Sullivan Commission holds line on 2026-27 property tax rate

BLOUNTVILLE — The Sullivan County Commission voted overwhelmingly not to increase the countywide property tax rate for 2026-27 on Thursday evening. The body voted in a special called meeting to keep the tax rate at $1.6129 per $100 of assessed value. That tax, plus Tennessee funding, sales tax and other funds plus the school budget, totals more than $200 million. Earlier in July, the commission's Budget Committee discussed the possibility of increasing the rate by 1 to 5 cents to keep from dipping into the fund balance by more than $6 million. But, Commissioner Mark Ireson of Colonial Heights made a motion at that meeting to keep the rate as is. First reading with no vote by the commission was July 16. Approval on second and final reading Thursday required at least 13 votes of the 24-member body. The meeting took less than 20 minutes, including a lone public commenter opposing a pending Kingsport rezoning for a rock quarry expansion and then discussion by commissioners on the budget. Nobody came to speak during a 4 p.m. public hearing on the 2026-27 budget. The General Fund budget was set at $92,930,513, the Solid Waste Fund $4,067,582, Ambulance Fund $13,211,289 and Opioid Abatement Fund $755,000, although money will flow into that quarterly and was an actual amount of $3,314,359 in 2024-25. The Drug Control fund was $165,000 and the County Grant Fund listed at $5,041,894. The Highway Fund is $15,134.870. It was the only area where the property tax rate was reshuffled but shifting 2 cents of the tax rate from the Highway Fund to the General Fund. For 2025-26, the Highway Fund picked up revenue generated by 2.6 cents. NO TAX INCREASE 'RIGHT THING' "I think we did the right thing here tonight," District 6 Commissioner Zane Vanover of Kingsport said. He is a Republican who did not seek reelection to the commission after one four-year term but is unopposed in the Aug. 6 general election for mayor. "There's no appetite for a tax increase," Vanover said. "There's no appetite for a tax increase if there's not a specific need." The vote was 21-0 with three absent on the tax rate and a separate resolution on appropriations among various funds of the budget. The three absent were Commissioners Ben Hopper of Bristol, Daniel Horne of Kingsport and Joe McMurray of Kingsport. A third vote on appropriations to charitable and civic organizations, including volunteer fire departments and rescue squads, passed 18-1 with two abstaining and three absent. Commissioners Tony Leonard and Joyce Crosswhite abstained, while Commissioner Gary Stidham of Kingsport voted no; Hopper, Horne and McMurray were absent. Stidham said he voted no because the contribution to Bays Mountain Park in Kingsport was capped $35,000 instead of a requested $15,000 increase for a total of $50,000. "I told them (other commissioners) I was going to vote no if they didn't increase our park funding for Kingsport," said Stidham, a Republican who is the lone hopeful for the District 2 state House seat. Crosswhite and Leonard serve on a committee that is to work on a new five-year funding plan for volunteer fire departments. The tax rate and main appropriations among funds were approved as presented July 16 and advertised in newspapers. However, the charitable and civic organization contributions were amended to take out a $15,000 appropriation to the Sullivan County Volunteer Fire Department that was a carryover from last year to help recover fuel costs. Commissioner David Akard of Bristol asked for that to be dropped until a new five-year agreement for appropriations for volunteer fire departments could be worked out and voted on later by the commission. Dwight King, chairman of the Budget Committee and sponsor of the three budget resolutions, accepted that amendment. Resolutions pending before the commission at its August meeting, the last before the new commission is elected in the Aug. 6 general election, would provide one-time appropriations of $50,000 to a student backpack food program of Second Harvest Food Bank of Northeast Tennessee and $50,000 toward expenses of the Petworks animal shelter operation in Kingsport taking care of abused animals. SCHOOL BUDGET The commission declined to approve the proposed $103 million school budget at a called meeting June 30, which means the budget will revert back to the level of the 2025-26 budget. The school board send Mayor Richard Venable, who is not seeking reelection, a letter outlining cuts it would likely make in the budget without the approval, which would have used more than $7 million in fund balance to make the budget balance. However, Finance Director Larry Bailey and Assistant Finance Director Leslie Bonner after the meeting reiterated the school board could submit a new budget and get the approved one amended. Budget Committee members in June told school officials they could reduce the amount of fund balance used and make the spending plan work without cutting all new proposals. Commissioners on the Budget Committee pointed out opposition to funding four new assistant or associate principal positions among new positions in the proposed budget. However, the commission does not have line-item veto authority on the school budget, only bottom-line authority.