By JAMES BROWN
Glasgow News 1
The Cave City Council passed on first reading its 2026 tax rates for real estate and vehicles. The council will have a second reading of the tax rates at its September meeting.
The council opted to adopt the compensating rate on first reading Monday night. The rate will generate approximately the same revenue as last year.
City attorney Bobby Richardson read the ordinance related to the tax rate prior to adoption.
Last year, the property tax rate was set at .134 per $100 of assessed value. Richardson stated that the compensating rate for this year would drop the rate to .130 per $100.
Mayor Dwayne Hatcher said growth in the city allows nearly the same revenue to be generated despite the tax rate actually declining.
Real estate and personal property net assessments grew by over $2 million this past year, which enabled the city to adopt the compensating rate without losing revenue, Hatcher explained. On a home assessed at $200,000, the rate drop from .134 to .130 will save the homeowner $8 per year, dropping their annual city property tax from $268 to $260.
The council also held a reading and unanimously approved the ad valorem tax rate for motor vehicles and watercrafts, maintaining the rate at .175 per $100 of assessed value.
The second reading on both tax ordinances should be on the agenda for the September meeting.
Hatcher also explained that the city is applying for a grant that could help cover the costs of new air packs for the fire department. He also said the new chipper has arrived and was used for the first time last week. Both of these items were approved at last month’s council meeting.
The council meeting was streamed for the first time on YouTube. A new room microphone system and video system were set up for the meeting.
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