Knox County approves budget with no new taxes plus raises for all employees

The Knox County Commission took no time at all in approving Mayor Glenn Jacobs’ $954.1 million budget proposal. In fact, there was no discussion at all during the final stage before it passed unanimously.

The budget that was discussed in committees for weeks includes raises across the board for county employees, with an added bump for Knox County Sheriff’s Office employees and, as county residents have come accustomed to, no new taxes.

BUDGET: Knox County's proposed budget keeps tax rate flat, adds raises for sheriff's office

Here’s a rundown of what they approved.

Raises for everyone

All county employees received a 4% raise, up from the 3% raise they received a year ago. Sheriff’s Office employees with a rank of captain and below get a 6% raise for Uniformed Officers Pension Plan employees and 12% for employees under the STAR system, the latter are generally newer hires not covered by the county's former Uniformed Officers Pension Plan system.

Knox County Mayor Glenn Jacobs presents his 2022 budget proposal May 5.
Knox County Mayor Glenn Jacobs presents his 2022 budget proposal May 5.

The Sheriff’s Office had requested a guaranteed annual pay increase of 2.5% for all Sheriff’s Office employees with the rank of captain and below, but Jacobs did not include this in his proposal. Guaranteed raises are, however, something commissioners could revisit later.

In the past seven budget cycles, Sheriff’s Office employees received raises roughly 14% above what the rest of the county's workforce received, plus other bonuses totaling thousands for each employee.

Tax rate plummets

Along with the budget, commissioners learned the county’s certified tax rate will drop considerably this fall once reappraisals have been completed. Finance Director Chris Caldwell told commission the $2.12 rate, which commissioners reapproved Wednesday, is expected to fall to $1.5509.

U.S. Rep. Tim Burchett (feom left), Tommy Schumpert, Dwight Kessel, Glenn Jacobs and Mike Ragsdale, all of whom have served as Knox County executive or mayor, gather last month.
U.S. Rep. Tim Burchett (feom left), Tommy Schumpert, Dwight Kessel, Glenn Jacobs and Mike Ragsdale, all of whom have served as Knox County executive or mayor, gather last month.

This is yet another indicator of soaring property values. State law forbids local governments from profiting from a reappraisal, so they must lower the tax rate to keep revenues steady.

No tax increase for county residents

No county mayor has proposed an increase in decades.

Jacobs can keep his promise not to raise taxes because he has the luxury of an ever-widening property tax base (up 2.5% this year). This contrasts with the predicament of the city of Knoxville, which operates under a different structure and must work harder to expand its tax base at the same rate as the county. The city offers more extensive services to residents, such as 24-hour professional firefighting, and has higher hurdles to increase its tax base, including state-mandated restrictions on growth through annexation available to most other cities nationwide.

Knox County Schools is a huge part of the total

The Knox County Schools’ $591.5 million budget is included in the county’s budget. You can read about it here. Among raises for employees and other items, the money will pay for 22 positions to its security division.

  • $1 million for more body cameras for deputies

  • $3 million for a new elementary school in Farragut – the school is expected to cost $32.57 million

  • $10.97 million for an addition at Hardin Valley Academy

  • $8.95 million for the new northwest elementary school

  • $3 million for an addition at Sterchi Elementary School – the addition is expected to cost $18 million

Tyler Whetstone is a Knox News politics reporter focusing on Knoxville and Knox County.
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This article originally appeared on Knoxville News Sentinel: Knox County approves budget with no new taxes, raises for employees