BJ Murphy: Making Cents of Local Governments' Fiscal Responsibility

Over the past few days, Lenoir and Greene Counties have witnessed a series of public discussions around fire tax rates, property taxes, and even the possible dissolution of a police department. As someone who enjoys civic discourse, I’ve appreciated the mostly respectful and thoughtful tone of these conversations. In a time when it’s easy to yell across social media, it’s refreshing to hear neighbors and fire chiefs lean into debate with decency.

Still, we’d be wise not to miss what’s bubbling beneath the surface—rising home prices in a local economy being impacted by national economic uncertainty.

When local governments talk about a “revenue neutral” tax rate, they’re referring to their total budget staying level after a revaluation. If property values go up, they would need to lower the tax rate to bring in roughly the same amount of money. For some property owners, this system is flawed.

Most local governments will try and take advantage of this revaluation time to "lower your tax rate" while also "growing revenues". Effectively, they will lower the rate, just not all the way back to “revenue neutral”, which means you'll pay more in property taxes.

You're paying more. 

As our county leadership is considering an increase in property taxes, several volunteer fire departments are asking for their communities to pay more in fire taxes. If Lenoir County goes up and fire tax revenues increase, then taxpayers are paying more, plus more.

City residents most likely won't be spared either. Even if Kinston’s leaders lower the city tax rate, we should assume an increase in taxes is coming. We'll know for sure real soon as all local governments in North Carolina have to adopt the property tax rate by July 1. 

Too often, we’re being “$9.99’d” to death. Streaming subscriptions. Phone insurance. You name it. Now add local taxes and services like water, sewer, and trash on top. The extra $9.99 for this and for that adds up. It’s not any one charge that breaks a budget—but the pile-up, the nickel-and-diming, that wears people down.

Given the current national economy with inflation and uncertainty via tariffs and trade deals, it can't be lost on us that most households are feeling more of the pinch. There are people in this area who simply can’t afford to keep up, let alone pay more - no matter how little.

As we weigh these decisions, let’s make sure the weight doesn’t fall hardest on those least able to bear it.

None of these conversations are easy. We elect leaders to try and represent all people to the best of their ability, while also balancing the needs of the local government itself. 

County leaders don't have to worry about an election this year like city leaders do. Taxpayers and voters aren't always as forgiving as some would assume.