Nashville Mayor Briley announces 3 percent cost-of-living raises for city employees

Nashville Mayor David Briley announced Monday a 3 percent cost-of-living raise for all Metro employees beginning in July for the upcoming budget.

“After a year when we had to put out a tight budget — which was a disappointment to me — I am proud to say that we can now give Metro employees the cost-of-living adjustment they deserve,” Briley said in a statement announcing his proposal.

“I would like all the men and women who work for our city to know that I deeply appreciate everything they do for residents throughout Nashville and Davidson County.”

Metro’s budget process for the 2018-19 fiscal year was the most contentious in years, one dominated by less-than-expected revenue that has prevented the city from awarding cost-of-living pay raises to Metro workers and fully funding schools.

Despite Nashville's economic and development boom, the city has taken in less property tax revenue than had originally been expected. It's one of several reasons why the city is facing an unexpected budget crunch.

As a result, Briley proposed only $5 million for Metro schools in new funding last year, which asked for $44.7 million. He's also withheld the cost-of-living pay bump.

Union groups, teachers, education advocates and others have rallied around the need for a property tax increase, which they say should have been done in 2017 to coincide with the city's historic property reappraisal. 

The Metro Council and then-Mayor Megan Barry approved a cost-of-living pay increase for city employees over the next three years in 2017, but when the council defeated the tax increase proposal, it also reneged on that promise. 

"This past year was one in which we not only asked a lot of our Metro employees work wise, but we also asked them for patience and trust in us to deliver the 3 percent (cost-of-living adjustment)," said Tanaka Vercher, the council’s Budget and Finance Committee chairwoman .

"I was confident last budgetary cycle we would get here because the Budget and Finance Committee conversations and work never stopped toward funding possibilities for the COLA," Vercher said. "I applaud the Mayor for including the COLA in his proposed budget and the continued diligence from our Finance Department and the sacrifice of our Metro Departments to aid us in getting to this point."

The city’s Amazon and AllianceBernstein incentives were tied to pay raises for Metro employees in early March when the Metro Council voted to request Nashville refrain from providing incentives to companies without following through on a promise to provide pay increases to city workers.

Since taking office, Briley’s administration said a "combination of factors," including cost-cutting measures and revenue growth from sale and property taxes, along with working closely with the Finance Department and other Metro departments to control expenses — resulted in his decision to fund the cost-of-living adjustment

Briley said he will also recommend funding step and open-range increases in the budget he will submit to Metro Council by May 1.

Includes reporting by Jason Gonzales. 

Reach Yihyun Jeong at yjeong@tennessean.com. Follow her on Twitter @yihyun_jeong.

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