Kingsport board approves tax-relief match, budget adjustments, development incentives and multiple resolutions

The Kingsport Board of Mayor and Aldermen approved a sweep of ordinances and resolutions on Oct. 7 covering tax relief, budget adjustments, planning and several capital and procurement items.

Property tax relief: The board set a local match of $40 for tax roll year 2025 (in addition to the city’s longstanding $96 sanitation fee waiver) to align with state property tax-relief programs. City staff identified $44,003.20 in investment interest and banking savings to fund the match. Alderman Mays moved approval; Alderman Baker seconded. The ordinance passed by voice vote (6–0). City staff explained residents who already paid will be reimbursed after the ordinance’s second reading and provided instructions for a single application that covers city, county and state relief.

Budget adjustments and industrial access: Council approved a budget adjustment that appropriates $762,691 from the general fund balance to support the state industrial access project, part of a reported >$30,000,000 state investment to build a new road near Riverport Road and open about 150 acres for industrial use. Vice Mayor Duncan moved the budget amendment; Alderman George seconded; the ordinance passed 6–0.

School and other fund amendments: The board adopted a second-reading amendment to the fiscal 2026 School General Purpose Fund and approved a related amendment to various fund budgets; both passed 6–0 on roll call.

Zoning and annexation: On second and final reading the board approved annexation and rezoning of property along Bancroft Chapel Road from County R-1 to R-1C in the 10th Civil District. Alderman Mays moved the ordinance; Vice Mayor Duncan seconded; vote 6–0.

Parks and capital projects: The board authorized an agreement with Kane Rash West Architects for design services on the Nature Center renovation (entry walk and event terrace) at Base Mountain Park, with the bulk of construction funding coming from a roughly $2.9 million grant from the Tennessee Department of Environment and Conservation. The resolution passed 6–0.

Procurement, equipment and public works: Resolutions passed to renew mowing contracts, lease a Caterpillar PM312 milling machine and Laymore sweeper, and to purchase replacement equipment for Lift Station 301. The board also authorized purchase of a 2025 Pierce pumper truck through Sourcewell cooperative purchasing; staff said a stock truck provided a roughly $233,000 (near 20%) saving and an expected 4–7 month delivery window.

Transportation planning and hazard mitigation: The board awarded an AECOM contract totaling $247,000 (mostly federal and state funds) to develop the Kingsport area long-range transportation plan for the MPO; staff emphasized a 20-year outlook and public input opportunities. The board also adopted the Sullivan County multi-hazard mitigation plan by resolution; both measures passed unanimously.

Housing incentive (PILOT): The Industrial Development Board was authorized to negotiate and accept a payment-in-lieu-of-taxes (PILOT) agreement for Maple Oak Apartments, which is planning a $33,000,000 renovation to renovate more than 40 units and provide on-site security as part of program conditions. Economic Development staff had recommended the pilot; the board approved the resolution 6–0.

Donations and community projects: The board approved donating $37,007.50 to Cape Place Sports Council to support a waterline relocation needed for the Riverwalk Park project, part of a larger community grant from Blue Cross Blue Shield Tennessee estimated at about $8,000,000.

Votes at a glance: Nearly every vote was unanimous (6–0). Movers and seconds were recorded in the transcript for each item; staff said several items had been discussed previously at work sessions. Where an item included funding or program conditions (tax-relief match, PILOT, industrial access), staff described funding sources, program constraints and next steps for implementation.

The board ended the meeting with routine announcements and adjourned. Several items will return for future work sessions and implementation steps (CFO review of tax procedures, MPO public-input milestones and permitting for Maple Oak renovations).