By Thom Roddy – Published March 22, 2024

Updated and corrected numbers.

^{In addressing this matter of significant concern to our county, I want to establish upfront the transparency of my viewpoint. Having thoroughly examined the court’s opinion issued on March 19, 2024, and delved into a substantial portion of the extensive court records preceding this decision, it’s apparent that Currituck County Commissioners operated with good faith. The 2004 amendment to the statute proved to be fraught with ambiguity and lacked clear definition, a void that the appeals court sought to rectify with its recent ruling. While the attorneys representing the plaintiffs presented compelling arguments, the county’s legal representation fell short, as evidenced by the court’s decision.}

^{Nevertheless, I am confident that the county can navigate forward in adherence to the statute, now better delineated by the court’s clarification. However, I harbor deep concerns regarding the potential undue burden that would be shouldered by county residents if they were individually tasked with shouldering the costs associated with reimbursing the tourism account. Such a prospect would undoubtedly place an overwhelming strain on our community’s finances.} Thom

How big is your wallet?

What could this decision mean to individual taxpayers in Currituck County? That’s the question everyone owning a home in our beloved parcel of North East Coastal Carolina should be asking. The decision being discussed could have significant implications for individual taxpayers in Currituck County, particularly those who own homes in the area. Reports suggest that if the county is required to reimburse the tourism account with an amount exceeding $30 million, there may be a need for a tax increase of around 0.16 cents.

To gain further insights, I sought the expertise of a local Real Estate Broker.

Putting this into perspective, let’s consider a hypothetical scenario with a home valued at approximately $500,000. In this scenario, if Currituck County raises taxes by an additional 0.16 cents, homeowners could anticipate an increase in their monthly mortgage payments. Assuming a typical interest rate of around 2.5%, the mortgage payment could increase by approximately $66.00 per month. However, it’s essential to note that these figures are estimates, and the actual impact would depend on precise numbers provided by the county regarding any tax increase.

Example 1. Current Home Tax Value = 495,400.00/100 = 4,954 X .56 = 2,774.24
Example 2. Current Home Tax Value – 495,400.00/100 = 4,954 X .72 = 3,566.88
3,566.88 – 2,774.24 = 792.64/12 = a mortgage increase of 66.05 per month (not including insurance, and junk fee’s)

Update: I was just informed by a source that the tax increase would be closer to .13.5 cents rather than .16

What could happen next in Costanzo et al. v. Currituck County?

After the North Carolina Court of Appeals rules in favor of the plaintiff, and all three appeals judges agree on the opinion, the defendant has several legal options available, including:

1. Appealing to the North Carolina Supreme Court: The defendant can petition the North Carolina Supreme Court to review the decision of the Court of Appeals. The Supreme Court may choose to accept or decline the appeal. If accepted, the Supreme Court will review the case and make a final decision.
2. Filing a Motion for Rehearing or Reconsideration: The defendant may file a motion for rehearing or reconsideration with the Court of Appeals. This motion typically argues that the court’s decision was erroneous or that new evidence warrants reconsideration.
3. Seeking Certiorari from the United States Supreme Court: In cases involving federal constitutional issues or questions of federal law, the defendant may petition the United States Supreme Court for a writ of certiorari to review the North Carolina Court of Appeals decision. However, the Supreme Court has discretion over whether to grant certiorari.
4. Compliance with the Court’s Decision: If the defendant exhausts all available avenues of appeal or chooses not to pursue further legal action, they must comply with the Court of Appeals’ decision. This may involve paying damages awarded to the plaintiff, complying with any injunctions or orders issued by the court, or taking other actions as required by the judgment.

BlackwaterReports continues to follow this developing story.