In an unusual Thursday session, the Gwinnett County Commission has passed a $1.3 billion proposed budget that will include a property tax increase for most residents.

The commission, which by law must pass its budget the first Tuesday of the year, was thrown off by the New Years holiday.

Because of a new service district agreement between Gwinnett and its 15 cities, the budget includes a .73 millage increase for those residents in unincorporated areas.  That means a homeowner of an average $160,000 home can expect to pay $40 more a year.

A lawsuit settlement over the service district agreement forced the county to change how it contracts with its cities so no one would be paying for a duplication of services.

Gwinnett Commission Chair Charlotte Nash says it was either raise the millage rate on unincorporated residents or have to cut police services.

"It's a hard, hard choice and I of all people certainly hate that it came down to the this, but we felt like it was necessary to keep those police services at the level that folks in Gwinnett County expect," she tells WSB's Sandra Parrish.

The four new service districts include the county’s general fund, fire and EMS service, police service, and development and enforcement.

Each district will have its own millage rate, so cities with their own police departments would pay less in taxes. Loganville, which also has its own fire department, will see a significant decrease.

The budget itself is an 8.5-percent decrease from last year due to a reduction in property tax values.

Nash says it includes a $1 million reduction to the county's library system, but hopes the library board will choose to take that money from its materials budget rather than operating hours which have already been drastically cut.

"We did some analysis and looked at some of our peer counties like Cobb County, and other library systems have already taken steps to reduce their materials expenditures a great deal," she says.

Nash says the reduction isn't ideal but is the best the county can do in the current economic situation.