Photo by Ivan Sanders/City of Elizabethton PIO The Elizabethton City Council will hear the first reading of the FY 2025-26 budget during its June meeting Thursday at Elizabethton City Hall.

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BY IVAN SANDERS
CITY OF ELIZABETHTON PIO

After deliberation that included four budget workshops and a three-day strategic planning retreat, the Elizabethton City Council is set for the first reading of the fiscal year 2025-26 budget during its June meeting. Among the notable decisions in the proposed budget is an increased $125,000 local contribution to Elizabethton City Schools operations — the first such funding increase since 2016. The council’s support was praised by school officials for its impact on staffing and operations.

Elizabethton City Schools Director Richard VanHuss emphasized at the April School Board meeting the importance of the funding, framing it as a critical intervention for the district. “The bottom line is they helped us save some jobs,” VanHuss said, noting the increase was the largest in decades. “It just speaks to the support we have on City Council, the people that love and understand what we’re doing,” he added. “And I knew from the get-go if there was a way to do it, they would do it.”

In addition to supporting the school system, the City Council addressed internal concerns within the Elizabethton Fire Department. A pay scale issue has made it difficult to recruit new firefighters, as the department had fallen behind others in the region. To combat recruitment and retention challenges for city staff, council members also approved an across-the-board pay raise and agreed to cover a 3% increase in employee health insurance costs. The move reflects a broader effort to improve city employee compensation and benefits.

To accommodate the needed increases, the budget includes a proposed increase of the property tax rate from $1.65 to $1.74. Of the nine-penny increase, four pennies will go to the school system, four pennies to employee pay and insurance, and one penny to the city’s paving budget. To put that into perspective, residents with homes appraised at $200,000 will see a $45 annual increase, while those with $400,000 appraised properties will pay an additional $90 per year. The budget also includes a 4% boost to street resurfacing funds, continuing the city’s investment in infrastructure improvements.

Additionally, the budget also includes capital investments such as renovations at Franklin Pool, three fully outfitted police vehicles, and the second $450,000 payment toward a $1.8 million new ladder truck for the fire department, which will serve the city for the next 30 years.
City Manager Daniel Estes praised City Council’s efforts during the budget process, saying, “City Council had tough choices, but recognized these were overriding needs that needed to be addressed, even with a really tight budget.”