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The
town has proposed expanding the downtown
Municipal Service Tax District to
include all of the Renaissance Plan
area, excluding two apartment complexes
and a subdivision, but Tuesday night
Tina Archer, the executive director for
the Downtown Revitalization Corporation,
said the DRC board wants a smaller tax
district and an increased tax, from 10
cent to 17 cents.
The DRC is suggesting “a
modest expansion” of the tax district
that was established in 1988 to provide
additional parking in the downtown area.
Archer said the DRC’s
suggestion is to expand to include the
block north of East Holding Avenue and
west of Franklin Street. If the
expansion includes the Renaissance Plan
area, she said, it would “dilute the
effectiveness of the town’s and DRC’s
efforts to promote downtown by diverting
money and resources away from the main
area of focus.” She said most of the
property in the larger area is either
residential or owned by a tax-exempt
entity (the library and post office, for
example) and therefore would not pay the
district tax.
The tax in Wake Forest’s tax
district is on the low end of the scale
compared to other North Carolina towns
and cities in the Main Street Program.
Increasing the tax to 17 cents per $100
valuation would bring in an additional
$29,166.23 annually, giving the DRC
$70,832.27 to work with.
One project might be a
parking structure or the purchase of
properties, Archer said, and DRC board
member Jeff Adolphsen said other
projects could be a site and
improvements for the farmers’ market,
concerts, HerbFest and other events.
The DRC’s third request was
to amend the 1988 resolution to remove a
requirement that a minimum of 50 percent
of the tax district revenue be spent to
for parking.
Town Manager Mark Williams
said properties in the tax district do
not necessarily have to see a direct
benefit. “I doubt very seriously James
Holding, who has paid since 1988, has
benefited from the parking lot.” Holding
owns Holding Oil on South White Street.
“There’s a lot of property
there [in the Renaissance Plan area]
that does not fall into the nontaxable
category. Who’s to say that nontaxable
property will stay that way forever?”
Mayor Vivian Jones said.
Commissioner Stephen
Barrington, who has consistently opposed
special tax districts, said his heart
sank when he heard Archer say the tax
should be increased. However, he said,
since the downtown has won Main Street
status “I feel a lot better about the
ten cents.”
Williams also said there
will be a revaluation of property in the
coming year and there will probably be
“a significant increase” in the
appraised values of all properties.
Jones said she thought
raising the tax rate “is not a bad
thing.” It would give the DRC the funds
for “those extra little things that will
really make it special,” such as the
wayfinding signs and the streetscape.
The board agreed to hold a
public hearing in either April or May,
depending on the requirements of the
state enabling legislation for tax
districts, to hear comments about the
boundaries, the tax rate and the future
projects for the district.
Commissioner Margaret
Stinnett, who operated the family
business, Jones Hardware, on South White
Street in 1988, recalled the district as
a hard sell that was only accomplished
because it offered parking the
businesses needed but could not afford
individually. “I think everybody in the
complete Renaissance Plan area will
benefit.” |
