MEMPHIS, TN (abc24.com) - The Memphis City Council decided there would be no property tax increase, at least not for now.
After several heated exchanges during the City Council meeting Tuesday, Council members came up with a compromise to deal with the City's nearly $13.5 million budget shortfall.
Mayor A C Wharton's plan was to raise property taxes by 18 cents to help the City balance its books, but City Council members didn't like that plan.
"The Mayor's tax increase is no wiser than the six million dollars in bonuses he gave in December," Councilman Jim Strickland told the assembled crowd at City Hall. He added, "We should not raise taxes whether it's 18 cents or 13 cents."
Other council members felt the same way, including Kemp Conrad. Conrad proposed a compromise. It calls for the City to take $10 million from the General Reserve fund and put it towards operations. It also takes away the $13 million voluntary retirement program for sanitation workers.
