ST. JOHNS COUNTY, Fla. — St. Johns County’s population boom comes with growing pains, and the county is looking to address part of the problem with increased property taxes.
On Tuesday, commissioners had the first hearing for the 2023 budget, which includes a 17.8% increase in taxable property value.
>>> STREAM ACTION NEWS JAX LIVE <<<
“What a lot of that represents certainly is a demand to come to St. Johns County. The popularity of the area,” Jesse Dunn, the county’s director of office management and budget, said.
The county is proposing a $1.3 billion budget for the 2023 fiscal year. That total includes nearly an additional $40 million from property taxes. But the county reaffirms that does not mean taxes will go up that much.
Because of the statewide homestead exemption, property tax increases are capped at 3% for primary residences. Vacation homes and commercial properties, however, are out of luck under the homestead exemption.
Read: St. Johns County locals share preferred developments for future county parks
That means the average property tax in St. Johns County of just over $2,700 according to tax-rates.org would go up by just over $80.
“Homesteading really is a great value for homeowners across the state, particularly in a highly appreciating market,” Mark Rosener, the president of the Northeast Florida Association of Realtors, said. “The market just exploded during the pandemic. 2020 to 21 and 21 to 22. So [that property tax] is in line where homes have appreciated.”
Rosener said the median St. Johns home is valued at about $525,000, which is a 24% increase over last year’s median of $423,000. The spike leveled off in March and Rosener expects it will stay that way.
Read: St. Johns County Christmas Tree-cycling Program
“As more and more people move to St. Johns County — it creates more demand for housing, roads, infrastructure, police and firefighters,” Rosener said.
Raking in the highest amount with the additional money from property taxes would be the general fund at about $27 million. Dunn explained that would include countywide services like the sheriff’s office, EMS, parks & rec, and libraries.
Next is the fire district, which is getting approximately $7 million. That includes fire stations and firefighters.
“Which certainly we need as there is an increased demand for not only firefighters and response times, but additional fire stations,” Dunn said.
[SIGN UP: Action News Jax Daily Headlines Newsletter]
The third highest increase goes to the budget for infrastructure, which includes roadways.
“20 years ago, driving these roads was a whole lot different than what we’re seeing now,” Dunn said, adding that it would also curb congestion concerns.
Commissioners will discuss millage rates at the first and second budget hearing. The budget will be voted on on Sept. 20.