Wise County supervisors advertise 69¢ per $100 real-estate tax rate amid multimillion-dollar shortfall

Wise County Board of Supervisors on Feb. 3 voted to advertise a proposed 69¢ per $100 real-estate tax rate for public hearing, a step supervisors said is required before a final vote. The motion carried 5–3 and the advertised rate will be subject to a Feb. 12 public hearing and subsequent vote.

The vote followed a presentation from county staff on updated revenue projections and a debate about how best to close a multi‑million‑dollar shortfall. Staff said the county still faces a roughly $4,000,000 to $4,700,000 gap under several modeled scenarios and urged supervisors to set a rate to allow time for public comment and further budget work. The board directed staff to publish per‑penny revenue figures for each tax category so supervisors and the public can see how each 1¢ change affects real‑estate, tangible personal property and merchant’s-capital receipts.

"We've got a deficit. We gotta make it up somehow," Supervisor Fred said when he moved the 69¢ scenario, arguing a higher starting rate spreads the burden across many taxpayers rather than forcing deeper cuts to county staff and services. "My theory is the law of large numbers," he said. Several other supervisors said they preferred a lower advertised rate (65¢ was discussed) to signal a push for internal cuts; one supervisor said, "I tend to think that 65¢" as the preferred approach.

Staff described the revenue model as starting at a 63¢ baseline (an 8¢ increase from the prior baseline in staff materials) and then stepping up in 1¢ increments; they said real-estate collections are modeled at roughly 96% collectability. Staff also clarified that PPTRA (personal property tax relief) reimbursements are built into the levy calculations rather than added as new, standalone revenue; a historical reimbursement figure cited in discussion was about $1.3 million.

Supervisors and staff gave examples of per‑penny impacts: one board member said a penny of real-estate tax yielded roughly $242,000 in staff calculations and a penny across all taxable categories could be in the $400,000 range, though staff committed to provide a detailed, per‑category breakdown. The board was also told casino revenue is projected near $943,000 based on recent deposits and staff is sending a letter to the General Assembly to maintain current distribution rules.

The board also approved a single motion to advertise corresponding increases across other categories (personal property, merchant’s capital and others) so the tax structure would remain proportionate; data-center and certain specialized rates were excluded and will be set under separate calculations. The advertised personal‑property and merchant’s‑cap rates were described in staff materials as consistent with the 69¢ real‑estate starting point and the board moved to include them in the same advertisement.

Next steps: staff will (1) publish the detailed per‑penny revenue breakdown by tax category and update the advertisement, (2) post the public‑hearing notice and confirm the hearing location and streaming options, and (3) return to the supervisors after the Feb. 12 public hearing for final consideration.

Votes and outcomes: the board voted to advertise the 69¢ real‑estate rate (motion carried, tally 5–3) and to advertise proportionate increases for other categories in one consolidated motion. The advertised rates are subject to change after the public hearing and final board vote.