Updated to add information on county commissioner pay.

CLARKSVILLE, TN (CLARKSVILLE NOW) – The new county property tax rate up for a vote next week will help pay for a 5% raise for all county and school employees, over $13 million in road projects, and over $9 million in school repairs and renovations.

The Montgomery County Commission was presented with the full proposed 2024-25 budget this week. According to the budget presentation Monday night, highlights include:

  • $4 million for a 5% COLA (cost-of-living adjustment raise) for all county and Clarksville-Montgomery County School System employees.
  • $9.2 million in CMCSS capital projects (mainly roof and HVAC renovations)
  • $13.5 million in road projects
  • $6.9 million for a Courts Center renovation for the new, additional Circuit Court judge
  • $6.1 million for EMA/Fire Service
  • $3.9 million for Stokes Field improvements and Rotary Park sidewalks
  • $4.9 million for 52 new employees

The proposed budget includes creating 17 additional positions at the Montgomery County Sheriff’s Office, but nine of those are coming from reclassifying consistently unfilled positions from the County Jail. The eight other new positions are for School Resource Officers.

In all, the budget calls for 52 new positions across all county departments, 43 without the jail reclassifications.

The COLA raise does not apply to elected officials, including County Commission members, who are not county employees, or to the county mayor, whose pay rate is set by the state County Technical Assistance Service.

School repair concerns

During discussion, County Commissioner David Harper asked about additional construction needs for CMCSS, and whether the county was “kicking the can” down the road to future taxpayers. CMCSS had asked for $54 million for building maintenance needs, and they received $9.2 million in the proposed budget.

“I’m a little concerned that if we do $9 million, and we leave $45 million out there, what that does to the future,” Harper said. “I don’t want to kick the can. I know the county has invested a lot of money in our school system, and I want to make sure all of our fiscal plants are in order.”

County Mayor Wes Golden said the $54 million request is more a matter of CMCSS giving the county a heads up on upcoming projects.

“We need to be planning for this cost,” Harper said. “Deferring $45 million gives me major pause.”

In looking at the county’s debt service projections, Commissioner Billy Frye asked whether those projections included upcoming new school construction, and they do not.

Golden pointed to the importance of pay-as-you go on these projects, especially with interest rates rising from about 2% to 7% or 8%. “In the last five years, I think we calculated, we’ve paid about $135 million in interest,” Golden said. “That was more than the cost of the arena.”

Property tax rate change

As previously reported, the budget includes a proposal to increase the property tax from the certified rate to $2.18 per $100 of assessed value.

The certified tax rate for the county was issued in the month of June at $1.832, down from the existing $2.99. Montgomery County Assessor of Property Erinne Hester previously told Clarksville Now the certified tax rate balances the total property tax revenue collected between tax year 2023 and 2024, and the rates were 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 $2.18 per $100 of assessed value, you would pay $1,090 in county taxes. ($200,000 x .25 / $100 x $2.18 = $1,090)

If a proposed tax rate of $2.18 is approved by the County Commission, the average home valued at $346,000 will pay approximately $25 more per month, according to a Montgomery County news release. Each penny to the tax rate is valued at $894,000.

To view the full Montgomery County budget click here.

The County Commission will hold a public hearing on the budget on Monday, July 15, at 5 p.m., followed by a Special Called Commission Meeting at 6 p.m. to discuss and vote on the budget. Both meetings will be in Commission Chambers at the County Courthouse.