Many property owners in Gray are likely to see an increase in their tax bills to some degree this year as the result of a vote by City Council last week.
With councilman Benny Gray still not in attendance, the four council members with no discussion unanimously adopted a net tax levy of 9.5 mills at their Oct. 7 meeting. The millage rate before the 4.95 mill rollback due to the collection of Local Option Sales Tax (LOST) funds was 14.45.
The rate is the same as 2023, but the tax digest has increased due to revaluation of properties this year, which will mean a tax increase for most taxpayers. The third and final public hearing required by the state prior to the setting of a millage rate that results in an increase in taxes was held before last Monday’s meeting, but no one indicated their presence.
In conjunction with the tax levy, council members adopted a resolution that set the city’s operating budget at $3,017,442 for 2025. The largest source of revenue by far is property taxes, $1,203,423, while LOST funds are estimated to total $680,000. Conversely, the Police Department and General Fund budgeted expenses total $1,110,200 and $1,075,928, respectively, though fines and fees from Recorders Court will net an estimated $230,000 in revenue.
With Mayor Ed Barbee presiding, council members approved four other items on the agenda, among them a proposal for raises for the elected officials. Terry Favors made a motion, with a second by Terrell Fulford, for City Attorney John Newberry to “start the process to bring the proposed salary increases for Mayor and Council to a vote.”
Council members currently are paid $500 per month, James Collins as Mayor Pro-Tem $550 and the mayor $600. While no specific figure has been presented at this point, unofficial discussion has suggested an increase of $100 per month across the board.
Collins strongly opposed the motion.
“I said at the other meeting, and want to reiterate here, I don’t think this is the right time,” he declared. “We’ve got families struggling in the city, and this equates to over $30,000 over the next four years.”
Collins said later council members are adequately paid for their service.
“I’m not trying to take compensation from council members,” he stated. However, he continued, “We attend on the average two meetings a month. The vast majority of those meetings lasts less than an hour … Regardless of whether you go or not (to the meetings), you get full payment. So, you’re talking about on the average, city councilmen are making over $200 an hour.”
While Collins acknowledged council members are required to attend other functions and meetings, he said that does not justify the raises.
“That’s part of the job, something you know going in,” he asserted. “If you don’t want to do that, maybe this isn’t the right position for you.”
The councilman questioned whether there was ever a time for such an increase but said it is definitely not now.
“You’ve got people putting their kids to bed at night, wondering how they’re going to pay their bills, feed their children. People are struggling,” he alleged, pointing out as examples how power bills and beef prices have gone up this year as well as housing costs the past four years. “Any dollar we can save people matters to people right now.”
No one responded to his comments, but David Tufts also voted against the measure, requiring the mayor to break the tie. Barbee voted in the affirmative.
Another vote that was not unanimous related to salary caps for certain city positions. The motion was to reapprove the caps, and Favors abstained.
“I don’t know what the previous cap is and the current cap,” he explained. “I didn’t go to the committee meeting. I’m just unfamiliar with it.”
Collins questioned the basis for his abstention, and Favors reiterated he didn’t know anything about it.
Collins pressed the point.
“The charter reads that you have to have a reason to abstain, not that you’re ignorant to what’s going on.”
Favors again noted it was not discussed at an earlier committee meeting, and he did not know the previous cap. “So, it’s hard to vote on something when you’re ignorant about it.”
It appeared Newberry told the mayor Favors’ action was an abstention, and he clarified his position later in the week.
“I did not intend to render a legal opinion,” Newberry said, “but thought his (Favors) reasoning satisfactory enough and ready to move on from the issue. I don’t believe we can compel a vote, outside some legal action,” he added.
Collins later explained his position, saying that there are two exceptions in the charter that allow abstentions, and neither are present in this case.
“It’s very clear,” he asserted. “Other than that, ‘you shall vote’, and in legal terms that means you must.”
The nature of Favors’ action had no effect on the outcome, as the motion passed with three votes in favor of it.
