AG19881121 - Laserfiche WebLink

Home Browse Search

--. MEMORANDUM Planning and Community Development TO: Mr. John Barnhardt FROM: Jeff Young, Planning Director~ DATE: July 1, 1988 RE: Proposed Municipal Service District Laine Harling, George Griffin and I have completed preliminary work with reference to recommending a boundary for the proposed Municipal Service District for downtown Concord, Attached is a map showing the proposed boundary. Our recommendation is a fairly compact district which would include ohly properties inside the area zoned B-1 Central Business District. All of the properties front on the major downtown business streets, Union, Church, Cabarrus, Corban, McEachern, Spring, Market, Barbrick and Means. Toward establishing ~ recommended tax rate for the Municipal Servica District, we have tabulated dov~town property valuations. There is a ~otal property value of $25,042,720 downtown. Within that amount, $13,362,180 is nonexempt taxable property and $11,680,540 is exempt. Owners of exempt property within the proposed district are Central $~Methodist Church, Faith Covenant Church, Coh~ord Telephone Chamb o~ . ~ , er · ~ ~ Commerce, City of Concord and County of Cabarrus It would not ppear to be appropriate to request financial participation by the churches which fall within the district, but the other four entities could make a payment in lieu of tax equal to what they would pay if they were not exempt. Accordingly, the net total valuation of property to which the MSD tax rate could apply for either a tax levy or a payment in lieu of tax is $23,556,630. This amount includes all property except for the two churches. Twenty-three cities in North Carolina have a Municipal Service District. Tax rates which apply within the MSD's vary widely. Density of downtown development is so great in Charlotte that its MSD tax rate does not relate to that applied in the other cities. For that re2son, Charlotte is not included in our analysis. Among the other 22 cities, MSD tax rates range from a low of $.04 i~ Wilson to a high of $.36 in Mt. Airy. The average is $.19 for the 22 cities. An individual involved with the North Carolina Downtown Development Association has indicated that $.20 is a desirable rate and that some of the cities with rates lower than that are planning increases. Applying a Municipal Service District tax rate of $.20 per $100 valuation to the net total valuation of $23,556,630 would yield an annual total levy of $47,113 as khe budget for the district.