MADISON County, Tenn (July 18, 2017) – On Tuesday at the July meeting of the Madison County Commission commissioners increased the local tax rate for the first time in 26 years.
County Commission voted 17-7 in favor of a 30-cent property tax increase.
The increase will give the county an estimated of $6 million additional revenue for the next fiscal year, which will help fund the Jackson Madison County School portion of the county’s $195 million budget.
Last month the county reached an agreement with The City of Jackson and the Jackson-Madison County School System. In the agreement the city retained half its portion of local option sales tax revenue, about $6 million.
The county’s property tax rate increases from $2.15 to $2.45 per $100 of assessed value. The tax is estimated to raise approximately $6 million.
For a $50,000 residential property that is an additional $37.50, and a $75 increase for a $100,000 residential property.
At its next meeting the County will likely form a revenue committee charged with the job of exploring other potential revenue sources. One possibility is a wheel tax referendum. Chairman Gary Deaton said if a wheel tax is approved by voters the commission would likely reduce some portion of the property tax increase.
The legislative body also approved an amended local option sales tax agreement between the county, city and school system.
All three parties have now approved the agreement.
A lawsuit filed in chancery court by Madison County against the City of Jackson will be dismissed.
BY Keith Sherley
TWITTER: @keithsherley
EMAIL: [email protected]
