ASHLAND — Ashland City Council unanimously approved its 2022 tax budget last week.
The $65,441,101 tax budget represents a 1 percent increase in the city’s operating expenses, according to city Finance Director Larry Paxton.
But that doesn’t necessarily mean a need to raise taxes, he said.
“We have labor costs that have built-in increases … as well as petroleum and the price of asphalt has gone up,” Paxton said.
Councilman Dan Lawson said the 1 percent increase can be absorbed without increasing taxes.
Mayor Matt Miller said figures will change by the time council is ready to vote on a final budget.
“The primary purpose of this budget is for us to get an idea of what revenues we’re anticipating as we go into that budget process,” he said. “So if anyone looks through the details in this budget, just note that none of this is carved in stone.”
Paxton said the city collected around $15,240,000 in income tax revenue.
He said the city is not anticipating “vast amounts” of additional revenue this year.
The tax budget now goes to the county budget commission for approval.
City council’s action begins the 2022 appropriations process, which happen around the end of the year.
