McKenzie Council Proposes 32 Percent Tax Increase

McKENZIE (June 12) — After nearly two decades without any property tax increases, McKenzie is proposing a 32 percent tax hike to fund an estimated $5.5 million budget.
A called meeting and public hearing are scheduled for Tuesday, June 24. At 5 p.m. is a public hearing for exceeding the certified tax rate. At 5:30 p.m. is a public hearing of the budget for the fiscal year of 2025-2026. At 6 p.m. is a special called meeting for the second reading of Ordinance 571, changing regulations governing food trucks.
During the June meeting of the Mayor and Council, the Board reviewed a minimal budget that included reductions in some areas in an effort to keep the tax rate similar to the previous year. However, Council members determined that the city needed additional funds to improve streets and other infrastructure. Many area cities and counties are increasing taxes this year.
Following a recent real estate appraisal throughout Carroll County, the anticipated tax rate was set at $0.6218 per $100 of assessed value. However, the Council voted to adopt a new rate of $0.8218, which is expected to generate an additional $242,968 in revenue, specifically for street paving. Council members Bobby Young, Carol Armpriest, Jessie Townes, and Drew Beeler approved the higher tax rate, while Councilman Tom Alexander opposed it. Councilman Tim McBride was absent from the vote.
Street Superintendent Johnny Mercer noted that paving costs approximately $220,000 per mile. While the Council approved the first reading of the budget, it is likely to be amended if the new higher tax rate is adopted during the second reading. The budget will show higher projected revenues and expenses and includes a proposed pay increase of 75 cents per hour for all city employees.
A public hearing on the tax rate and budget is scheduled for June 24 at 5 p.m., followed by the second reading of the budget and tax rate at 6 p.m.
The proposed municipal budget also includes an estimated $260,000 loan for the construction of a multi-field soccer complex at Mulberry Park. City Recorder Jennifer Waldrup stated that water and sewer rates for the 2025-26 fiscal year have not yet been established, pending the outcome of a rate study. The city anticipates a loan of $572,000 to rehabilitate parts of the sewer system.
In other business, the Board voted to reroute Locust Street to accommodate the design of the new soccer complex at Mulberry Park. Earth-moving equipment is expected to be on site the week of June 16.
Additionally, a resolution, Ordinance 571, was approved to change the regulations governing food trucks, implementing a $50 fee to operate, with a maximum fee of $300 per year. This fee will be waived on special occasions.
A proclamation was also passed to honor the Bethel University Women’s Basketball team, along with its managers and coaches, for achieving a place in the Final Four of the NAIA championship. The team recorded an average of 75.4 points per game and 71.3 in conference play, with 26.5 field goals per game and 24.8 in conference. Their overall record for the season was 27-8, with a conference record of 5-7. This marked the first year that the team advanced to the semifinal championship game.