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Elizabethton City Council to consider FDY21 budget that keeps tax rate at $1.85

John Thompson • Updated Jun 10, 2020 at 10:03 PM

ELIZABETHTON — The Elizabethton City Council is set to consider a conservative annual budget for the 2020-21 fiscal year during its meeting tonight.

The council will hold the first reading on the budget proposal from city staff and consider a proposal to keep the city property tax rate at $1.85 per $100 of assessed value. That is the same rate as this year.

The city staff developed and recommended the proposed budget at the time of greatest slowdown from the impact of the novel coronavirus (COVID-19). City Manager Daniel Estes told City Council members during a budget workshop last week that the sales tax revenue for April was not yet known, so the full impact of the slowdown was not yet understood.

Estes also advised the council that being conservative in spending during the start of the new fiscal year might set the city up for some budget expansion around Christmas if the economy recovers or is not as badly impacted by the slowdown as was feared.

The budget is anticipating a drop in taxes collected next year. Taxes collected are estimated at $10,806,613 for this year, and the new budget anticipates taxes to be $10,606,846 next year. Total appropriations for fiscal year 2019 were $17,563,223. The proposed budget sets total appropriations at $17,401,273.

The council will also consider the other budgets proposed for the new fiscal year, which starts on July 1. They include:

• Total receipts for the Elizabethton City School System are set at $18,200,137.

• Total income for the Elizabethton Municipal Airport is $1,180,000.

• Total revenue for the Elizabethton Municipal Golf Course is $734,600.