On Tuesday, Knoxville voters loudly said “no” to a planned half-cent sales tax increase would have raised an additional $47 million a year for the city. The increase advocated by Mayor Indya Kincannon will leave her scrambling for budget cuts.
It was clear from the first moment that, when early voting totals were announced, the tax increase was going down in flames. 62% of early voters rejected the idea. In the final count, the numbers did not change.
Kincannon’s plan for the $47 million in new revenue she sought would have been spent with $7.5 million on sidewalks, $10 million on parks, $8 million on greenways and $5 million on facilities districtwide, according to the city. Citywide, $4 million would have gone to roads, $2.5 million would have gone to traffic safety and $10 million would have gone to affordable housing.
According to the city of Knoxville, if your household income was $40,000-$49,000, you’d pay about $7 more a month. If your income is $70,000-99,000, you’d pay about $12 more a month.
The price of rent, groceries, utilities, healthcare visits, property tax, bus fare, prescriptions, and gas would not have increased if the sales tax passed, the city said.
A change in the Knoxville sales tax requires a majority vote on the ballot. The city council voted to allow the referendum on the ballot earlier this year.
Voters were clearly skeptical regarding the need for a tax increase. Many are also demanding more scrutiny about how existing tax dollars are being spent in the city.
Steve Gill is editor and publisher of TriStar Daily.
