Buncombe County -- July 3, 2026:New legislation approved by the North Carolina General Assembly is expected to significantly impact Buncombe County property owners, local governments, and the County's adopted budget for the 2026-27 fiscal year.
On June 19, Governor Josh Stein signed Senate Bill 889, placing a one-year moratorium on using updated 2026 property reappraisals for tax purposes. Because Buncombe County's latest property reappraisal became effective on Jan. 1, 2026, the new law delays the use of those updated property values until 2027.
A second piece of legislation, Senate Bill 474, passed both chambers of the General Assembly on July 1 and was ordered enrolled. The bill gives Buncombe County a potential exemption from the moratorium if the County adopts a revenue-neutral property tax rate rounded to the next penny. However, Buncombe County had already adopted its Fiscal Year 2027 budget and tax rate on June 2.
County Manager Avril Pinder said the legislation presents major financial challenges.
"Buncombe County is committed to transparency, stability, and responsible stewardship of taxpayer dollars. These two bills have significant implications for our budgeting, our storm recovery, and our residents," Pinder said.
Two Options Before Commissioners
The Buncombe County Board of Commissioners now faces two possible paths.
Option 1: Exemption from the Moratorium
The County could use the updated 2026 property values by adopting a revenue-neutral tax rate of 40 cents per $100 of assessed value.
County officials estimate this option would reduce General Fund revenues by approximately $24.8 million, or roughly 5% of the County's adopted FY27 budget, resulting in significant impacts to County programs and essential public services.
Option 2: Remain Under the Moratorium
If the County remains under the moratorium, it would continue using the previous 2021 property values while increasing the tax rate above the currently adopted 43.2 cents per $100 in order to generate enough revenue to balance the FY27 budget.
This option would also require Buncombe County to revisit tax rates for Asheville City Schools and the County's unified fire districts.
Local municipalities including Montreat, Black Mountain, Weaverville, Woodfin, Biltmore Forest, and Asheville could also be affected depending on which option the County ultimately chooses.
In addition, Buncombe County expects to lose approximately $1.8 million in anticipated public service utility tax revenue, while municipalities could see a combined loss of approximately $298,000.
What Property Owners Should Know
If Buncombe County remains under the moratorium:
The 2026 property reappraisal will not take effect until Jan. 1, 2027.
Property owners who have already filed appeals will not need to file another appeal unless their appeal was denied and they wish to appeal again.
Appeals that have already been approved will remain valid.
Appeals still pending will remain unresolved until next year.
Residents currently enrolled in property tax relief programs will remain enrolled.
Buncombe County's Tax Department will continue offering payment programs for homeowners.
Changes in tax rates do not automatically mean higher tax bills because tax bills are based on both property value and the adopted tax rate.
Property tax bill mailings may be delayed because of the legislative changes.
Residents wishing to receive updates from Buncombe County can sign up for BC Alerts by texting "BCReady" to 67283.
Board Chair Raises Concerns
During a July 2 press conference, Buncombe County Board Chair Amanda Edwards expressed concern that the legislation could undo years of work aimed at making the County's property valuation system more equitable.
The Buncombe County Board of Commissioners is expected to discuss its next steps later this month as it determines how to respond to the new state legislation.
Editor's Note: This article is based on information released by Buncombe County on July 2, 2026. Legislative actions referenced in this story are subject to completion of the legislative process and any subsequent changes in state law.