Low airport tax is a wise levy

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Saturday's editorial titled "The good, the bad and the ugly of county taxes," didn't contain much insight on the airplane tax.

The Star-Exponent's proposal to make our airport taxes and costs uncompetitive simply doesn't make business sense. In order to keep the operating costs of the airport to a minimum we need to attract aircraft owners as customers who rent hangars ($3,000 per annum) and tie-downs from the county. They also pay taxes and buy services such as gasoline from the county.

We compete with surrounding airports for the presence of airplanes. Over the last 10 years, the aircraft population has risen from about 35 to 138 with a consequent major saving to the taxpayers in net operating costs. The single greatest component in that phenomenon was the competitive personal property tax on airplanes.

The supervisors, not the county administrator, decide the tax rates and they have wisely and consistently supported the view that Culpeper needs a good all weather airport facility to ensure that Culpeper generates the tax base we so badly need from light industry plus the jobs they can bring here. Firms such as Terremark do not invest where they cannot easily reach their local management by air.

The strategy is steadily gaining ground as the tax base and job creation attributed to the airport from companies like Merrillat and Lowes, who routinely use the airport, continue to increase. According to figures from the Virginia Department of Aviation the yearly economic benefit contributed by the airport reached $2.49 million in wages and $6.79 million in economic activity in 2006.

We can indeed follow the paper's advice and raise our costs to the Culpeper based aircraft residents above a competitive level and watch them defect to other counties or continue our current strategy that will bring the economic development and jobs we desire.

An added benefit is that the hangar rents, which are the mainstay of the airport's cash flow, will make the enterprise fund revenue positive making the airport a no-cost source of tax and job creation for the county.

When it happens, you can thank the supervisors for making good business decisions and looking after the long-term good of Culpeper taxpayers.

Mike Dale is chairman of the Culpeper County Airport Advisory Committee. He lives in Remington.

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