Finally, some good news from Annapolis: The state's property tax rate, which is added to the homeowner's local tax levy, was set Wednesday at just 21 cents per $100 of assessed value. That's cheap in this day and age.
How cheap is it? Look at it this way: Our grandparents and great-great-grandparents paid a higher state property tax rate than we are paying today. The state rate hit 23 1/4 cents in 1912 and a whopping 25 cents in 1842. Yet today's property tax now pays for far more in the way of underwriting state construction bonds. It raises $199 million.
Maryland's consistent growth over the past decade and the underlying strength of its economy have helped keep the revenue from this property tax flowing steadily, even during the current recession. Thus the 21-cent tax rate doesn't have to be raised. That makes it 11 years in a row without a higher state property tax. Who said government can't be frugal?