Fayette County's tax on real estate for school purposes will rise 2.2 cents for each $100 of assessed value. The Fayette County Board of Education voted 4-1 Monday night to raise the school tax rate from 67.4 cents per $100 evaluation to 69.6 cents per $100 for the 2013-14 school year.
The boost will give the district a 4 percent increase in revenue from real estate, the maximum allowed under state law without the risk of a rollback referendum.
The owner of a $100,000 home in Lexington will pay an additional $22 in property taxes in 2013-14. The tax rate on real estate also rose by 2.2 cents per $100 last year.
Meanwhile, the school tax rate on real property, which mainly covers business inventory, will rise from 54.3 cents per $100 to 69.6 cents.
Never miss a local story.
Superintendent Tom Shelton said the increase is to make up for recent years when the board had left the rate essentially flat. The school tax rate on real property had not increased since 2009, when the school board raised it from 54.2 cents to 54.3. Shelton said the school system lost money because it had not been taking the compensating tax rate on real property, which keeps annual revenue the same when property values increase.
The school board left the tax rate on motor vehicles unchanged at 59.2 cents.
No one spoke against the tax increases. Board member Amanda Ferguson cast the lone vote against the boosts.