MEMPHIS, Tenn. —
The City of Germantown (COG) announced that it will raise property taxes by $0.165 to offset inflation and to set aside additional funding for public safety investments.
According to the city, additional funding will cover cost to replace police vehicles, handguns, and allow the city to make critical updates to public safety radio systems and infrastructure.
The proposed tax increase has not been approved. If approved, the tax increase will happen gradually over the next two years. The increase will raise the current tax rate from $1.6732 to $1.8382.
This change could make property taxes for a property that is valued at $450,000 increase of $186 per year, COG said.
Property taxes have not increased in Germantown since 2018, COG said.
After reviewing the fiscal year 2024 general fund budget, the COG found the need to increase property taxes as a means to adequately support and balance funding for police, fire, emergency dispatch, parks and other core services.
COG's Finance Director, Adrienne Royals explained how well the city managed funding over the years.
The City is not immune to inflation. Considering that we were able to stretch the current tax rate past the projected five-year planning period despite 20% compounded inflation over the past six years, through a pandemic and the resulting chaos in the supply chain is something the City should take great pride in.
The 2024 fiscal budget will be reviewed by the Board of Mayor and Aldermen in a public work session on May 3.
Germantown residents can attend the session and give the Board feedback during the public hearing scheduled for June 12. The hearing starts at 6 p.m. in Council Chambers at Germantown City Hall, 1930 S. Germantown Road.
