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A Resolution declaring a June 30, 2021 sunset of the current property tax rate in Metropolitan Nashville and Davidson County.
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WHEREAS, in June 2020, the Metropolitan Council approved a combined property tax increase of $1.066 per $100 of assessed value in the Urban Services District and $1.033 per $100 of assessed value in the General Services District; and
WHEREAS, on August 26, 2020, a petition was filed with the Metropolitan Clerk seeking to amend the Charter by referendum that would, in part, attempt to repeal the 2020 tax increase; and
WHEREAS, Chancellor Ellen Hobbs Lyle ruled on November 3, 2020, that the language in the proposed Charter amendment is defective in form and facially unconstitutional, and thus cannot go onto the ballot for voter consideration; and
WHEREAS, the Fiscal Year 2021-2022 operating budget ordinance anticipated a reduction in sales taxes of $161,377,200, primarily as a result of the COVID-19 pandemic, which equates to approximately 47.3% of the property tax increase; and
WHEREAS, approximately $84,401,900, or 24.7% of the property tax, was for the purpose of replenishing cash and fund balances; and
WHEREAS, regardless of the legality of the proposed Charter amendment, the Council recognizes that some property owners believe the size of the tax increase approved in June to be excessive; and
WHEREAS, in order to provide assurance to the taxpayers that the Council will reevaluate the tax rate as part of the Fiscal Year 2021-2022 budget process, it is appropriate that the Council go on record as declaring a sunset of the current property tax rate on June 30, 2021.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE METROPOLITAN GOVERNMENT OF NASHVILLE AND DAVIDSON COUNTY:
Section 1. The Metropolitan Council hereby goes on record as declaring that the Fiscal Year 2020-2021 property tax levy approved by Substitute Ordinance No. BL2020-287 will sunset on June 20, 2021, and that the Council will perform a full and thorough review of the revenues needed for Fiscal Year 2021-2022 before approving a new tax levy.
Section 2. This Resolution shall take effect from and after its adoption, the welfare of The Metropolitan Government of Nashville and Davidson County requiring it.