Hyattsville Keeps Property Tax Rate Level

Editor's Note - This article has been corrected. An earlier version of this article incorrectly described positions taken by Council Member Edouard Haba (Ward 4) during discussion of the tax rate at Monday's meeting. 

"My position on the issue has been misinterpreted. I would like the residents and The Patch readers to be informed that I am actually the one who moved that the Council votes that night and to keep the rate at $0.63/100 of assessed value," wrote Haba in an email to Patch noting the error. 

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After a bit of debate, the Hyattsville City Council voted to keep the city's real property tax rate at the at 63 cents per $100 of assessed property value. 

The city council passed the measure under something of a deadline. The city is required to set the real property tax rate by this Friday.

Some city council members, like Council Member Tim Hunt (Ward 3) echoing complaints voiced last month when the tax rate measure was last up for consideration, said there was not enough information to vote on the tax rate until more detailed budget information  was available. 

But Mayor Marc Tartaro said it was important to pass the measure that night, citing the looming deadline.

"How we handle this is an important issue," said Tartaro. "Keeping our tax rate where it is helps us be competitive in the future."

According to budget proposal documents released on Monday night, the city is facing a $1.6 million budget shortfall over the next fiscal year, largely as a result of $1.1 million in funding to pay down the city's looming retiree health care liability.

At 63 cents, Hyattsville's real property tax rate is the 12th highest among Prince George's County municipalities and special tax districts. Colmar Manor has the highest real property tax rate, at $1.49 cents per $100 of assessed property value. Upper Marlboro has the lowest real property tax rate, at 24 cents per $100 of assessed property value. The average real property tax rate among Prince George's County municipalities and special tax districts is 61 cents per $100 of assessed property value.

In recent weeks, as the city leaders weight revising the post employment health care benefit scheme available to city employees, some city workers have pressed the city council to raise tax revenues to fund more comprehensive retirment health care options.

Mayor Marc Tartaro, during Monday's meeting, said that the tax rate would have to be increased by eight cents in order to cover the $1.1 million in spending to establish a trust fund which would pay for current and future retiree health care costs under the city's current retiree benefit program.