Clarkesville is set to purchase the old Habersham County courthouse property on the downtown square for just over $1 million, given county approval, but city officials say there won’t be a property tax hike to cover the cost.
In total, just over $1.1 million – $190,000 in cash for demolition of the building, plus another $1 million for the property financed through a loan – could potentially be paid to the county in the coming weeks.
Now, with the building potentially demolished in the next 60 days, Clarkesville City Manager Keith Dickerson said there are alternative funding sources that won’t burden taxpayers.
“Property taxes are not going to go up because of this purchase,” Dickerson said. “…that’s my one guarantee is the millage rate will not go up due to this.”
Dickerson said most of the funding likely could come from the city’s (currently $2.7 million) general fund, over time, as well as planned projects that could now be delayed.
“We had several projects we were looking at doing this year,” Dickerson said. “We’re going to probably put all of those funds toward doing the courthouse.”
Those projects include planned renovations and upgrades at Pitts Park, the Historic Mauldin House and the Big Holly Cabin. Still, the total cost of those projects amount to around $180,000, according to Dickerson, leaving just over $800,000 (82%) of funding unaccounted for.
To account for that, Dickerson said the city’s reserve funds – in addition to opportunities for future grants – also could be used to finance what will likely be a 5-year renewable loan. Potential funding sources include a 40-year loan from the USDA, additional funds through the Georgia Mountains Regional Commission, FEMA funding and possible community development block grants.
At least 1/3 of the land will be reserved for the relocation of Clarkesville’s Fire Station 3 – which Dickerson said has long been in need of a new facility. This opens the door for significant funding opportunities in the name of public safety, according to Dickerson.
“I may be able to put some of this land and this loan into long-term financing with USDA at a very low interest rate, or we may be able to get grants that actually purchase the land for the fire station as well,” Dickerson said. “We’re going to be looking at all those options. The work hasn’t even begun yet…but we do know we have the capability of doing this.”
Regarding the potential for delayed projects, Dickerson said there’s about $10,000 in donations from Friends of the Mauldin House, a local nonprofit, that could fund some of those improvements moving forward.
Previous estimates appraised the courthouse property (with the building) at around $900,000 and just over $1 million without the structure. Clarkesville had previously offered $250,000 for the property before Habersham County officials triggered a counteroffer of $1 million.
Clarkesville City Council voted to approve the purchase of the old courthouse property Monday, Feb. 3.
