This article has been updated with additional information. 

CLARKSVILLE, TN (CLARKSVILLE NOW) – After cutting around $9.2 million in proposed spending, the Montgomery County Commission adopted the 2025 FY budget Monday night, while lowering the proposed property tax rate from $2.18 to $2.10 per $100 of assessed value.

Before the special session meeting was held, the commission allowed citizens to present their concerns, and a handful of them spoke in opposition to the tax rate being set at $2.18. After hearing their constituents out, the County Commission analyzed the budget for possible cuts.

$9.2 million in cuts

Commissioner John Gannon proposed cutting $700,000 in funding for the Evoke Public Service Training Center (engineer drawing), $2 million for the Palmyra salt shed and $1 million in land acquisition funding. His motion was approved unanimously.

Commissioner Rashidah Leverett proposed cutting $500,000 from the proposed Juvenile Resource Center, which was approved 17-4.

Commissioner Joshua Beal proposed that the $2 million renovation project at Veterans Plaza/Assessors Office be cut for the time being, as well as $1.7 million for the Rotary Park sidewalk project. “I believe this will bring our tax rate to around $2.10,” Beal told the commission.

Mayor Wes Golden responded by saying, “If we want to get to $2.10, I think we need to cut some more. … We don’t need to reduce revenue and say we’re going to keep borrowing this amount of money. I feel like that’s what we’ve done in the past, and we have to pay-as-we-go more.”

Shannon Holt, with the county finance office, told Beal that with everything that’s been cut thus far, along with his proposed cuts, the total cuts would come out to $7.9 million, which would bring the property tax rate to $2.10. However, Holt reiterated that if the county wants to reduce the amount they plan to borrow for fiscal year 2025, more cuts will need to be made.

“Right now, what we’re scheduled to borrow, based off what the Budget Committee passed, is $21.5 million with closing costs,” Holt said.

Beal’s amendment to cut a total of $3.7 million from the budget was approved 18-3.

Additional budget cuts

Commissioner David Harper proposed removing $650,000 worth of funding for Fredonia phase two construction, as well as $750,000 in Greenway funding. Harper also proposed removing funding for Stokes Field but ended up withdrawing his motion.

Commissioner Joe Smith said as the representative for the Fredonia area, he has spoken with a lot of constituents, and they are OK with cutting the funding for now and postponing the development another year.

“We’ve been promised it for several years,” Smith said. “And it was almost something that could happen this year, but due to inflation, they are OK with it. It would almost decrease the rate by a little over a penny.”

The commission voted to cut funding for Fredonia and the money put toward the Greenway for this next fiscal year.

The commission voted to allocate $100,000 for the Highway Department’s budget, so they can place a fence around the Palmyra salt shed development and use it as a laydown site.

In addition to the County Commission cutting $9.2 million Monday night, the Budget Committee had previously cut around $30 million throughout this budget cycle.

In the end, the County Commission narrowly passed the budget 11-10. Voting yes were with Leverett, Tangi Smith, Jorge Padro, Jeremiah Walker, Carmelle Chandler, Walker Woodruff, Beal, Harper, Lisa Prichard, Chris Rasnic and David Shelton.

Voting no were Gannon, Jason Knight, Joe Smith, Rickey Ray, Michael Lankford, Nathan Burkholder, Joe Creek, Ryan Gallant, Billy Frye and Autumn Simmons.

Proposed property tax rate lowered

The commission then approved setting the property tax rate at $2.10, with the mindset of borrowing as little money as possible with the additional cuts that had been made.

The resolution passed 11-10 with Lankford, Tangi Smith, Padro, Walker, Chandler, Woodruff, Beal, Prichard, Frye, Simmons and Shelton voting in favor. Voting no were Gannon, Knight, Joe Smith, Ray, Leverett, Burkholder, Creek, Harper, Rasnic and Gallant.

The certified tax rate for the county was issued in the month of June at $1.832, down from the existing $2.99. The certified tax rate balances the total property tax revenue collected between tax year 2023 and 2024, and the rates are calculated based on the overall value of countywide properties increasing 65% during reappraisal this year.

Each property tax rate is per $100 of assessed value. So, for example, if your home’s market value is $200,000, your assessed value is 25% of that, or $50,000. So, with the proposed property tax rate set at $2.10 per $100 of assessed value, you would pay $1,050 in county taxes. ($200,000 x .25 / $100 x $2.10 = $1,050).

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