While he’s still reviewing the recent appellate court decision and yet to meet with attorneys, County Mayor-Elect Curt Cobb said this week that he is disappointed that the City of Shelbyville chose to sue the County over education funding.
Cobb will officially become Bedford County Mayor Sept. 1. A former state representative, and currently BC Clerk & Master, Cobb won the recent General Election.
The City of Shelbyville sued the County about 2 years ago over the local option sales tax revenue. A lower court’s opinion last year was that the handshake type agreement made 50 years ago between the City and County-one thought to help the progress of schools- is now over.
Now the appeals court has concurred. Come July 2027, those local option sales tax dollars will begin entering City coffers.
A local option sales tax in Tennessee is an additional tax that a county or incorporated city can levy on the same goods and services subject to the state’s sales and use tax, up to a maximum of 2.75% (TN.gov.)
While the County had to place that tax revenue in a special debt service fund for building new schools, the City of Shelbyville will be able use those funds for City projects.
That has been the ongoing issue between City and County. And, because the City no longer manages schools, that has brought about the grander issue of it all. Outgoing County Mayor Chad Graham has expressed how this turn of events will affect local education.
Millions have been spent in legal fees for this lawsuit. Whether the County will spend more dollars and now seek relief from the state Supreme Court is not known.
Incoming Mayor Cobb told the T-G this week, “I remain disappointed that the City of Shelbyville chose to sue the County cover education funding. Many decisions made by the City directly impact the County’s budget and every taxpayer in Bedford County, whether they live in Shelbyville, one of our other municipalities, or in the unincorporated areas.”
Cobb added, “Our citizens are best served when the County, the City of Shelbyville, our other municipalities, and our elected officials, work together. We may not always agree, but communication, cooperation, and a willingness to find solutions, must be a priority.”