Bluffton property taxes going down

Bluffton residents will see smaller property tax bills in the coming year.

While the Beaufort County Council just approved a tax hike, the Beaufort County School District is seeking one, and two separate sales tax increases could go before voters in November, Bluffton is moving in the opposite direction.

With the passage of the town’s 2017 fiscal year budget earlier this week, the Bluffton Town Council cut property taxes slightly by eliminating two new positions previously proposed by staff and by reducing spending on items such as vehicle fuel.

The tax cut will save the owner of a home valued at $250,000 about $20 a year in taxes, according to town documents.

The budget approved last week by the County Council raises property taxes by roughly the same amount. The school district’s proposal, which would only impact owners of second homes and commercial properties, would raise annual taxes on a $250,000 property by more than $100 a year.

“Our finance department (employees) are some of the most fiscally conservative people I’ve ever met,” Bluffton Mayor Lisa Sulka said Wednesday. “I think finding ways (to reduce property taxes) shows our residents we are responsible.”

Town finance director Shirley Freeman said Bluffton has “been growing at a pretty fast rate” in terms of population and new businesses, which has resulted in increased revenue from fees and other taxes.

Revenue collected from permits and licenses is projected to jump nearly 19 percent in the coming fiscal year. Service revenues, including impact and development fees, are expected to increase by almost 25 percent, according to town documents.

These revenue increases allow Bluffton to continue offering the same programs and services to more people without raising taxes, town leaders say.

“We aren’t going to disrupt services or provide fewer services for residents — we are just trying to budget better,” Sulka said.

Bluffton’s 2017 fiscal year budget, which goes into effect July 1, totals $36.5 million — about $6 million more than the current year’s budget.

Despite the tax break for residents, the new budget carves out money to hire five new full time employees and merit-based pay raises of up to five percent for town staff.

Town manager Marc Orlando said he plans to hire a staffer in the finance department, two Bluffton Police Department officers, an engineering director, and a capital projects administrator.

The budget’s capital improvement fund will grow by more than $2 million in the coming fiscal year to about $12.5 million.

“We’re moving over several projects from fiscal year 2016” to finish in the coming year, Orlando said.

Those projects include wrapping up several phases of a sewer connection project in the Buck Island-Simmonsville neighborhood and complete restorations at the historic Garvin House at Oyster Factory Park.

In the coming fiscal year, the town will also take on a host of new projects including renovations at Town Hall and infrastructure improvements at the Buckwalter Place commerce park.

This story was originally published June 15, 2016 at 6:13 PM with the headline "Bluffton property taxes going down."