Franklin committee advances $243.3 million FY26 budget, proposes 32¢ property tax and 1% hotel tax increase

Summary

City staff presented a balanced $243.3 million all‑funds budget for fiscal 2026 that would set a 32¢ per $100 assessed property tax rate (three components) to fund Invest Franklin 2 projects and operations, raise the hotel occupancy tax from 4% to 5%, add public‑safety positions, and advance a TDOT partnership for widening Mack Hatcher.

City of Franklin staff on Thursday recommended the fiscal 2026 budget to the full Board of Mayor and Aldermen, proposing an all‑funds total of $243,300,000 and a municipal property tax rate of $0.32 per $100 of assessed valuation to fund capital projects and operations.

The recommended rate is presented in three parts: a 23.1¢ equalized base (from a recent reappraisal), 6.8¢ dedicated to the “Invest Franklin 2” capital program (including a proposed partnership with the Tennessee Department of Transportation on Mack Hatcher), and 2.1¢ for enhanced city operations. The package also includes a proposal to raise the hotel occupancy tax from 4% to the 5% statutory maximum.

"It's my honor and my responsibility to to report to you and recommend to you today the fiscal 26 budget," said Eric Stukin, staff member leading the presentation. Michael Walters Young, chief budget performance officer, framed the amendment and revenue picture that preceded the new budget proposal.

Why it matters: the plan uses the newly certified reappraisal — the staff said the city's assessed tax base rose to $10.75 billion from $7.6 billion — to create dedicated capacity for capital investment while preserving reserves and funding operational…

Franklin committee advances $243.3 million FY26 budget, proposes 32¢ property tax and 1% hotel tax increase

Summary

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