meetings and a public hearing on June 6.

It's unlikely that the final version will reflect what McNeill recommended. Commissioners still must cut and add to the budget and build a consensus to pass the document.

Historic sticking points for the commissioners have included spending on schools and on nonprofits, as well as equipment and personnel additions.