LENOIR CITY, Tenn. — Editor's Note: This story originally reported the sales tax would change from 9% to 9.75% if the referendum is approved. It was updated to reflect that the change would be from 2% to 2.75%.
Early voting is underway in a special election on whether to increase the sales tax rate in Lenoir City.
Lenoir City's mayor, the city council, and the Lenoir City School Board are pushing to bump sales tax in the city to pay for school improvements as well as to build a senior center and community center. The increase is 0.75% which would raise the total combined sales tax in the city from 2% to 2.75%.
City officials and the school district have estimated the increase would bring in around $4 million a year. The money would be split down the middle, half going to expand and renovate Lenoir City Schools and the other would go to a senior and community center.
There have been previous attempts to increase the city's sales tax — as recently as 2018. The vote failed, with almost 60% of voters against an increase.
Jeanne Barker, the Director of Schools in Lenoir City, said these funds are necessary to meet a growing enrollment. She said Lenoir City Elementary School and Lenoir City Middle School are both overcrowded.
"Our school district is a fast-growing district," Barker said in an emailed statement. "Due to +8% increased enrollment over the past three years, we are seeing sustained growth in our community. It is time for us to grow the facility capacity at each of our schools."
The goal is to expand classrooms in the middle and elementary schools and add athletic facilities to the high school. School renovations will cost around $30 million, Barker said.
Mayor Tony Aikens said a senior center is needed, and supports a tax increase to pay for it.
"There's a need for a senior citizen center in Lenoir City," Aikens said. "We have a lot of seniors here. What we're asking for is less than a penny. But that less than a penny would bring in a substantial amount of money."
But not everyone is on board.
"People will support taxes and tax increases when they know there's a need, when they know it's something that has to be done," said Van Shaver, the representative of District 5 on Loudy County Commission. "And in this particular case, there's just not been much evidence to go out to show what they need the money for."
Part of his district includes Lenoir City. City leaders said this is crucial to school safety and to accommodate a growing area.
"We need to expand the Lenoir City school system for the safety of our children, particularly in the elementary and middle schools," Aiken said. "We're trying also to accommodate our senior citizens."