Exclusive: Stafford County Commissioner of the Revenue delivers insights on surging property assessments and data centers’ impact

Stafford County Commissioner of the Revenue Scott Mayausky recently discussed the notable surge in property assessments in an interview with Potomac Local News Founder and Publisher Uriah Kiser, shed light on its causes and implications, as well as the role of data centers in county revenues.

Mayausky explained that the recent increase in property assessments, with residential homes rising by an average of 13% and commercial properties by approximately 23%, can largely be attributed to the fundamental economic principle of supply and demand. He noted the scarcity of available houses on the market as a driving factor behind the uptick in property values despite prevailing high-interest rates. He said, “I think it is simply supply and demand.”

Regarding potential stabilization factors, Mayausky pointed to the impact of interest rates, suggesting that a decrease could lead to a surge in homes hitting the market, potentially counterbalancing demand and stabilizing or even lowering property values.

Mayausky explained that the Board of Supervisors plays a crucial role in setting the tax rate, which directly affects county revenues and taxpayers. He emphasized the concept of “truth in taxation,” where any proposed tax rate exceeding the effective rate, calculated to offset assessment increases, is considered a tax increase and requires public scrutiny and hearings.

“It places the burden of tax increases on the [Board of Supervisors] and the tax rate, not the assessment office and the values of the property.”

Furthermore, Mayausky discussed the Board’s responsibility in budgeting and allocating resources, highlighting the importance of their priorities in determining how tax revenues are utilized. He acknowledged that while revenue from sources like data centers could potentially alleviate the tax burden on residents, the Board ultimately decides how to allocate these funds.

The Stafford County Board of Supervisors is set to advertise a tax rate to fund the county’s FY2025 budget on March 5. Once they chose the rate, supervisors can lower it, but can’t raise it before the Board adopts the final version of its budget sometime in April.

The budget proposed by County Administrator Ranfall Vosburg is, for the first time, north of $1 million, up 6% over last year. Several key areas that saw significant increases in the budget for the fiscal year, including education funding, which he proposed to grow by $19.6 million, indicating a commitment to supporting educational initiatives and programs.

Additionally, general government support saw a substantial rise of $9.3 million, reflecting investments in essential services and infrastructure. Public safety also received increased funding, totaling $7.2 million, emphasizing the county’s dedication to ensuring the safety and well-being of its residents.

Shortly after showing his budget to the supervisors, he announced his resignation, but did not say what his final day at the county will be. Vosburg came took the top local government job in Stafford after moving here from Florida 20 months ago.

Comparing Stafford County to neighboring jurisdictions, Mayausky acknowledged its higher tax rate, attributing it to its transition to a suburban-urban landscape and the absence of certain revenue streams like a business license tax. However, he expressed optimism about the potential revenue influx from data centers, citing projections surpassing a significant portion of the county’s tax base.

When discussing data centers, Mayausky highlighted their potential as a revenue boon for Stafford County, especially given its smaller population than neighboring areas. However, he cautioned that revenue streams from data centers could fluctuate due to depreciation schedules and varying computer equipment replacement cycles.

Regarding the frequency of property assessments, Mayausky explained that biannual assessments align with the county’s tax philosophy and approach, contrasting with jurisdictions where annual assessments are more common.

Mayausky emphasized that residents have until March 8 to challenge their property assessments if they believe discrepancies or inaccuracies exist.

This deadline is crucial because property assessments determine the value of a property for taxation purposes. If a property owner believes that their assessment does not accurately reflect the true value of their property, they have the opportunity to appeal it. This appeal process allows property owners to present evidence or arguments supporting their case for a reassessment or adjustment of their property’s value.

Stream the video to hear the whole conversation.