Here is the video of the State of Metro address by Mayor Karl Dean in which he makes the case for a property tax hike.
First Property Tax Rate Adjustment in Mayor’s Tenure Proposed
NASHVILLE, Tenn. (May 1, 2012), Mayor's Office Statement - In his fifth State of Metro address, Mayor Karl Dean today announced
a fiscal year 2012-2013 operating budget that moves the city forward by
investing in schools and public safety, while also reducing the
overall budget for other Metro departments by $3 million.
Additionally, Dean is proposing to adjust the property tax rate
upward for the first time during his tenure, saying a 53 cent increase
would generate about $100 million in new annual revenue. The impact on a
typical Nashville homeowner would be approximately $16 a month, or
$192 a year, using the Greater Nashville Association of Realtors’
median home price of $145,400.
“I refuse to be the mayor who turns back the clock on public safety
and education,” Dean said. “I choose to continue our forward momentum.”
In Dean’s proposed $1.71 billion budget, the new revenue would allow
the city to continue to invest in education and hire up to 100 new
teachers, increase the starting salary of new hires from $35,000 to
$40,000 and add two new non-traditional schools.
When it comes to public safety, the new revenue would allow the city
to retain 50 police officers first hired with a federal COPS grant,
provide staff and equipment to operate a new DNA crime lab and fund two
new positions in the District Attorney’s office to specifically handle
domestic violence cases.
“No mayor wants to stand up and talk about raising taxes,” Dean
said. “But we’re not Washington. We can’t run a deficit, and we can’t
print money. The easy answer, the political answer to our situation,
would be to let the city go backwards, make Draconian cuts and frame
the consequences with some anti-tax mantra.”
The tax rate adjustment also would allow the city to invest in
employees by giving nearly all Metro workers – about 95 percent of them –
a 4 percent salary increase. Department heads and some senior managers
would get a lower 2 percent increase.
Without the property tax increase, “We could lay off 200 police
officers, 200 firefighters, 200 teachers, close all four regional
community centers, all five regional libraries – and still not come
close to making up even half of what the tax rate adjustment will
generate,” Dean said.
Dean is proposing to protect Nashville’s most vulnerable residents
by extending the Property Tax Relief program. The proposed budget
includes increasing Metro’s contribution to the program in order to
double the match that the state of Tennessee provides. The proposal
also would double the number of tax relief recipients who have their
tax bills paid in full based on the appraised value of their home.
“By doing this, the more than 6,400 elderly, disabled and disabled
veterans in our community who participate in this program will be
greatly protected from the property tax adjustment,” Dean said.
During today’s speech, Dean announced elements of a new capital
spending plan, the city’s first since 2010. He will propose
approximately $300 million in strategic investments in the city’s
infrastructure, including $100 million for schools and $200 million for
the general government, in a plan to be submitted to the Metro Council
later this month.
The capital spending plan for schools is the largest since the
1990s. It will include more than $20 million for improvements to
Stratford High School, funding to build a new gymnasium for Hume-Fogg
Academic Magnet High School, expansion and renovations at seven
elementary and middle schools and funds to purchase land for a new
elementary and middle school in Southeast Davidson County, as well as
to purchase land for a future expansion of Julia Green Elementary.
The capital spending plan also will propose additional investments
in sidewalks, paving and bikeways; continuing work on riverfront
redevelopment; acquiring additional property for the Open Space plan;
and continued expansion of greenways and improvements of parks,
including Centennial Park and Shelby Park. It will also propose
construction of a new Bellevue library and expansion of Bus Rapid
Transit services to Murfreesboro Road.
Dean gave his State of Metro address at the new Cumberland Park on
the East Bank of the river. Nashville singer-songwriter Chuck Mead was
the special musical guest.
Since taking office, Dean managed the city through the Great
Recession and historic flooding at a time when city revenues grew by a
mere 2 percent, compared to the four years prior when revenues grew by
20 percent. Nevertheless, he fully funded education and maintained
funding for public safety. He reduced the government workforce by 668
full-time employees as he decreased department budgets by 10 percent to
15 percent, resulting in some $59.2 million in cuts.
“Today I can confidently say that the State of Metro is strong, and
our prospects for the future are even better,” Dean said, “Not by
chance, not by luck, but because of the strategic decisions we’ve made
to cut where we needed to cut, invest where we needed to invest and not
let financial pressures sway our commitment to the things that matter
most – the three things I talk about all the time – education, public
safety and economic development.”
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