After 10 years without a tax increase, the East Ridge City Council on Thursday night voted to set the property tax rate at 26 cents above the certified tax rate. City Manager Chris Dorsey has budgeted an additional $600,000 for salary stabilization in order to keep the city competitive with the surrounding municipalities.
About a half dozen residents of the city spoke in opposition to raising property taxes.
Most of those who spoke were not opposed to pay increases for employees, particularly for the police and fire department, but they wanted the money to come from other sources such as from businesses that have been moving into East Ridge which they believe should be generating revenue for the city. Some speakers expected additional money the city receives could come from being a Border Region District, and others believe money can be saved by making government more efficient.
City Manager Dorsey said that in 2011, the last year there was a tax increase, that 50 percent of the city’s revenue came from property tax. Now, property tax accounts for 34 percent, so other revenue sources are being used, he said. But more is needed. The pay for every full-time employee has been analyzed and, in almost every case, East Ridge pays well below the pay of similar positions in nearby cities. There was no comparison to the private sector, he said. Plus department heads pared down what they originally asked to be included in the new budget and still had many actual needs, not wants, that required more money in the budget, he said.
The old rate for property taxes was $1.3381 for every $100 in assessed valuation. The certified tax rate provided by the state was $.9929, which would have kept the property tax revenue neutral for East Ridge. Increase in home values due to the recent reappraisals will also add more tax dollars, even if the certified rate was used. The council approved the new tax rate of $1.25.
Vice Mayor Mike Chauncy has led the effort to build a dog park in East Ridge. He applied for and received a $25,000 grant from Dog Park Dash for construction, fencing to enclose a space around two and a half acres and pledges for six park benches to use in the new park. The grant received was specific to a location at Springvale Park, however a better location was discovered after the grant was awarded. The vice mayor received approval from Dog Park Dash for the new location that is behind city hall and on Thursday night the council voted to build the park there. This location is much larger than what could be built at Springvale Park, is more centrally located, is a safer location, already has utilities, and already has sufficient parking, police presence and a lot of activity. Mayor Brian Williams would like to consider Springvale Park for a second dog park in the future.
The city is also building a new animal control facility and is purchasing property for it at 5302 Stone St. An amendment to the purchase agreement was approved by the council. The city will abandon a small portion of Stone Street, which is at a dead end of the road. That abandoned property will become part of a shared easement with an adjoining property for the location of a dumpster, which will be shielded from view with landscaping. All expenses and costs to hide the dumpster will be covered by the seller of the property.
The mayor was authorized to enter into an agreement with Chattanooga Transfer LLC for solid waste disposal and transfer station services. The cost that the city will pay the first year is $31.35 per ton. An increase due to inflation is built in for subsequent years. City Manager Dorsey noted that the city used to get paid for recycling materials and there was no disposal fee. Now it costs the city $35 per ton to have it processed, more than the cost of garbage disposal, but it is the right thing to do for the environment, said Mayor Williams.
East Ridge will enter into an agreement with ASA Engineering and Consulting to provide professional engineering services for the survey, design and construction oversight of the entrances to 100 acres being developed by the Red Wolves around the soccer stadium. For East Ridge public works director and interim city manager Kenny Custer, now representing ASA, said that EPB will allow the city to use a large portion of their right-of-way, saving the city from buying an extra 20-foot width.
An expired contract was extended with RJ Young to provide copier and printer equipment. Six new machines will replace six old ones.
The city will also replace nine traffic detection loops from NABCO Electric. City Manager Dorsey said that TDOT will be paving parts of Ringgold Road this fall that are deteriorating. The city wants to have the loops replaced before paving the road begins. Loops are devices under the pavement that detect vehicles at traffic lights.
Appointments were made to fill two positions after the resignation of Mickey Spence. Mayor Williams appointed Scott Cornelius to fill the vacant position on the East Ridge planning commission. Vice Mayor Chauncy made the appointment of Eric Zitzo for the open spot on the Board of Zoning Appeals.