Says here that the number of Mecklenburg County residents that are behind on paying their property taxes has gone down. This is taken as a sign the local economy is recovering. That’s true as far as it goes but it really downplays how big a hole we have to climb out of to get back to pre-Great Recession levels.
A more complete story is told by looking at local tax and fee collections for Mecklenburg County and Charlotte. Sales tax collections peaked in fiscal year 2008 and were actually lower in FY2011 than than in FY2010. Both governments now are much more dependent on property taxes than they were before the recession.
So when can we talk about a recovery? When sales tax revenues get back up towards even their 2009 levels. And we’ve got a ways to go to get their, especially given the still-high unemployment in the Charlotte region.
Mecklenburg County:
| Revenue type | 2011 | 2010 | 2009 | 2008 | 2007 |
| Property tax | $861,880,837 | $851,800,857 | $832,401,824 | $801,974,017 | $749,969,779 |
| Sales tax | $178,706,264 | $186,765,701 | $199,787,001 | $247,551,123 | $244,421,759 |
| All sources | $1,144,611,186 | $1,142,929,313 | $1,147,152,993 | $1,194,042,515 | $1,137,180,310 |
| Percent property tax | 75.3% | 74.5% | 72.6% | 67.2% | 65.9% |
Charlotte:
| Revenue type | 2011 | 2010 | 2009 | 2008 | 2007 |
| Property tax | $363,248,000 | $359,429,000 | $344,248,000 | $333,032,000 | $313,436,000 |
| Sales tax | $122,932,000 | $130,585,000 | $138,057,000 | $158,997,000 | $149,180,000 |
| All sources | $741,949,000 | $719,539,000 | $763,350,000 | $812,227,000 | $821,898,000 |
| Percent property tax | 49.0% | 50.0% | 45.1% | 41.0% | 38.1% |
Notes: All data is from the State Treasurer’s office and is not adjusted for inflation (nominal). Airport and CMUD revenues are not included in the above. Fiscal years begin July 1. FY2011, for example, went from July 1, 2010 to June 30, 2011. The methodology used is the same as in the John Locke Foundation’s annual By The Numbers report.
