Council avoids proposed tax rate hike
Published 10:10 am Wednesday, June 4, 2025
- The Franklin City Council discusses ways on May 19 to reduce or eliminate a proposed 4-cent increase in the city’s real estate tax rate. The council reached a consensus to eliminate it on June 2. (Photo by Titus Mohler)
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Franklin City Council reached a narrow consensus during a Monday, June 2, work session to move forward with a plan that would avoid any increase to the city’s real estate tax rate for fiscal year 2026.
As part of the FY26 city budget proposed by City Manager Rosylen Oglesby, there has been a proposal to increase the city’s real estate tax rate by 4 cents — from $1.03 to $1.07 per $100 of assessed value. This increase of 4 cents would bring in an additional $312,000.
Responding to the council’s interest to find ways to reduce or eliminate that potential tax rate increase, Oglesby presented five options at the council’s May 19 work session for consideration:
- No. 1: Across the board cuts: 1.5% = $324,089;
- No. 2: Combination: 1% increase in the food and beverage tax = $115,000, and 2.52-cent increase in real estate tax = $196,100;
- No. 3: Combination: 1% increase in the food and beverage tax = $115,000, and 1% across-the-board cuts = $216,065;
- No. 4: Eliminate employee compensation: No 3% wage increase = $390,547, and no living wage adjustment = $91,250; and
- No. 5: Reduce local match for non-Standards of Quality (SOQ) school programs = $1,892,062.
The council reached a four-member consensus at its May 19 session to reduce the proposed real estate tax rate increase to 2.52 cents, favoring a combination of options No. 2 and 5 to help make this happen.
After revisiting the matter at its June 2 session, four members of council opted to support pulling $400,000 from funds that could go to Franklin City Public Schools and also increasing the meals tax by 1%, if needed, to help avoid any real property tax rate increase.
Each council member shared their position at the conclusion of an extended discussion on June 2.
Ward 4 Councilman Dr. Linwood Johnson said, “I’m in favor of giving the schools what they need, and we move forward.”
Avoiding option No. 5, he noted that the city needed to obtain the overall equivalent of a 4-cent real estate tax rate increase, and he favored option No. 2 to accomplish this.
Ward 1 Councilman Mark R. Kitchen said he wanted to take $600,000 from the budget.
“If we need to, 1 (per)cent on the meals tax,” he said. “If not, $600,000 from the school system.”
Ward 6 Councilwoman Jessica G. Banks said she favored pulling $400,000 from the school system and increasing the meals tax 1%.
Ward 5 Councilwoman and Vice Mayor Wynndolyn H. Copeland favored the same option as Banks.
Ward 3 Councilman Gregory McLemore indicated that he wanted the needed funds to avoid a tax rate increase to “all come from the school system,” and he also emphasized the need for the city to generate revenue.
“We talked about getting a grant writer,” he said. “That grant writer can be consistent in bringing in revenue. And other avenues we talked about saving money, so I don’t see us continuing to be in these circumstances. Mr. Johnson talked about correcting the system. If we correct the system and bring in revenue, we don’t need to raise taxes. The easiest thing for us to do is raise taxes.”
Ward 2 Councilman Richard Grizzard said, “I’m still going to stick with the 1 (per)cent meals tax (increase), $400,000 out of the school system. And if we need to hold them tighter, we need to hold them tighter, and they can come up with the money somewhere else.”
Mayor Paul Kaplan then said, “I will change mine to the $400,000 and 1%. That will give us four in agreement. Alright, that’s our consensus, and that is done.”