Published: September 24, 2009 08:49 am      

Taxes for Knox County residents

Fiscal court votes to maintain rates

By Samantha Swindler / Managing Editor

Knox County won’t be raising taxes this year, but the county government should still see an increase in tax revenues.

The fiscal court voted Tuesday evening to maintain a rate of 10.9 cents per $100 of property valuation for property, a 14 cent rate for the car and boat tax, and a 24.42 cent rate for tangible property. All are the same rates from last year.

In a report given during the meeting, Property Valuation Administrator Bill Oxendine said the value of assessed property in Knox County increased by nearly $47 million from 2008 to 2009, meaning the county could collect up to $995,514 in revenue this year — a potential of about $51,000 more than last year, without a tax increase.

But, actual collection figures will be less than that because of the potential for delinquent taxes, and because the county doesn’t send out tax bills less than $10. Last year, Oxendine said, roughly $5,000 in tax bills weren’t sent out because each bill was assessed at less than $10.

The biggest increase in property values came from a $32 million increase in oil, gas and timber mineral rights assessments. Residential real estate increased by $4.7 million and commercial property increased by $7.2 million, in part due to the new B&H Shoes building, Enterprise Rental and other new businesses.

Oxendine passed out pie charts to the fiscal court and audience members detailing where county residents’ property taxes go. According to the chart, 51 percent of property taxes go to Knox County schools, 15 percent go to the state and 13 percent go to the fiscal court. Other entities receiving property taxes include the health department, ambulance service, county extension office, library and the soil conservation program.

Tangible property (property owned by commercial businesses including inventory) rose by about $15.5 million this year, largely due to heavy equipment used by a coal company, Oxendine said.

The fiscal court also acknowledged the other tax rates in the county, which appear on county tax bills but are not set by the fiscal court. Those included the ambulance service: 4.3 cents for real estate, 6.57 cents for tangible property and 9.7 cents for auto; Artemus Fire District; 10 cents for real estate; Corbin Schools, 51.4 cents for real estate and tangible property, 69.3 cents for auto; Knox County Health Department, 4 cents for real estate, tangible property and auto; Knox County Schools, 41.7 cents for real estate and tangible property; Knox County Extension Service, 3 cents for real estate, 5.8 cents for tangible property, 2.24 cents for auto; library fund, 4.5 cents for real estate, 13.3 cents for tangible property, and 2.4 cents for auto; and Soil Conservation, 1.4 cents for real estate.

Oxendine said he hoped to have tax bills mailed by Oct. 10.

In other business, the fiscal court approved the county attorney’s delinquent tax report, which showed that $216,534.70 in delinquent taxes had been collected in August. The majority of that — about $194,000 — was from tax bills purchased by Taxease of Houston, Texas. The company was able to purchase the bills, pay the money owed to the county, and will collect directly from the property owners while charging “reasonable fees.” If the property owners fail to pay Taxease, the company can request a judgement lien in court that could force the property to be sold on the courthouse steps. From the sale, Taxease would collect its due, and the property owner would retain any additional revenue from the sale after other taxes and liens had been satisfied.

Judge-Executive J.M. Hall also gave an update on construction of the county’s West Knox annex building in Corbin, which will contain a sheriff’s office, ambulance service and a office for the county clerk. Interior walls are now being built at the facility and construction is scheduled to be compete by the first of the year.

The court also approved changing the name of Cox Cemetery Road to Gray Cemetery Road in Gray.

The next regularly scheduled Knox County Fiscal Court meeting will be at 10 a.m. Oct. 27.