Chris Taylor Takes on the Budget

County Commissioner Chris Taylor has prepared a 6-page document that explains the reasoning behind the new property tax rate of $2.50.

Taylor uses charts and graphs and straightforward explanation to note why the County Commission set the rate where it did.

Here are a few highlights:

1) The property tax rate had not been raised or adjusted for inflation since 2003. Real purchasing power has declined by about 21 cents on the dollar over that time period. That means the county brings in the same dollar amount and it buys less and less each year.

2) The previous County Commission borrowed over $22 million from various reserve funds over the past 5 years to make up for the deficit budgets they were running.

3) The County Insurance Trust was bailed out using reserve funds in 2013 and will need another $3 million bailout to remain solvent in 2015. The Commission intends to correct this problem going forward by charging an appropriate rate for benefits and by properly funding the employee portion of benefits

4) Each 1 cent increase on the tax rate generates roughly $400,000

5) Operating funds for schools, including the new Burrus Elementary, account for nearly 18 cents of the increase

6) An additional portion of the increase will be used to pay for capital projects at schools, including a building plan that will both increase space at existing facilities and repair aging HVAC systems.

7) There are 700-800 people in Sumner County without running water. It will cost roughly $30 million to correct this problem -- but once fixed, it will have long-term health and economic development benefits.

YES - you did just read that there are homes in part of Sumner County that in 2014 do NOT have running water. 

The rate was set at $2.50 so as to allow for projected growth and adjust for inflation over time. In other words, the current County Commission did not want to just cover expenses and be faced with a crisis again next year. This rate, explains Taylor, will allow for growth and the accumulation of reserves.

Read his full presentation here.

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