Arthur G. Purves, president of the Fairfax County Taxpayers Alliance, today stated that to avoid a real estate tax increase the Fairfax County supervisors must reduce the real estate tax rate from $1.23 to $1.06.  This reduction is required to offset the 16 percent average increase in residential assessments.  ìAny real estate tax rate greater than $1.06 is a tax hike,î Purves stated.

Taxpayers should know that a cut in the real estate tax rate can still result in a tax increase.  For example, if the supervisors cut the tax rate by five cents to $1.18, that would still equate to an 11 percent tax increase.  A five cent reduction only partially offsets the increase in assessments.  The following table shows the tax increase corresponding to reduced tax rates:

 ìAmong the supervisorsí well-kept secrets is that state law requires them to reduce the tax rate to offset the assessment increase,î Purves said.  If they want a higher rate, the law (Va. Code Section 58.1-3321) requires the supervisors to hold a public hearing and publicly vote to approve the higher rate.  The public hearing on the ìeffective tax rateî is scheduled for 3:30 p.m., Monday, April 8, 2002, at the Government Center.  ìIt is unfortunate that this hearing is held while taxpayers are at work,î Purves said.

Keeping the tax rate at $1.23 is a tax increase, due to higher assessments. Since Kate Hanley became county chairman, higher assessments will have increased the typical household's real estate taxes by $1000.