The Tennessee Comptroller of the Treasury used to publish online an excel spreadsheet listing all Tennessee counties and showing the various pilots (Payments in Lieu of Taxes) granted by the various Industrial Development Boards and Health and Education Boards around the state. The spreadsheet showed how much each piece of property was paying under the granted pilot reduction and how much they would pay if they paid at the full rate for their property class. In the year 2006, Shelby County led the pack with around $49 million in tax reductions for one year. Davidson County had net Pilots of $6.2 million. I looked online for an update and none was posted. However I contacted the state office and they sent the spreadsheet update for 2008 which I have attached for the four major counties. They changed the format but you can get an idea of what the property would be paying if they paid at full value. The estimated value is reduced by 40% and then the rate for Shelby County is $4.09 per $100 and for Memphis is $3.1957. Total is $7.2857. Nashville is $4.13, Chattanooga is $4.7042 and Knoxville is $4.82.
Now many argue that we have to give Pilots in order to get businesses to come or to stay or to expand and this may be true. But I would argue that the real problem is high property taxes compared to other parts of the state and surrounding areas. We need to become more competitive with our competition. The Pilots increase the pressure on the homeowners who continue to bear the bulk of the tax burden.
Look at the figures and the Properties that receive the Pilots. Also you may have seen a commercial appeal article yesterday (February 7, 2010) about storm water fee reductions for certain properties in Germantown.Any comments would be appreciated.