New Castle County Executive Marcus Henry proposed the tax increase in March to account for the county’s unstable finances.
At the time, Henry explained the county used temporary funds to pay for permanent expenses, which was an unsustainable solution. With the property tax increase, the county’s nearly $388 million budget will continue funding core items like public safety salaries, while seeking cuts in other areas.
Councilmember John Cartier argued county government remains affordable to its residents despite the tax hike, noting it only affects 19% of residents’ property tax bill. The rest covers school taxes.
“So now we are here,” Cartier said. “There are accumulated situations that are coming to the fore, yeah. But we went through a very difficult period with the pandemic. We did everything in our power to insulate people from the cost of the government… We're in a kind of difficult situation, but we will work our way out of it.”
Cartier added county staff will revisit the tax issue in the next fiscal year.
The 17.2% take hike will add $102 per year, or about $8.50 monthly for those living in the median $378,000 assessed value home in the county.
County Councilmembers also acknowledge residents’ multiplying financial concerns.
The past year has seen energy rates increase, some school district tax bills rise following property reassessment, as well as mounting grocery and gas prices.
Councilmember Penrose Hollins said he could support the proposed budget – even with the tax hike – because nearly every county department is making sacrifices in the upcoming fiscal year.
“I want to vote for this budget and clarify my reason for it,” Hollins said. “I think it's my responsibility, and I feel that the government is in good hands, and the government will move forward in a way that people of New Castle County will have a decent life, quality of life.”
The budget included cuts to some community programming like the Sleep Under the Stars event and having libraries fully close one day per week. They will close on a rotating basis so there is at least one library open every day of the week.
Councilmember David Carter added his goal is to focus on the future and make sure that properties that haven’t been paying enough in taxes are put back on the rolls to bridge revenue gaps.
The budget passed 11-0 with one not voting.