Thread by @freddieoconnell

Today, I’m requesting the Council office work with @NashFinance to prepare a budget for #MetroCouncil to consider that leverages the @federalreserve’s Municipal Liquidity Facility (MLF) and reduces the property tax levy to $0.37 from $1.

You can learn more about the Municipal Liquidity Facility here:

federalreserve.gov/monetarypolicy…

The details of the mechanics of the MLF were not available to the mayor’s office by the time @JohnCooper4Nash was required to recommend a budget, so I hope he will be able to support this approach with more information.

My proposal does recognize the need for a property tax rate increase to cover some fundamentals, but leans heavily on a federal tool created specifically for this purpose. This is a bridge to a better future.

There are a few major themes of my proposal:
* Ensure the stability of government
* Recognize that more Nashvillians are vulnerable than ever before
* Acknowledge that the approach is partial

Government stability: We won’t make significant investments, but neither does it increase unemployment nor cut services dramatically. Even in a time of shared sacrifice, we cannot remove critical supports and services.

Vulnerability: I’ve spoken to neighborhoods and small businesses across District 19, and it’s clear that more people are experiencing a degree of economic pain in Nashville than we’ve likely seen since the Depression era.

Acknowledgement: This budget does not fundamentally resolve the structural imbalance between revenues and expenses; it bridges us back to the assessment cycle, when I hope and expect we stabilize things for the remainder of the term.

The good:
* We restore step increases for Metro employees and teachers.
* We prioritize public safety.
* We keep non-profits engaged providing key services.
* We focus on putting people to work, including young people.

The bad:
* We take on more debt. But it’s short-term and should be resolved by the end of this term.
* We don’t fix our structural fiscal issues.

The ugly:
* This is a crisis. We can’t easily plan for the long term. Information changes daily. Forecasting is nearly impossible. And this approach is non-standard. That said, _any_ recommended budget carries risk.

I hope my colleagues will give serious consideration to using a tool provided by the federal government specifically for this purpose as we try to govern for all of Nashville.

Now is the time for creative thinking and using new tools as they become available with the goal of stability and pain mitigation, even as we take small steps toward the future we know we need to reach.

Our budget discussion over the next few months will be incredibly difficult, but I want colleagues to have an option that explores a tool created for cities in crisis and recognizes pain being felt across the city.

If I don’t get support for this approach, I expect to support the chair’s budget. @mendesbob has worked hard over the past few years to get us to confront uncomfortable truths.

If the MLF approach prevails, after next year’s assessment, I expect to be at the forefront of CMs seeking to ensure a stable fiscal environment that lasts for the duration of our term.

I recommend that everyone review the Citizens' Guide to the Metro Budget over the next few weeks.

nashville.gov/Finance/Manage…