Metro Nashville Mayor Freddie O’Connell proposed directing surplus tourism-related tax revenues controlled by the Joint Capital Tourism Board (JCTB) toward public safety projects, even as downtown businesses facing skyrocketing property tax bills seek financial assistance from the same funds.
WPLN first reported the mayor’s comments, saying he “hopes to steer funding in other directions.”
O’Connell reportedly suggested the Nashville Office of Emergency Management (OEM) as one possible recipient of the surplus taxpayer funding, the outlet reported.
“For instance, we have a very small Central Precinct despite the number of calls they get,” said O’Connell, according to WPLN. “And we may look at potential for some kind of public safety expansion there that could include police, fire and OEM.”
The JCTB was established in May, when Governor Bill Lee signed legislation creating the 9-member board and giving it authority to allocate surplus tourism-related tax money generated through Nashville’s convention center.
Permitted uses for the taxpayer funds include direct financial assistance to eligible businesses and property owners within the Music City Tourism Development Zone, as well as public safety projects and capital improvements.
In May, in reporting by NewsChannel 5 on the possibility of the JCTB providing relief to business owners whose property tax bills doubled or tripled under O’Connell’s watch, State House Speaker Cameron Sexton (R-Crossville) said the law was created to help local businesses.
“We don’t want our local business owners going under. We want to help them be a vibrant thing,” said Sexton in May. “They’ve invested a lot of money in lower Broadway in all these bars and all these other restaurants and everything and we want to make sure they stay in business.”
O’Connell voiced his opposition to NewsChannel 5 at the same time, telling the outlet that direct support for business owners was “not something we wanted to see in the bill, but it’s something I guess state legislators thought was important.”
While the mayor has pointed to the fact he established the lowest property-tax rate in Nashville history, the rate imposed at his direction is actually 26 percent higher than the revenue-neutral rate required under Tennessee law.
Amid concerns from Nashville business owners, the mayor announced a “legacy business” program earlier this year. However, the version of the program approved by the Metro Nashville Council appears to exclude many of the businesses that saw dramatic increases to their tax bill.
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Tom Pappert is a 2025 recipient of the Dao Prize and the lead reporter for The Tennessee Star. He also reports for the Star News Network. Follow Tom on X. Email tips to [email protected].
Photo “Mayor Freddie O’Connell” by Mayor Freddie O’Connell.
