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The Tennessee Conservative [By Olivia Lupia] –
Two bills aiming to limit how much local governments in Tennessee can increase property taxes are set to be heard by House committees on Wednesday, March 11.
HB1873 by Rep. Jason Zachary (R-Knoxville-District 14) would prohibit local governments from increasing property tax rates beyond 2% plus inflation. City or county governments wanting to exceed these limits would have to put proposed increases to a vote in the next statewide election.
However, an amended version of the bill presented in the House Cities & Counties Subcommittee last week would do away with the previous metrics and only cap property tax increases at 3% for four years with allowances for any additional percentages needed to compensate for inflation. Rate increases could also be “banked” and later applied by municipalities should they choose not to enact the 3% increase each year.
Local governments would still be required to put a referendum before voters should they wish to exceed the rate cap proposed in the legislation.
During the hearing, Rep. Zachary pointed to recent polling suggesting over 90% of Tennesseans support a property tax cap, and that Tennessee remains one of only four states which does not already have a cap in place. He listed several examples of what he called “the most egregious” increases reported from the last couple of years, with many of the municipalities seeing increases of over 100%.
After testimony from a business owner in favor of the bill, government lobbyists against it, and lengthy discussion amongst committee members, HB1873 passed out of the subcommittee with a 5-2 vote along party lines and will now proceed to the full House State & Local Government Committee (contact information below).
HB2607, a separate piece of legislation proposed by Rep. Bud Hulsey (R-Kingsport-District 2), is similar to the original version of HB1873, simply capping increases at two percent and mandating a referendum be held should there be a need for additional revenues. This bill is set to be heard in the House Cities & Counties Subcommittee on Wednesday.
Should you wish to contact members of either committee with thoughts on the bills, use the information below:
House State & Local Government Committee– HB1873 to be heard on March 11
HB1873 would cap property tax increases at 3% plus inflation for four years; requires a ballot referendum for any excess revenues
Rep.john.crawford@capitol.tn.gov; rep.dave.wright@capitol.tn.gov; rep.rush.bricken@capitol.tn.gov; rep.ed.butler@capitol.tn.gov; rep.michele.carringer@capitol.tn.gov; rep.jesse.chism@capitol.tn.gov; rep.vincent.dixie@capitol.tn.gov; rep.rick.eldridge@capitol.tn.gov; rep.dan.howell@capitol.tn.gov; rep.michael.lankford@capitol.tn.gov; rep.tom.leatherwood@capitol.tn.gov; rep.mary.littleton@capitol.tn.gov; rep.greg.martin@capitol.tn.gov; rep.jake.mccalmon@capitol.tn.gov; rep.larry.miller@capitol.tn.gov; rep.bo.mitchell@capitol.tn.gov; rep.jerome.moon@capitol.tn.gov; rep.jason.powell@capitol.tn.gov; rep.dennis.powers@capitol.tn.gov; rep.tim.rudd@capitol.tn.gov; rep.iris.rudder@capitol.tn.gov; rep.gabby.salinas@capitol.tn.gov; rep.todd.warner@capitol.tn.gov
House Cities & Counties Subcommittee– HB2607 to be heard on March 11
HB2607 would cap property tax increases at 2% and require a ballot referendum for any excess revenues
Rep.jerome.moon@capitol.tn.gov; rep.ed.butler@capitol.tn.gov; rep.john.crawford@capitol.tn.gov; rep.vincent.dixie@capitol.tn.gov; rep.mary.littleton@capitol.tn.gov; rep.bo.mitchell@capitol.tn.gov; rep.dave.wright@capitol.tn.gov
About the Author: Olivia Lupia is a political refugee from Colorado who now calls Tennessee home. A proud follower of Christ, she views all political happenings through a Biblical lens and aims to utilize her knowledge and experience to educate and equip others. Olivia is an outspoken conservative who has run for local office, managed campaigns, and been highly involved with state & local GOPs, state legislatures, and other grassroots organizations and movements. Olivia can be reached at olivia@tennesseeconservativenews.com.
