MEMPHIS, Tenn. — City of Memphis officials are considering implementing a tax on items sold downtown to help fund beautification and security efforts.
Mayor Paul Young plans to seek approval for this tax, referred to as a "security and tourism fee." This proposal comes after other property and solid waste tax increases were introduced in June.
City officials have confirmed that Young is exploring a tax related to the Downtown Tourism Development Zone (TDZ), similar to one used in Nashville.
"We invite this conversation about adding a safety fee to a sales tax in our Downtown Memphis area to provide more opportunities for our clean, green, and safe initiative," said Downtown Memphis Commission President and CEO Chandell Ryan. "This would be starting a conversation about how this could look."
Ryan said this would ultimately benefit the community, and they regularly meet with city administration about this fee.
"It would definitely help how we serve downtown in our clean, green and safe initiatives, having more dollars means that we could provide more services," she said. "Also, in terms of our unhoused community, we already have connection with the hospitality hub and others in how we are making sure that they're receiving services. So any way that we can add dollars to boost those initiatives would be a win for Memphis and a win for Downtown Memphis."
The proposed single-item tax on food and other products sold Downtown would support the district's security, beautification, and assistance for the unhoused population. The tax would be set at 0.5%, translating to 25 cents on a $50 purchase.
While some longtime Memphis residents are ready for this change, others are less certain.
"I would support it if it's for the good, yep," said Jabari, who has lived in Memphis for decades. "It's like you invest in your city, and you expect better."
Other residents aren't sure that these efforts are necessary.
"I think that people who live down here think it is pretty beautiful, and maybe it gets a bad rep because of people who don't actually live down here," said Jay, who has also lived in downtown Memphis for years.
The Memphis Grizzlies and other stakeholders have also asked for a cleaner downtown.
There's no update on the timeline for any potential approval.