FLOWERY BRANCH — Flowery Branch and state officials talked about rising property taxes and burdensome environmental regulations, among other issues, in a meeting Wednesday at the city’s historic train depot.

City officials held the meeting, including a catered lunch, as part of the Georgia Municipal Association’s “Hometown Connection” program.

City Manager Bill Andrew and City Manager James Riker guided the group through a computerized presentation on the city, including basics, such as size and population.

Then, the conversation turned more toward budgetary issues, such as revenues and expenses, with Andrew at one point talking about the amount of property tax revenue the city receives from residents.

Discussion led to the Homeowners Tax Relief Grant, a state reimbursement to local governments for a credit on residents’ property tax bills.

State Rep. James Mills, R-Chestnut Mountain, said he took issue with a note from Hall County that went out with recent tax bills.

“I’ve got no problem with someone saying that the governor and the Georgia General Assembly didn’t fund the (grant this year) — and the reason we didn’t is because there’s no money there,” he said.

“But if you’re going to say that and you’re going to imply that’s the reason for the tax increase, then I would challenge the county or any city government to take our last 10 property tax bills, lay them on the table ... and show me why property taxes haven’t gone down during that time frame.”

State Sen. Lee Hawkins, R-Gainesville, said, speaking about the state government, “Right now, we don’t have the money to give back. If we’re going to give your money back, we’re going to raise your taxes.”

“We don’t want to do that,” he added. “That alone will stifle small businesses.”

The state has cut its budget by more than 10 percent, Mills said.

“The issue is everybody has got to cut, because we are all going through difficult times,” he said. “The calls I’m getting is ... ‘why is my property being assessed at the same value as it was last year, because it certainly is not the same value.’”

Lamar Norton, director of government relations for the Georgia Municipal Association, said city governments statewide are feeling the financial crunch.

“A lot of cities are operating at a 2002 to 2005 budget level,” he said. “... And I don’t think we’re through. I think the cities are lagging the state by a year or two. I think 2011 will be our toughest budget year.”

The economic downturn has been felt in Flowery Branch government, where city raises have been frozen and employees are being furloughed, Andrew noted.

In another matter, city officials also talked about having to comply with strict regulations from the state Environmental Protection Division.

Riker passed around a couple of thick books the city has been required to produce, with the help of a paid consultant.

Mills said that agencies sometimes overstep boundaries in enacting rules and regulations that comply with laws passed by the legislature.

He urged city officials and the GMA to provide “bullet points on a page” citing their concerns.

“We can look at them ... and get them to change regulations,” Mills said.