Fayetteville Finance Director Paul Becker is recommending the city council increase real estate and personal property taxes by 0.9 mills. A mill equals one-tenth of a penny, therefore every $1,000 worth of assessed property value equals $1 in taxes. The tax money would go into the city's general fund. Becker says he's recommending the millage increase because the city has experienced a substantial decline in sales tax revenue...and additions like the new movie theatre and Sam's Club are not going to be enough. "We are going to increase again, and I think we're going to increase substantially next year in sales tax, but I don't think to the level that we even expected in 2007, so I still think there's going to be a shortfall," Becker says. Even with the millage increase Becker says Fayetteville's tax rates would remain lower than the surrounding cities, but he says it won't fix everything. "We're going to still have to have some discussions in regard to the budget between now and December when the budget will be adopted."
