Red Bank City Manager Martin Granam said the city “does intend to exceed the certified tax rate to capture the projected increases from a property tax increase of five percent.”
The increase will bring in an additional $262,000 next year, he said.
The Red Bank Commission adopted, on the first of two readings, the new budget that begins July 1, 2025 and ends on June 30. 2026. This is a reappraisal year and the median value of properties in Red Bank increased by 59.05 percent so the property tax rate will change. Cities are not allowed to receive more tax revenue just because appraised values increase. So in order to keep the amount of tax received the same as it currently is, the rate that currently is $1.67 per every $100 of assessed value of the property must be lowered. Hamilton County will send the city a certified tax rate calculated to keep taxes the same. However, each municipality is allowed to set the rate and if they choose to set it higher than the county’s certified rate, will receive an increased amount of tax revenue.
The new budget was passed on an interim basis until the certified rate is known, and once it is, the commissioners will adopt the new rate.
Highlights in the new budget include a two percent cost of living adjustment for employees, adding a detective position for the police department, a permanent position at the cost of approximately $75,000, and a part-time Parks and Recreation assistant will become a full-time employee at the cost of $18,500.
The city will provide a 100 percent match to the county’s portion of tax relief for approximately 138 residents in the program. There is $25,718 designated in the budget for that program which is aimed at residents who are at a risk of losing their homes.
The city has budgeted $30,000 to pay CARTA for CARE-A-VAN paratransit services which is used mostly for medical appointments and dialysis. Data analyst services that will help the city make decisions will cost $15,000. Included also, is a $230,000 General Fund loan for a pickup truck and a tractor for the Streets Division, $110,000 for two pickups in the solid waste division and from the state street aid fund, $900,000 will be used for a dump truck with a salt spreader and snowplow attachment and for paving secondary roads.
There were no citizen comments regarding the budget at the public held hearing before the vote to accept the budget.
On the second and final vote, a new ordinance was given approval for amending the city’s municipal code to establish a comprehensive framework for all of the city’s assessments, fees, fines, charges, penalties and rates. Previously they were scattered throughout individual ordinances. Now they can be found all together as well as a link to the appropriate ordinance.
The city will now be focusing on recovering the cost that it takes to do business and will be making increases where they occur. It will not be overcharging said Director Leslie Johnson, and the city will be transparent in the costs being charged which can be seen on the new fee schedule. An example given was that there is a price for buying a building permit but there are also costs for the city to make reinspections and those fees will now be collected. And there will be a fee for reserving the pavilion at White Oak Park and to secure a space at the community center and there will be some new court charges to cover the city’s actual costs.
The request for Red Bank to abandon the unopened right-of-way at Old Morrison Springs Road to Tom Weathers Drive was finalized. This will allow a new development to be built but will reserve the right-of-way property so it can be used for storm water management purposes.
Some of the announcements from the commissioners include that a new climbing wall is now open at White Oak Park thanks to the donation from Hamilton County. Individuals are reminded that they can sign up for text alerts from the Hamilton County Emergency Management that warn and inform about sever weather threats. Two pet resource centers have been set up in Red Bank by McKamey Animal Center to help pet owners if they need it.
There will be a blood drive at city hall on May 22 from noon until 3 p.m. and May 23 is the next Food Truck Friday in Red Bank.