CLARKSVILLE, TN (CLARKSVILLE NOW) – The Montgomery County Government and CMCSS are looking for a way forward following news that the City of Clarksville is looking to recapture around $3.5 million in recurring money paid and distributed to the school system in local option sales taxes.

While speaking on the Clarksville-Montgomery County School System’s new fiscal year operating budget, County Mayor Wes Golden said the county spoke with City Mayor Joe Pitts last week about the city’s plans to scale back the local option sales tax that goes to CMCSS.

“This was put into place years ago and voted on by referendum, and it was put in place for teachers’ salaries,” Golden said at Tuesday’s CMCSS budget hearing. “They’re going to try and claw that back, because he says it’s over the bare minimum of what cities can do. From my understanding, the historical part of it, when we consolidated the school system, the city opted to give more of their local option sales tax, so that they are contributing to the school system.

“Just like this new school that we are opening up right now, it’s in the most densely populated part of the city. So, I really don’t know how to move forward with this. My opinion is that we vote on (the CMCSS budget) as-is and see what they do. It’s about $3.5 million of recurring money that they would be cutting from this budget.”

| PREVIOUSLY: City proposes 31-cent property tax increase, pullback of portion of sales tax shared to schools

‘We really just do not have it in the budget to cut $3.5 million’

CMCSS Director of Schools Dr. Jean Luna-Vedder said she had the same conversation with Pitts and pointed out that the school system does not have an excess in funds in the amount of $3.5 million.

“The only thing we have that equates to about that much is an increase in teachers’ salaries, and a 2% COLA (cost-of-living-adjustment) I don’t feel is excessive whatsoever. We really just do not have it in the budget to cut $3.5 million,” Vedder said.

“The reality is our city schools are some of our neediest schools. … Our Title I schools are highly economically disadvantaged … a lot of them do tend to be in the city. We do provide extra resources intentionally to those schools that need it. It might look like extra teachers, it might look like an extra assistant principal, we just think that’s fair. And so, it was a little bit of a surprise to think about what that would look like to take back $3.5 million.”

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Vedder said that a 1% COLA is just shy of $3 million, but they also have state minimum requirements to meet. “When you look at TISA (Tennessee Investment in Student Achievement) dollars and money that’s allocated, you have to meet those minimums,” she said.

“Additionally, when you look at what the minimum teaching salary is, we are not above counties that are next to us; actually, some of those counties are higher than us. So, we are not super competitive like we would like to be, but we don’t feel like this is over generous in any way, shape or form.”

School Board already approved budget, attorney looking into matter

Golden said that the news came to the Montgomery County Government after the CMCSS School Board had already voted on and approved their FY 2026-27 budget. “They’ve already approved their budget, and we’ve been in our budget process for a long time now, so it was kind of a shocker,” he said.

It was also clarified that this is a proposed City of Clarksville budget and nothing has yet been approved by the City Council. Golden said that Montgomery County Attorney Tim Harvey is looking into the situation and that he asked Pitts if this process will have phases or if it would take place all at once.

“Typically, we like to forecast the budget long-term, and this is kind of last-minute,” Golden said.

County Commissioner John Gannon, who also serves on the Budget Committee, asked since it was voted on through referendum, wouldn’t that referendum have to be overturned to move forward with the process. Golden said that’s one thing Harvey is looking into now.

“We have a tight budget as well, so I don’t know where we would come up with another $3.5 million. We’re only proposing a 2% increase for our employees, so my thoughts are we get this on the table, vote on it as is, and if we have to come back, that’s what we have to do,” Golden said.

The County Budget Committee approved CMCSS’s new budget, with the expectation that they may have to amend it at a later date.

The Clarksville City Council will meet next for their regular session meeting at 6 p.m. on Thursday, May 5.

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