2025 Annual Comprehensive Report

Property tax collections for the current City levy amounted to $270,761,965. The rate of collection as of the end of the fiscal year was 99.49% for the current year levy, with collections for levies in previous years approximating close to 100%. We expect the collection rate to remain at high levels due to the statewide motor vehicle “Tax and Tag Together” system, implemented by North Carolina effective July 1, 2013. The State of North Carolina now collects property taxes on motor vehicles and remits to the City rather than collected by Guilford County under the old system. The overall property tax rate for the FY 2025 budget is $.6725 per $100 assessed valuation, consistent with the adopted rate for FY 2024. The FY 2025 budget was adopted with $0.010 directly recorded in the Housing Partnership Fund and $.035 for transit-related purposes.

The local option sales tax collection amounted to $89,207,772 as compared to the previous year's collection of $84,279,792, an increase of $4.9 million or 5.8% from last year in the governmental funds, however, we note an 88.0% gain in the ten year trend for this revenue source. Guilford County uses the “ad valorem” (property tax) method to distribute its allocated sales tax receipts to municipalities within the County and as a result, sales tax receipts for Greensboro may fluctuate from year to year, depending on the proportion of property tax levies of each of the municipalities within the County, compared to the total collected. Local option sales taxes represent approximately 21.7% of overall general fund revenues in FY 2025. The total sales tax rate in Guilford County is 6.75% with 4.75% charged for the general state rate and 2.00% charged for the local option. The local option sales tax currently in effect is distributed by the State to the County as follows, with subsequent distribution to Greensboro and the other municipalities in the County, based on the “ad valorem” method: Article 39 (1%) Point of Origin Article 40 (1/2%) Per Capita Article 42 (1/2%) Point of Origin Greensboro’s occupancy tax collection of $6,234,806 has increased 59.6% over the ten-year period ending June 30, 2025 and 5.8% increase from the prior year. The increase is the result of additional events occurring within the City, such as activity at the Greensboro Aquatic Center. Intergovernmental Revenues amounted to $85,968,186 as compared to previous year revenues of $76,291,567. State-shared and grant revenues are a major source of funding for municipal operations and services, with intergovernmental revenues comprising 17.3% of total governmental revenues, as compared to 16.2% in the previous year. This increase is mostly due to the receipt of $11,000,000 in state funds for remediation at Bingham Park and the former GTA building. Licenses and permits amounted to $5,267,128 compared to previous year revenues of $4,790,476 an increase of 9.9%. The increase is primarily due to an increase in the number of construction permits during FY 2025.

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