The Metro Nashville City Council is considering a resolution to increase downtown sales taxes for generalized safety and cleaning. This .25 percent increase would apply to the Downtown Central Business Improvement District (CBID), and would result in an estimated $2.4 million in revenue. The Tennessee General Assembly authorized the increase during this past legislative session.
The resolution didn’t include an exhaustive list of what safety and cleanliness measures would be funded with this sales tax increase, but did note that it would include public safety, social services, and sidewalk cleaning. Additionally, the resolution noted that the funds would be deposited into the city’s event and marketing fund to assist in promotional materials and the recruitment of major conventions and group meetings.
Those exempted from the tax increase will be professional services, tourist lodging, sporting event tickets, live ticketed events, alcoholic beverages, newspapers or any other print publications, and overnight or long-term parking.
The Nashville District Management Corporation Board, which oversees the CBID, would appoint five individuals to an advisory committee, if the legislation passes. Eligible representatives on the committee will include two hotels with retail businesses, a Second Avenue retail business, a Broadway retail business, and an attraction retail business.
The Tennessee Star inquired with the resolution sponsor, Councilman Freddie O’Connell, what prompted the need for increased safety and cleanliness, and why .25 percent was considered an ideal amount. O’Connell didn’t respond by press time.
As the resolution noted, the city council last adopted an increase of the exact same amount in 2013.
The council is expected to consider the resolution during their meeting next Tuesday. If the council chooses to adopt the resolution, it will go into effect on July 1.
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Corinne Murdock is a reporter at The Tennessee Star and the Star News Network. Follow her latest on Twitter, or email tips to [email protected].
Photo “Downtown Nashville, Tennessee” by DAMFrederich CC 2.0.