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Property tax rates hiked in Union City; workers get raise

Property tax rates hiked in Union City; workers get raise
By DONNA RYDER
Associate Editor
For the second year in a row, Union City residents will see their property tax rate increased by a penny.
After a brief explanation about the budget by city manager Kathy Dillon during a public hearing Tuesday night, the Union City Council on first reading approved without discussion the budget, its appropriations and the new property tax rate.
There was no one from the public who made comment during the called meeting or public hearing.
The increase brings the new property tax rate to $2.12 per $100 of assessed property.
Included in the budget is a 2 percent pay increase for city employees. They received a 3 percent pay increase in the 2010-11 fiscal year budget.
There will be no increases in utility rates, Ms. Dillon said.
Some of the capital projects included in the budget are the completion of the walking track and installation of a water tank at the Northwest Tennessee Regional Industrial Park, lighting at the Union City Civic Auditorium, the closure of the Municipal Pool, construction of the Shorty Shields Lift Station and Phases 1, 2 and 3 of I-69.
Also included in the budget is an increase in the maintenance line item for the police department. Police Chief Joe Garner informed the council the department will now have to buy replacement tires for its patrol vehicles. Goodyear had been donating tires to the department since it opened. The additional cost is expected to be between $18,000-$20,000 a year. Garner said he came up with that figure by checking state bids and conferring with surrounding cities.
“We will probably use what we’ve got longer, but not to the point that it will be a liability,” he said.
Garner added he also has two cars in the fleet which will cost more to repair than they are worth.
The 2011-12 fiscal year budget appropriations include $11,452,202 in the General Fund, $300,000 in the State Street Aid Fund, $100,000 in traffic fines revenue fund, $197,598 in the Cemetery Perpetual Care Fund, $45,000 in the Drug Enforcement Fund, $8,115 in the City Beautiful Commission Fund, $130,000 in the Hotel Motel Tax Fund, $1,800,000 in the Solid Waste Fund, $5,187,317 in the Water and Sewer Funds, $24,823,696 in the Electric System Fund and $14,556,825 in the School System Fund, bringing the total appropriations to $58,601,753.
Hotel/Motel Tax Fund appropriations approved on first reading include 42 percent to the Obion County Industrial Development Corp., 39 percent to the Obion County Chamber of Commerce, 14 percent to Main Street-Union City and 5 percent to the city’s General Fund.
City attorney Jim Glasgow Jr. opened the meeting with prayer.
Published in The Messenger 9.28.11

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