A recent letter in support of a candidate said this: "There is only one way to get here and that is by car. That pressure will only increase because Rehoboth, Lewes and Dewey are Sussex County's cash cows. After all, why would anyone go inland to visit chicken coops?"
It is likely true that much of the spending in Sussex County by people from outside the county is in the beach communities. But I quibble with the statement that these communities are Sussex County's cash cows.
First, the No. 1 revenue source for the county budget, at 35 percent, is the realty transfer tax. But since Rehoboth Beach, Lewes and Dewey Beach are incorporated, the entire 1.5 percent of the local portion of the transfer tax goes to the town, not to the county. The property tax - the portion that goes to the county and not for schools - is 29 percent of Sussex County's budget.
Second, because Sussex County has not reassessed its properties since 1974, and property values have risen far faster in the eastern third of the county in the 42 intervening years, the eastern third is not being asked to pull its weight in funding county services.
My property, within Rehoboth Beach city limits, was revalued by the city in 2014, and the valuation came out to 77 percent land value and 23 percent improvements. The county's 1974 valuation on the same property is 25 percent land value and 75 percent improvements, and Rehoboth Beach's 1968 valuation on it was 15 percent land value and 85 percent improvements.
Taxpayer investment in Coastal Highway widening has contributed hugely to this rise in eastern land value. So has beach replenishment - courtesy of taxpayers from all over the country. The western part of the county has not experienced comparable growth. The result is that home and business owners in the western part are paying disproportionately high property taxes and subsidizing those served by Coastal Highway.
And the transfer taxes fueled by development are funding county spending, which leads to perverse incentives. Our elected representatives are very proud of not raising the 4 cents per $100 in 1974 value in many years - but it leads to the approval of development that puts even more load on existing infrastructure and makes our roads impossible for many hours of the day - not to mention what they'd look like were an evacuation required by a hurricane or nor'easter.
If it isn't time yet to bring our county property assessments up to date, when will it be? What will the signs be? And it is fair to ask, cui bono? - For whose benefit is the 1974 valuation kept in place?
Wyn Achenbaum
Rehoboth Beach
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