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Cookeville council backs state-level request to restore local share of sales-tax proceeds
Summary
Council approved a resolution asking the state to return a larger share of sales-tax revenue to municipalities and to revisit the single-article sales-tax cap; staff estimated the combined change could generate roughly $1.2 million for the city annually.
Cookeville — The City Council unanimously approved Resolution R25-11-22 asking state lawmakers to restore a portion of the 1% sales-tax increment adopted in 2002 to municipalities and to reconsider the single-article sales-tax cap.
City official James Mills said the resolution asks the state to share 4.6% of the 1% sales-tax increment added in 2002 and to reduce the single-article cap that was raised in 2002. Mills said, based on prior estimates, those two changes combined could generate about $1.2 million annually for the city (presented as roughly $600,000 per change). "We estimate ... that would generate about $600,000 for the city," Mills said during the presentation.
Resident Trent Strode told the council he supported the effort but urged transparency about how the city describes the origins of the current arrangement. Clarissa Reets Williams thanked the council and said sidewalks and other local projects could benefit from the funds.
Council members noted that returning even a portion of the revenue could fund local priorities such as sidewalks. The council approved the resolution 4–0.
What’s next: The resolution will be forwarded to Putnam County’s state representatives for consideration; any revenue changes require state legislative action.
