FRANKLIN CO., Va. – Franklin County residents face dual tax increases as county leaders work to address funding shortfalls for schools and county services.
Leaders are proposing a three-cent increase per $100 in real estate taxes, which could generate approximately $3 million in revenue. Additionally, they plan to standardize the meals tax at 6% across the county, potentially bringing in another $750,000.
“We’re highly dependent on the residents and the real estate property taxes and the meals tax to fund the increase in county needs,” said Dan Quinn, Franklin County Board of Supervisors member.
Quinn cited limited revenue sources as a key factor driving the tax increases. “We don’t have new businesses coming into the county at this point,” he said.
The proposed changes come as the school system requests additional funding. “Last year, they asked for four million dollars, and we gave them five hundred thousand dollars. It’s not even enough to keep up with inflation,” Quinn explained.
Despite the proposed real estate tax increase, county officials note that Franklin County would still maintain one of the lowest real estate tax rates in the region.
Impact on Local Businesses
Local restaurant owners express concern about the impact of higher meals taxes on their businesses. Holly West, owner of Holly Jo’s Creekside Grill in Boones Mill, has witnessed the negative effects of previous tax increases.
“It just seems like we’re being taxed to death, and it does hurt us,” West said. “A lot of people stopped coming in, saying, ‘I’m not going to pay twelve dollars for a burger.’”
The mounting tax pressure has West considering relocating her business. “Everyone’s increasing (prices), but the guests don’t want me to increase. So it’s kind of hard to stay here and survive,” she said.
While the final tax rates are still under discussion, Quinn confirmed that some form of tax increase will be implemented.