Lenoir City steps toward tax vot

Lenoir City Council unanimously approved the first hurdle for asking voters to decide on a sales tax increase.

Council passed Monday the first reading of an ordinance to proceed with a referendum to increase funding for construction and expansion of Lenoir City Schools projects and a community/senior center in the city.

The ordinance would increase sales tax by 0.75%. Revenue from the increase would be split evenly between the city and city schools.

If passed on a second reading, Lenoir City voters would head to the polls April 13 for a special called election.

Jeanne Barker, director of Lenoir City Schools, said she received information from the state that as of Friday the district has grown 6% since last year and is considered a fast-growing district. Based on the growth, Barker said asking for a sales tax increase is warranted.

Lenoir City Board of Education and council held a joint session Oct. 23 to discuss growth in the schools and ways to finance a need for more revenues. The session lead to a signed Memorandum of Understanding between the two governmental bodies to share any additional revenues generated by a sales tax increase.

New revenues for school spending would first go to build an additional wing with an auditorium at Lenoir City Elementary School, followed by a second gym at Lenoir City Intermediate/Middle School. All third-graders would move to the new LCES wing.

“It’s (the voter’s) choice, and I hope that they realize what we’re all trying to do and that’s doing the right thing and helping the schools and helping the community in building a community center and senior citizens center,” Mayor Tony Aikens said.

Councilman Todd Kennedy inquired about the language that would be placed on the ballot.

Aikens said the city works with the state for referendum language approval.

The second reading and public hearing for the ordinance will be Dec. 11 at the Lenoir City Municipal Building. City Administrator Amber Scott Kelso said the actual resolution to be posed to voters will be available then.

In an unrelated matter, City Attorney Walter Johnson gave an update regarding the status of a lawsuit between the city and Loudon County.

Loudon County Commissioners voted 7-3 on Feb. 6 to pursue legal action regarding the annexation of two properties owned by Belle West Pointe LLC and WNW Properties LLC. The properties were annexed by Lenoir City in May 11, 2020, and Nov. 14, 2022, for use as a residential subdivision. Both properties are outside an established Urban Growth Boundary.

Kyle A. Baisley, an attorney with Long, Ragsdale & Waters, P.C., a Knoxville firm representing the county, said the annexations did not follow state law and the city didn’t get the approval of commission as required by a 2005 Interlocal Agreement between the city and county.

The city filed a motion to dismiss March 15, arguing the county lacks standing in the case. The motion also indicates the complaint was not filed in a timely matter.

Aikens said he is amazed District 5 County Commissioners Van Shaver and Joe Morrison, who represent residents in Executive Meadows, Crestwood Hills, Harrison Woods, Green Meadows and other areas that are within city limits, are suing the people who helped elect them.

“Imagine what that $100,000 could do,” Aikens said. “It could put more deputies on the road. It could put more teachers in the county schools, or it could give employees a much-needed raise that work for the county.

“I just don’t get it,” he added. “That’s their business, but it’s just not right.”

In other business, council approved the following items on the agenda:

• Adoption of a resolution to submit an application requesting Fiscal Year 2024 Infrastructure Planning Grant funds to implement water and/or wastewater system planning projects on behalf of Lenoir City Utilities Board.

• Purchase of an electric/slide-in salt spreader for the city street department for $27,958 and $5,791 for a stand. The money will come from the remaining state street aid fund and the general fund if needed.

• Purchase of an air compressor for Lenoir City Fire Department for $48,543.64.

Kennedy, who serves as a treasurer for the Lenoir City High School Band Boosters, told council the marching band was able to purchase new uniforms because of the support and donations of the mayor, city and community.

The city will be holding the annual Christmas tree lighting at 6 p.m. Thursday at Central Park in downtown. The annual Christmas parade will be 6:30 p.m. Dec. 7 with lineup at 5 p.m. An evening with Santa is planned for 6-7 p.m. Dec. 14 at the War Memorial Building.