With a new fiscal year on the horizon, Shelby County Mayor Lee Harris has proposed a significant reduction in property taxes as part of his $1.7 billion budget plan. If approved by county commissioners, this would mark the lowest tax rate Shelby County has seen in almost three decades. Harris is also pushing for a 3% pay increase for county employees, a modest step down from last year's 6% raise, according to Action News 5.
The current property tax rate is $3.39 per $100 assessed value, but the mayor is challenging that number. Harris suggests a new rate of $2.73, which would signify a 66-cent cut, as reported by WREG. Despite the proposed tax cuts, the budget plan does not skimp on major county projects. It allocates half a billion dollars to reconstruct the Regional One Health center, among other fiscal priorities. This comes amid a period termed "particularly unpredictable" by Harris, with cuts at the federal level affecting local programs and employment, according to Action News 5.
Shelby County is simultaneously undergoing a property reassessment, showing a significant increase in property values. State law mandates that the tax rate be adjusted to prevent revenue windfalls after such revaluations, setting a preliminary tax rate yielding the same revenue as the previous one. In a statement cited by FOX13 Memphis, Mayor Harris asserted, "the current property tax rate is $3.39; the Shelby County commission can leave it at $3.39, or could raise it higher, or they could lower it. I've said lower that $3.39 as much as possible so that most people will see no changes in their property taxes."
Education remains a top priority in the county's fiscal plans. Interim Superintendent Roderick Richmond presented a budget proposal for Memphis Shelby County Schools, addressing challenges including literacy, teacher retention, and facility improvements. Richmond is seeking tens of millions of dollars to address safety needs and maintenance backlogs. "The one thing I asked my team is that if we ask you all for $35 million for the fire and life safety and deferred maintenance, that we do it over the next year. By the time we return here next year, we can tell you it's done," Richmond stated, per FOX13 Memphis. These educational commitments, coupled with the prospective property tax cut, spotlight the delicate balance of fiscal responsibility and investment in community resources that Shelby County aims to achieve.
