Memphis mayor to present budget, city council to set property ta - News, Weather, Sports, Toledo, OH

No tax hike in mayor's budget plan despite 'elephant in the room'

Personnel costs dominated the Mayor's 25-minute speech. Personnel costs dominated the Mayor's 25-minute speech.
He says it will cost taxpayers an additional $60 million to $80 million per year. He said the pension system can explode any moment. He says it will cost taxpayers an additional $60 million to $80 million per year. He said the pension system can explode any moment.

(WMC-TV) - Mayor A C Wharton released his annual budget Tuesday. There will be no tax hike for Memphis taxpayers in 2015, but public safety will take a hit.

Personnel costs dominated the mayor's 25-minute speech. He says if there is no pension and health care reform, the city will see cuts in services or a property tax hike.

The mayor began his speech with a message to employees.

"I understand, acknowledge, and appreciate the sacrifices you've made for the good of our city," he said.

The mayor noted his $596 million budget is $18 million less than last year. He called pension the "elephant in the room."

He says it will cost taxpayers an additional $60 million to $80 million per year; the pension system can explode any moment.

"Every time it explodes, we will have to either cut essential services or increase taxes," said Wharton.

He said the unfunded pension liability exceeds $700 million. His solution: To switch employees from defined benefits to a 401(k) plan.

Wharton also says he will continue to use attrition to lower public safety costs.

"For example, not filling positions as they become vacant to right-size our police department, but we will not put our citizens at risk," he said.

He says the other elephant in the room is retiree health care. His budget would change what they pay.

"Beginning on January 1, 2015, retirees can keep their health plan, but must pay all of their premiums," he said.

Wharton says retirees who are ineligible for Medicare will not be impacted. Pension and medical care reform savings would be used to pay unfunded pension liability.

The mayor will ask for $23 million to redevelop Raleigh Springs Mall and $1.5 million for MATA.

Jason Miles was in that meeting with Kontji Anthony, and he will bring you reaction to the mayor's budget proposal tonight on WMC Action News 5 at 10.

To read the mayor's budget address in its entirety then follow the link: http://ftpcontent4.worldnow.com/wmctv/FY15%20Budget%20Speech.pdf.

Get the latest from Action News 5 anytime: iPhone | iPad | Android | SMS Alerts | Email Alerts | Facebook | Twitter | Instagram

Copyright 2014 WMC-TV. All rights reserved.
  • Headlines from Lucas, Wood, Ottawa, Fulton & Monroe CountiesNewsMore>>

  • Firefighters group provides safety tips for Fourth of July weekend

    Firefighters group provides safety tips for Fourth of July weekend

    Monday, June 25 2018 2:59 PM EDT2018-06-25 18:59:53 GMT
    (Source: AP)(Source: AP)
    (Source: AP)(Source: AP)
    National Fire Protection Association (NFPA) is reminding people about potential summer fire and electrical hazards, and providing tips and recommendations to minimize them. “By knowing where potential fire and electrical hazards exist during the summer months and taking the needed steps to prevent them, people can enjoy activities such as grilling, swimming and celebrating the Fourth of July while keeping their families, guests and homes safe,” said Lorraine Carli, V...More >>
    National Fire Protection Association (NFPA) is reminding people about potential summer fire and electrical hazards, and providing tips and recommendations to minimize them. “By knowing where potential fire and electrical hazards exist during the summer months and taking the needed steps to prevent them, people can enjoy activities such as grilling, swimming and celebrating the Fourth of July while keeping their families, guests and homes safe,” said Lorraine Carli, V...More >>
  • Toledo Roadrunners donate nearly $13,000 to Habitat for Humanity

    Toledo Roadrunners donate nearly $13,000 to Habitat for Humanity

    Monday, June 25 2018 2:44 PM EDT2018-06-25 18:44:20 GMT
    Maumee Valley Habitat for Humanity presented nearly $13,000 from the Toledo Roadrunners. (Source: WTOL)Maumee Valley Habitat for Humanity presented nearly $13,000 from the Toledo Roadrunners. (Source: WTOL)

    Maumee Valley Habitat for Humanity was cut a big check on Monday morning. The Toledo Roadrunners club presented a $13 thousand check to the charity.

    More >>

    Maumee Valley Habitat for Humanity was cut a big check on Monday morning. The Toledo Roadrunners club presented a $13 thousand check to the charity.

    More >>
  • Nickelodeon's 'Double Dare' returns

    Nickelodeon's 'Double Dare' returns

    Monday, June 25 2018 2:31 PM EDT2018-06-25 18:31:15 GMT
    Nickelodeon's "Double Dare" returns with new and old faces. (Source: Premiere TV)Nickelodeon's "Double Dare" returns with new and old faces. (Source: Premiere TV)
    Nickelodeon's "Double Dare" returns with new and old faces. (Source: Premiere TV)Nickelodeon's "Double Dare" returns with new and old faces. (Source: Premiere TV)
    Looking for some nostalgia this summer? Well, look no further than your TV set. Nickelodeon's "Double Dare" comes back from the 90's to give you a fun blast from the past. The show features two teams competing to win prizes by answering trivia questions, completing messy physical stunts and facing the legendary obstacle course, including the human hamster wheel, the classic gigantic mouth, the wringer, the iconic Double Dare nose and more. The original host, Mar...More >>
    Looking for some nostalgia this summer? Well, look no further than your TV set. Nickelodeon's "Double Dare" comes back from the 90's to give you a fun blast from the past. The show features two teams competing to win prizes by answering trivia questions, completing messy physical stunts and facing the legendary obstacle course, including the human hamster wheel, the classic gigantic mouth, the wringer, the iconic Double Dare nose and more. The original host, Mar...More >>
Powered by Frankly