Despite being among the quarter of North Carolina counties that raised property taxes this year, Pasquotank still ranks among the bottom third in property tax rate, a new study shows.

According to the North Carolina Association of County Commissioners, Pasquotank and Yancey counties tied for the 19th lowest tax rate in the state during the fiscal year that ended June 30.

Two weeks ago, Pasquotank's ranking climbed to 32nd — tying McDowell County — after commissioners approved a $38.5 million budget that raised the property rate from 50 cents per $100 of valuation to 55 cents.

Only 25 of the state's 100 counties adopted budgets for the fiscal year that began Tuesday that included a property tax increase.

That's the lowest number of counties raising taxes since 1998-99, when fewer than 20 counties raised property taxes, according to Todd McGee, spokesman for NCACC.

This year, 69 counties didn't raise taxes at all, while six counties — including Perquimans — were able to reduce their property tax rate, McGee said.

The tax increase in Pasquotank would have been higher if the county hadn't borrowed $800,000 from its water fund to balance the budget, County Manager Randy Keaton said.

The main reason for the increase was a slowdown in the economy, which has seen building drop off from a high just a couple years ago, as well as a sharp decline in sales tax revenues, Keaton said.

The tax increase was only the second rate hike for Pasquotank in the past eight years.

Last year, the rate increased by 2 cents, while three years ago, the rate was cut by 2 cents, and two years ago it was cut by 1.1 cents.

Prior to last year, the last time Pasquotank raised its tax rate was in 2000, when it went up 8 cents.

Even with the 5-cent increase, the county still ranks in the bottom third of counties in overall tax rate, Keaton said.

Scotland County, which lowered its tax rate 4 cents, still had the state's highest tax rate: $1.02. Orange County, which includes the city of Chapel Hill, has the next highest rate, 99.8 cents. Other counties at the top of the property-tax spectrum include Gates, 97.5; Edgecombe, 94; Warren, 92; and Hertford 91.

Carteret County, which includes Morehead City, had the state's lowest tax rate at 23 cents, according to the NACCO data. Rounding out the five counties with the lowest rate were Dare, 26 cents; Macon, 26.4 cents; Jackson, 28 cents; and Brunswick, 30.5.

Nearby Currituck, which had a rate of 32 cents, had the seventh-lowest rate, according to the NACCO study.

McGee said all counties had to grapple with the high price of fuel and lean

economic forecasts when putting together their budgets.

Keaton said it's difficult to compare one county to another, because some are rural, some are urban, some are affluent and others are poor. All have different needs to address, he said.

"Each individual county's situation is different," Keaton said. "A couple years ago we were able to reduce taxes."

Pasquotank's 5-cent increase in the property tax rate wasn't the state's highest. Six other counties had higher rate hikes, including Yancey, which raised its rate 11.6 cents; Cabarrus, whose rate rose 11 cents; Warren, which raised its rate 8 cents; Lincoln, whose rate rose 7 cents; Cherokee, which raised its rate 6.4 cents; and Union, whose rate went up 6 cents.

Locally, Camden, Currituck and Chowan all held the line on taxes. Perquimans, which underwent a revaluation, was able to reduce its tax rate by 2 cents. Its revenue-neutral rate was 43 cents, but the budget reduced it to 41 cents.

Camden's tax rate is 59 cents, while Chowan's is 56 cents.

In Pasquotank, a taxpayer with a $300,000 home who paid $1,500 a year in property taxes will pay $150 more this year because of the 5-cent rate increase.