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Hendersonville to send response to Sumner County over Adequate Facilities Tax demands after county lists unpaid commercial permits
Summary
City staff reported Sumner County sent a demand totaling about $225,000 alleging the city failed to verify Adequate Facilities Tax (AFT) payments on certain commercial permits; the committee directed staff to send a formal response disputing enforceability and outlining the city's position.
Hendersonville staff reported that Sumner County sent a July demand listing permits for which the county says the city did not verify Adequate Facilities Tax (AFT) payments, and the county seeks roughly $225,000 dating back to a February 2024 notice. The Finance Committee voted to send a response letter laying out the city's position and the factual findings compiled by staff.
City legal staff summarized the background: Sumner County adopted a private act in 1999 to impose an AFT on new residential and industrial development; historically the city verified that…
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