The Richmond Register

Local News

August 25, 2010

Richmond hears first reading of property tax rate

Would increase revenue 4 percent

RICHMOND — The Richmond City Commission heard first reading Tuesday of an ordinance setting property rates designed to increase revenue by 4 percent.

Although not on the published agenda for the noon meeting, the commission amended the agenda to hear the ordinance. Before the commission can adopt it, however, the ordinance will have to be advertised and a public hearing conducted, Mayor Connie Lawson said.

The ordinance was added to the agenda so tax bills can be delivered early, allowing more people to qualify for a 2 percent discount for early payment, Lawson said.

City property tax bills paid prior to Nov. 1 will be reduced by 2 percent, said Mike Broyles, city finance director. Tax bills paid after Dec. 31 will be assessed a 10 percent penalty.

Because of the city government’s financial straits, the commissioners and City Manager Jimmy Howard agreed in a work session prior to the regular meeting that rates to increase revenue were needed.

Under state law, local property tax rates projected to increase revenue more than 4 percent can be subject to a referendum.

For real estate, the proposed tax would be 14.8 cents per $100 of valuation, unchanged from 2009. Additional revenue would be gained from new property added to the tax rolls and from re-assessments.

Revenue from 1.8 cents collected per $100 would be designated for city park maintenance.

If the rate is adopted, the tax bill for a $150,000 home would be $222.

For personal property, the tax rate would be 16.98 cents, with the motor vehicle tax set at 28.7 cents, on each $100 of value.

For the first month of the fiscal year, Broyles reported that city expenses had exceeded revenue by $26,854. That was because several large bond and insurance payments come due in July and payroll taxes were down $282,940, compared to a year earlier. As of Aug. 23, however, the city’s general fund had a positive balance of more than $980,000 with another $800,000 invested in bank certificates of deposit.

A story in Monday’s Richmond Register incorrectly reported the CD total as $500,000.

The commission appointed five members to the city’s Revolving Loan/Grant Fund Board. They are City Manager Howard, Commissioner Robert Blythe, Bob Lilly, Robbie Robertson and Mark E. Baker. Lawson said the board governs state industrial development funds loaned or granted to the city. The board was created in 1997 but no members were appointed, Howard said.

In other action, the commission:

• Promoted police patrol officers Gary Shaffer, Jason Spaulding, Alfred Gray, Dustin Mullins and Kyle Hurt to senior patrol, allowing them to earn $17.87 per hour. Patrol officers are eligible for promotion after three years on the job, said Police Chief Larry Brock.

• Accepted with praise the retirement of Police Lt. Dusty Allen after 28 years of service

• Recognized Whitney Maupin, school resource officer at Madison Central High who was named Kentucky School Resource Officer “Rookie of the Year”

• Recognized 15 police department members who earned career development certificates

• Hired Kate Flower as a Gibson Bay Cafe attendant, Jonathon Cornett as a golf course laborer and Ricky Abney as a Recycling Center laborer, all at $7.75 an hour

• Voted to close city offices at noon on Friday, Sept. 3, to give employees what Howard called a “well-deserved extension” to their Labor Day holiday.

Commissioner Bill Strong said he would like for employees to consider donating some of their sick leave to a fellow employee who has been off work for an extended period after suffering a heart attack. Pam Hall, city human resources director, said employees could donate up to three days of sick leave as long as they retained 75 hours of leave.

Bill Robinson can be reached at brobinson@richmondregister.com or at 624-6622.

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