Wake County leaders pass $2 billion fiscal year budget: Here's what it means for homeowners, school system
Taxpayers in Wake County learned how their money will be spent in the 2025 fiscal year.
After several weeks of public hearings and suggestions, Wake County leaders voted unanimously to pass the proposed budget on Monday.
The budget is $2.08 billion, about a 10.7% increase from the 2024 fiscal year.
According to Wake County, the adopted budget decreases the current tax rate from 65.7 cents to 51.35 cents per $100 of valuation. Of that, 36.60 cents will fund operating expenses, and 14.75 cents will go towards long-term debt and capital plans.
Wake County property owners will pay more even as property tax rates go down
While the proposed budget decreased the Wake County property tax for homeowners by 22%, the average home value in the county has increased more than 50% after this year’s reassessment, meaning the average homeowner will pay more.
According to Wake County, a resident who owns a $462,000 home, which is roughly the median assessed value in Wake County, will receive a tax bill of $2,358 in fiscal year 2024-25. It runs from July 1, 2024 - June 30, 2025.
Funding the Wake County Public School System
Wake County leaders are allocating a total of $702.6 million for fiscal year 2025.
The Wake County Public School System was seeking a $63 million increase compared to last year.
Wake County commissioners voted to give the district $58 million more compared to last year.
"I felt this process was more painstaking than the other years that I have been on this board," Vice Chair Susan Evans said Monday.
Initially, the county was willing to offer a $49 million increase. Some people said the school district would not be able to fund raises for employees with the initial proposal.
“Public school workers will not receive increased hourly wages if you don’t fully request,” one person said at a public comment meeting earlier this year. “We’re starting our workers at $17.75 an hour.”
Property tax increases for Wake County homeowners
The median sales price of a parcel of Wake County real estate for May 2024 was $470,000, according to the Wake County Register of Deeds. The figure is down $4,750 from the April 2024 price of $474,750.
The register of deeds showed real estate lending activity in May saw a decrease from April’s level. Also, May 2024 saw lending activity decrease 2% compared to May 2023.
With the increases on property taxes, Nicole Kane said it's added another difficulty in the home-buying process. Kane and her husband plan to move homes in Wake Forest.
"It will definitely affect anyone purchasing a property in Wake County," Kane said of the county's proposed increases.
Kane said valuation and taxes are a factor in their decision to move.
"If we can find some ways to kind of cut our costs, it may not be on the actual value of the home when we go in and sign the documents, but if month to month or year to year our prices go down a little bit, it’s definitely helpful for keeping up with our new home,” Kane said.
In May, Wake County Board of County Commissioners chair Shinicia Thomas said the county needed to look at what the county’s needs are, and how to fund it.
“Growth does not pay for itself,” Thomas said.
Funding for public safety, affordable housing
The county is also looking at more funding for public safety and an improved plan for affordable housing.
“I am afraid and concerned that if we don’t get very serious about our business here, we could be looking at some of the most exasperated housing crisis issues,” another speaker said.
Thomas said she and other commissioners said every dollar counts and the decision was weighed carefully.
“We’re looking at a variety of things, and budgets are tight,” she said.
