The third and final reading of the proposed 16 cent property tax increase was passed unanimously by the Crosssville City Council tonight.

The last time City Property tax was raised was six years ag0.  Currently, the rate is $0.5905 per $100 assessed value. The proposed increase would add approximately $60 a year to City residential property owners tax bill on a house valued at $150,000.  Commercial property is taxed higher at 40% versus 25% for residential. For commercial property valued at $250,000, the annual increase would be approximately $160.00

WHY THE RAISE

According to the City, part of the increase is needed for increased operating costs over the years.  But one big factor for the increase is to help eventually fund a proposed indoor recreational facility.  The City purchased 24 acres off Webb Avenue recently for $594,000 with the possibility part (about 18 usable acres) of that land could be the site for the rec center location. It is estimated the tax increase will generate approximately $600,000 per year additional revenue for the City.