Kelly comments on Watson’s property tax bill

CHATTANOOGA, Tenn. (WDEF)- Chattanooga Mayor Tim Kelly is responding to a proposed bill in the Tennessee legislature.

Senate Bill 2064, proposed by Senator Bo Watson, would cap how much municipalities can raise property taxes over a multi year time period.

Senator Watson told us earlier this week that the intent behind this bill is to protect taxpayers from unexpected tax bill hikes.

However, Mayor Kelly tells us that this could have unintended consequences for cities across the state who primarily rely on property taxes for funding.

Mayor Kelly said, “We want to keep this an affordable market. But when we had our tax increase last year, it made up for four years of inflation and it really just tracked the rate of inflation… If the city doesn’t have money to build roads and repair roads then we’re in big trouble.  I mean, if that weren’t the case every road would be a toll road and you would get a bill every time a policeman or a fireman came to your house. So I mean essential city services are exactly that and we have to be able to pay for them.”

The bill according to Senator Watson is still in its early stages.