Atlanta taxes not likely to hit 2002 levels

While Atlanta property owners face a hefty tax increase next year, the tax rate probably won't be as high as the last time the city suffered a budget crunch, the city's chief operating officer said Thursday.

Property taxes soared to 9.02 mills in 2002, Mayor Shirley Franklin's first year in office -- or $9.02 on every $1,000 of assessed value.

Since then, Franklin and the Atlanta City Council have rolled back the tax rate to 7.09 mills.

Content Continues Below

But the 2009 budget proposed by the mayor on Wednesday would raise property taxes by $40 million to help offset a projected $140 million shortfall.

Franklin told members of the council's Executive/Finance Committee on Thursday that without higher taxes, she would have been forced to call for even steeper spending cuts than the $57 million in reductions she is proposing.

The cuts would include the elimination of more than 400 jobs from the city payroll, mostly in departments other than public safety.

Franklin said without a tax increase, the city would be forced to lay off 205 police officers and 90 firefighters, and close six fire stations. She said she won't do that because it would hurt the city's ability to protect the public.

"We believe we in a reasonable and prudent way have maximized spending cuts that can and should be made in city government," Chief Operating Officer Greg Giornelli told committee members.

Besides the property tax hike and spending cuts, the budget also would plug the shortfall with $28 million in fee increases, including higher fines for traffic violations. Another $15 million would come from anticipated growth in the tax value of commercial property.

Giornelli said the city will set a specific millage rate proposal within 30 days, after the Fulton County Tax Assessors Office reports on the current value of the city's tax digest.