Fort Wright approves lowest property tax rate in a decade, credits ‘fiscal management’

The Fort Wright City Council has authorized a substantial reduction in the City’s property tax rate for fiscal year 2024-25. This action reduces real property tax rates to the lowest tax rate imposed in more than a decade, a reflection of the City’s commitment to fiscal management and the responsible stewardship of tax payer dollars.

City Council voted unanimously to lower the current Real Property Tax Rate of $2.48 per one thousand dollars of assessed value to $2.15 per one thousand dollars of assessed value. This reduction reflects a 13.31% decrease in the rate and rolls the property tax rate back to 2009 – a time when the country was still recovering from the nationwide financial crisis of 2008 and the city had historically some of the lowest property tax rates in the last 15 years.

City Council’s investments in the City continue to pay off, as evidenced that the average value of a home in Fort Wright has now grown to $299,400. At the newly adopted tax rate, the owner would pay $643.71 compared to $742.51, a savings of $98.80 per year.

The adoption of this historically low rate is anticipated to position the City of Fort Wright as the third lowest property taxing entity in Kenton County.

The lowering of this year’s property tax rate continues a trend established by the Fort Wright City Council and City Administration to deftly manage the City’s budget and continually strive to balance expenses with income while maintaining our debt free status.

In a continual effort to be empathetic and responsive to rising concerns over massive inflation driving up the cost of living, City Council has worked diligently to reduce or hold the tax rate steady every year since 2018 while continuing to invest in infrastructure and improve services to our community.

Revenue generated from property tax receipts helps pay for essential City Services including Police and Fire Protection, modern life-saving equipment such as a new ambulance, heart monitors, electric car fire blankets, and police body cams; superior snow removal, street repairs and maintenance; infrastructure improvements; and much, much more.

“Our low tax rates and high property values help us attract and retain commercial businesses that create other revenue streams which assist in offsetting the cost of operating a full-service community that is focused on serving the needs of those who live, work, and visit Fort Wright,” Mayor Dave Hatter said.

Higher property values create both short-term and long-term benefits for property owners, including increasing the equity and the return of investment dollars when the property is transferred to a new owner.

The city works diligently to provide residents with world-class services and infrastructure that assist in the retention and growth of residents’ investment in our community. Increasing and/or retaining investments in real property while reducing the tax burden and providing top notch services has been and will remain the goal of the Fort Wright City Council.

It is important to note that despite this historic tax rate reduction, some property owners may notice an increase in their overall property tax bill. If this occurs, it is the result of a reassessment of property values in the City and the direct impact of rising property valuations on individual property.

In Kenton County, property valuations and assessments are determined by the Kenton County Property Valuation Administrator’s Office, also known as the PVA. The PVA is an independent state governmental agency with branches in each Kentucky county who, by Kentucky statutes, follows a predetermined process to value each and every parcel of property in the Commonwealth.

The City of Fort Wright, nor any other local government jurisdiction, has any ability to control or influence the operations and processes established by the PVA to determine the value of any property.

According to the PVA, “The assessment of your residential property is based on the market value as of January 1, 2023. The Property Valuation Administrator gathers characteristics about each property, researches local sales, and utilizes valuation models to determine your property assessment.”

Overall, the property within the City of Fort Wright was re-evaluated by the PVA and increased by a whopping $129,025,405 from $631,935,920 to $760,961,325, a roughly 21% increase. City Council realized that an increase that large was much too painful for residents to handle and moved quickly to substantially cut the tax rate to offset this increase.

The Commonwealth of Kentucky’s Department of Revenue calls for an annual review of property rates, however, due to the complexity of various cities and the size of Kenton County, property re-evaluations actually only occur every four years rather than annually. As a result, the City of Fort Wright is not scheduled to receive another city wide re-assessment of valuations until 2028. At that time, new valuations and assessments will be based upon property values as of January 1st, 2027.

City of Fort Wright

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