There is a persistent plaint that workers at Y-12 National Security Complex and Oak Ridge National Laboratory don’t live in Oak Ridge because the property tax rate is so high. Farragut is pointed to as having no city tax at all and therefore highly attractive. Farragut, no less than Oak Ridge, is indeed an attractive area in which to live. It is not because of the property tax rate.
Let’s look at a few of the numbers related to the Oak Ridge city tax rate of $2.39. That rate is applied per $100 of value on 25 percent of the assessed value of residential property. In other words, if one’s home has been appraised at $150,000, the epitome of an “affordable” home, the city property tax is $2.39 per hundred dollars on $37,500, or $896.25. That means that this homeowner is paying just at $75 per month for city services.
Among the services covered by this $75 are police, fire fighters, parks and recreational services, library, street lights, sidewalks, code oversight, street maintenance, and the city’s contribution to the schools. That is $75 per household, not for each person. [Read more...]