Commissioners said the 9-cent increase is needed to keep up city services in the face of skyrocketing fuel and other costs for the 2008-09-budget year that began July 1.

But former Sheriff R.H. Johnson, who has been a fixture at recent meetings criticizing the commissioners, said the city could cut spending.

“You need to tighten your belts,” he said.

However, Commissioner David Cleveland said there are no frills in the nearly $4.8 million budget passed on final reading.

He said increased costs the city pays for garbage pickup, a small raise for employees and other expenses necessitated the tax increase.

“This is where the money is going,” he said. “Our belt is as tight as it will go. We have a good community and we want to keep it.”

Commissioners had the votes to pass the tax increase, but they were not the majority opinion as dozens of residents, many from Willow Creek, spoke out against them and handed out a newspaper article about how cities in Roane County had kept property taxes from increasing or going up substantially.

Some residents said they understood that costs to run the city have gone up, however they chided commissioners for what they said is not doing more to recruit new businesses to bring in sales tax revenue.

Patty Wells said she moved to the area about a year ago because she likes Sweetwater and said taxes were low.

She said the loss of the Cracker Barrel and its effect on surrounding businesses has hurt city coffers.

“We are losing a lot of money by not building up our sales tax base,” she said.

“What is the plan to increase revenue other than property taxes?”

While about half a dozen people spoke at the podium against the tax increase, some others shouted out during the meeting particularly at the end when commissioners discussed the industrial park fund (see related story).

That behavior irked commissioners and Mayor Jim Stutts.

“This is not a free for all,” the mayor said. “If you cannot sit in here and have a civil discussion, excuse yourself.”

Commissioner Buster West asked some in the crowd where they were when the city was overspending its budget by about $1 million six or seven years ago.

Before this year, the city’s tax rate was $1.32 per $100 of assessed value.

The state lowered the certified tax rate to $1.05 recently after a state reappraisal on local property.

By law, a city cannot gain more money simply because of a reappraisal.

City Recorder Jessica Morgan supplied a formula earlier to show what the $1.14 tax rate would mean for a homeowner with a house appraised at $80,000 in 2007.

Under the old $1.32 tax rate, that homeowner paid $264 per year for city property taxes.

If that same house is appraised at $100,000 after the reappraisal, city taxes for the homeowner would now be $285 a year with the new $1.14 rate.

City taxpayers can make payments on their taxes, as little as they want, from October to February without penalty, Morgan said. 

tommy.millsaaps@advocate anaddemocrat.com | 337-7101