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Lakeland residents can expect the same property tax rate for the coming fiscal year after the city’s Board of Commissioners began review of the annual budget this week.

On Thursday, May 5, the Board of Commissioners (BOC) held a work session regarding several agenda items, including the budget and property tax rate and the appointment of an interim city manager to replace Shane Horn. The commission also continued discussions on the Ashmont mixed-use project near Davies Plantation and Canada roads.

Like other governments across Shelby County, Lakeland is in the midst of approving its annual financial plan along with the property tax rate to help fund the budget. The items must be approved before the new fiscal year starts July 1.

And, it appears, Lakeland property owners can anticipate keeping the $1.04 property tax rate per $100 of assessed value, said Michael Walker, Lakeland finance and human resources director.

The overall $77.4 million budget for governmental expenditures and transfers out (appropriations) represents a $23.1 million decrease from the $100.5 million budget for the current fiscal year.

“We’re dipping fund balance fairly significantly in ’23, but we will recover all but approximately half a million of that dip by fiscal ’27,” Walker said.

The board will vote on a first reading for the ordinance to adopt the annual budget and tax rate on Thursday, May 12. A second and final reading will take place in June.

The board also will consider a vote next week on the outline plan for the Ashmont development, a project that has taken several turns as the applicants and city officials have tried to reach an accord on what should be in the project.

The mayor and commissioners made a final push to convince their colleagues about their various stances regarding the application, including traffic impact.

Commissioner Richard Gonzales said the area around Ashmont near the Canada Road and Interstate 40 interchange is a prime commercial area. “Our city needs commercial development because if we don’t get a significant amount pretty soon your taxes will go up. We cannot maintain what we’re doing now and get the things that we want as a city with $1.04 tax rate.”

Developer Keith Grant reminded the board that the landowner has the option — based on the zoning — to do other things with the property.

“The land is currently zoned for commercial. It’s zoned for big box retail or any other type of retail use through its current zoning,” Grant said. “So what we’re trying to do is we’re trying to instead incorporate more features and make it more mixed-use rather than just all retail and commercial within the property.”

<strong>Mayor Mike Cunningham</strong>
Mayor Mike Cunningham

Mayor Mike Cunningham reiterated that point and suggested a potential tax rate hike in the future if projects like Ashmont were rejected.

That brought a retort from Vice Mayor Michele Dial and at least one attendee who characterized Cunningham’s remarks as “soapboxing” (a term Cunningham himself used to describe his comments). They considered his comments threatening and condescending regarding what the developer could end up doing if the outline plan is not approved and a possible future tax hike. Dial even apologized to the residents in the crowd.

“He shouldn’t be putting fear in the minds of the people who are here to listen,” she said of Cunningham. “I am astounded to even have to sit here and be a part of this.”

“I will gladly tone it down,” Cunningham said. “I’m not trying to talk down to anyone here, I’m trying to give (the public) a dose of reality.”

One sticking point for the project had been the inclusion of a gas station. Lakeland has a moratorium on such commercial, but it could be included as part of a planned development. The gas station previously was removed from the plans at the suggestion of the Municipal Planning Commission.

Commissioner Jim Atkinson, who was critical of the project’s earlier designs several months ago, still has reservations.

“I appreciate all the work you’ve done moving towards this point, but … the overall concept still concerns me of where we are,” he said.

Meanwhile, Walker’s appointment as the interim city manager will be included in next week’s consent agenda, filling in for Horn, who announced his resignation last month and will leave the role in June.

“Through discussions with individual board members and our current city manager, we felt like Mr. Walker would be a natural fit to fill this position during the period in which this board is looking for its next city manager,” Lakeland City Attorney Will Patterson said.

 

By , Special to the Daily Memphian | Published: May 06, 2022