Reading these numbers: the headline figures are the FY2025 audited General Fund (AFR Exhibit C-3): revenue $28,791,908, expenditures $27,545,276, fund balance $16,063,967 (a 55.8% reserve). The department cards below are a line-by-line narrative guide, so some include context beyond the General Fund — notably Highways/Public Works ($3.97M, a separate gas-tax-funded fund) and existing school/education debt service — which is why the cards sum higher than the $27.5M audited General Fund total. The 2026 reappraisal reset the rate: the old pre-reappraisal rate was $1.7683; the Assessor's certified rate is $1.1034; and on June 29, 2026 the Commission adopted $1.0944 (outside Lenoir City; $0.8602 inside — the difference is the $0.2342 school-debt levy, which applies only outside the city). Adopting below the certified rate makes it a small real tax cut. The same meeting adopted FY2027 General Fund appropriations of $33,230,550 — up 20.6% over the FY2025 audited $27.5M and 5.3% over the FY2026 amended $31.5M — including a $2,080 cost-of-living raise for all full-time employees (5% for regular part-time), one new full-time position each at the Jail and Ag Extension, a part-time Assessor position, and four part-time library positions.
Also adopted June 29, 2026 — beyond the budget
Data center moratorium. A six-month moratorium (unanimous) on approving any data center facility with projected peak electric demand of 50 MW or more in its first three years; exempts state-owned facilities and telecom/broadband-support facilities, and directs the Planning & Codes Director to recommend zoning changes. Greenback and Loudon City are set to follow; Lenoir City has not acted. Backdrop: a pending Hawkins County lawsuit over that county's outright ban will test how far counties can go.Nonprofit appropriations up 18%. $1,865,285 total to nonprofits (vs $1,580,174 in FY2026) — the fire department and E-911 increases above, plus Child Advocacy Center $46,000, Good Samaritan Center $15,000, and others.
Public-safety retirement bridge. The 20/60 bridge retirement provision was replaced with a 7-year bridge for Certified Public Safety Officers and Corrections Guards, effective July 1, 2026.
TASS revenue bonds closed. Report on Debt Obligation distributed for the Water & Sewer Revenue Bonds (Tellico Area Services System), Series 2026: $19,825,000 face, negotiated sale, TIC 4.7104%, $555,335 premium, dated/closed June 17, 2026, final maturity July 1, 2056, S&P A+ (AA with BAM insurance), costs of issuance $379,370. Revenue-secured — repaid from TASS utility revenues, not property taxes, but it is county-issued debt and belongs in any complete debt picture.
FY2026 closed out with year-end amendments. The final amended FY2026 General Fund budget: revenue & transfers in $29,493,793, expenditures & transfers out $31,636,473, projected available fund balance $11,915,219 at 6/30/2026 (budgetary basis) — a budgeted $2.14M draw, much smaller than the $5.31M draw in the original FY2026 budget after year-end true-ups. Other funds amended included Opioid (recognized $233K settlement revenue), ARPA (recognized the $4.02M TDEC grant), and Drug Control (+$88.9K vehicles).
Grants without match authorized. Departments may now apply for and accept external grants requiring no county match without separate Commission approval (Section 6 of the appropriations resolution), with budget-amendment appropriation before spending — plus a Senior Center CDBG application (up to $500K, building renovations). Commissioner pay stays frozen at $11,224 (Section 11).
🛡 Public Safety
Sheriff's Department Salary Pressure
Largest single GF expenditure — patrol, investigations, school resource officers, court security
$7.50M
Audited $7,502,194 · Public Safety (AFR C-3)
What's in this line
- Sworn officer salaries & overtime — largest single cost
- School Resource Officers (SROs) — stationed at Loudon County schools; partially reimbursed by school dept
- Vehicles & fuel — patrol fleet maintenance, gas
- Uniforms, equipment, weapons qualifications
- TCRS pension contributions — law enforcement tier (higher rate than general employees)
- Investigations division — including drug task force participation
- Court security — bailiffs, courthouse deputies
Cost Drivers & Flags
Salary increases hit here hardest — sworn officers represent the majority of the 408-employee headcount and are on the higher TCRS public safety tier. Every 1% raise costs ~$50K–75K in this department alone before benefits.
Recruitment & retention: East TN law enforcement market is competitive with Knox County, Knoxville PD, and state agencies all offering comparable or better pay. Turnover has real costs (training, POST certification time).
SRO reimbursement: Watch whether the school budget offset is captured correctly — if schools defund SRO positions, that cost shifts fully to GF.
Recruitment & retention: East TN law enforcement market is competitive with Knox County, Knoxville PD, and state agencies all offering comparable or better pay. Turnover has real costs (training, POST certification time).
SRO reimbursement: Watch whether the school budget offset is captured correctly — if schools defund SRO positions, that cost shifts fully to GF.
Political Context
The LCSO relationship with the Commission has historically been stable but salary competitiveness is an ongoing tension — the 4.5% FY2026 increase was partly a response to retention pressure in this department. The adopted FY2027 budget continues that response: a $2,080 COLA for full-time employees plus a new 7-year bridge retirement provision for Certified Public Safety Officers and Corrections Guards (replacing the old 20/60 bridge, effective July 1, 2026) — a meaningful retention lever. FY2027 adopted appropriations: Sheriff's Department $8,585,897, Jail $6,140,159, plus one new full-time jail position.
Jail Operations Capacity Watch
Detention facility staffing, inmate housing, medical, food service
$4.63M
Audited $4,633,402 · Public Safety (AFR C-3)
What's in this line
- Corrections officer salaries — 24/7 facility staffing
- Inmate medical care — contractual or in-house; significant variable cost
- Food service — meals per inmate per day
- Inmate transport — court appearances, medical off-site
- Facility utilities & maintenance
- State reimbursement offsets — TN holds some state inmates locally; reimbursement rate matters
Cost Drivers & Flags
Population growth = more arrests = higher average daily population (ADP). Loudon County's rapid growth (63rd fastest in the U.S.) directly pressures jail capacity. If ADP rises, overtime and contract costs spike quickly.
Medical costs are the hardest to control — a single high-needs inmate can add $50K–$200K in a year. Mental health holds are increasingly common statewide.
State prisoner reimbursement can partially offset costs but rates often lag true per-diem costs.
Medical costs are the hardest to control — a single high-needs inmate can add $50K–$200K in a year. Mental health holds are increasingly common statewide.
State prisoner reimbursement can partially offset costs but rates often lag true per-diem costs.
Rural Fire Protection Contribution
County contribution to volunteer fire districts — not direct county operations
$526K
Audited $526,500 · Public Safety (AFR C-3)
What's in this line
- Annual county contributions to volunteer fire departments serving unincorporated areas
- Equipment grants — apparatus replacement funds, SCBA, turnout gear
- Training support — TN Fire Commission certification reimbursements
- Note: Lenoir City and Loudon City have their own fire departments — this is rural/unincorporated coverage
Cost Drivers & Flags
FY2027 raised this line substantially. The nonprofit appropriations resolution adopted June 29, 2026 increased each volunteer department — Philadelphia, Greenback, and Tellico Village FDs from $150,000 to $175,000 each, and Loudon County Fire Rescue from $200,000 to $250,000 — with the FY2027 Rural Fire Protection appropriation at $776,500 (vs $526,500 audited FY2025). A separate $560,000 Fire Safety commitment (Section 15) remains reserved outside the adopted appropriation, released only through budget amendment.
Otherwise a stable line, but annexation disputes with Lenoir City affect service territory boundaries. If Lenoir City annexes additional unincorporated areas and extends its fire coverage, this line could theoretically decrease — but the county loses property tax base on those parcels simultaneously.
ISO rating pressure: Rural fire districts need county support to maintain Insurance Services Office ratings that keep homeowners' insurance rates in check for rural residents.
Otherwise a stable line, but annexation disputes with Lenoir City affect service territory boundaries. If Lenoir City annexes additional unincorporated areas and extends its fire coverage, this line could theoretically decrease — but the county loses property tax base on those parcels simultaneously.
ISO rating pressure: Rural fire districts need county support to maintain Insurance Services Office ratings that keep homeowners' insurance rates in check for rural residents.
Civil Defense / EMS Stable
Emergency management, TEMA coordination, ambulance subsidy
$193K
Audited $192,886 · Public Safety (AFR C-3)
What's in this line
- Emergency Management Director salary/office
- TEMA coordination costs — local match requirements for state/federal grants
- Emergency operations center (EOC) equipment
- EMS/ambulance subsidy if applicable — may be partially funded through Lenoir City or private contract
- Disaster preparedness supplies, training
Cost Drivers & Flags
Small but important line. Federal grants (FEMA BRIC, EMPG) can offset costs significantly — but require local match and are administered here. Losing connection to EDA could theoretically complicate some grant applications where regional coordination is required.
Growth pressure: more residents = larger emergency planning burden, but this line hasn't scaled proportionally yet.
Growth pressure: more residents = larger emergency planning burden, but this line hasn't scaled proportionally yet.
🏛 General Administration
General Government Litigation Active Political Flashpoint
Commission, Mayor's office, County Attorney, Register, Trustee, Election Commission
$4.71M
Audited $4,705,254 · function total (AFR C-3)
What's in this line
- County Commission operations — commissioner pay, meeting costs, clerk
- County Mayor's office — staff, Mayor Bradshaw's salary
- County Attorney — in-house and/or outside counsel retainer
- Register of Deeds — recording, document management
- Trustee's office — property tax collection, investment
- Election Commission — elections administration, equipment, poll workers
- County buildings insurance (some may sit here vs. buildings line)
- General liability insurance premiums
- Audit fees — TN Comptroller audit
The Lenoir City Lawsuit — What It Costs Here
This is where the annexation lawsuit costs land. The county filed suit in February 2023 against Lenoir City over the alleged illegal annexation of two unincorporated properties (2020 and 2022). A 2005 interlocal agreement required county consent — LC allegedly ignored it.
Relief sought: Invalidation of the annexations; restoration of county rights over infrastructure and school district boundaries.
Status (as of early 2025): Ongoing in Loudon County Circuit Court. Lenoir City filed to dismiss (March 2023) citing jurisdiction and timing issues; that motion has not prevailed. Trial date had been floated for November 2025.
Cost impact: outside counsel fees for litigation are typically billed through the County Attorney line here. Budget for this being a multi-year, six-figure legal expense if it goes to trial.
Relief sought: Invalidation of the annexations; restoration of county rights over infrastructure and school district boundaries.
Status (as of early 2025): Ongoing in Loudon County Circuit Court. Lenoir City filed to dismiss (March 2023) citing jurisdiction and timing issues; that motion has not prevailed. Trial date had been floated for November 2025.
Cost impact: outside counsel fees for litigation are typically billed through the County Attorney line here. Budget for this being a multi-year, six-figure legal expense if it goes to trial.
Political Context
The annexation dispute is fundamentally about money and schools. Every parcel Lenoir City annexes: (1) removes property tax revenue from the county's General Fund, (2) shifts those students from the county school district to Lenoir City Schools, changing the county's per-pupil funding obligations, and (3) may affect utility service territories. The county's position is that unauthorized annexations undermine its ability to plan infrastructure and maintain service equity.
Election Commission costs spike in election years. FY2026 has both primary and general elections — budget for increased poll worker, equipment, and early voting costs here.
Finance & Administration Stable
Finance dept, HR, IT, purchasing, accounts payable/receivable
$3.15M
Audited $3,154,933 · function total (AFR C-3)
What's in this line
- Finance Director & staff — budget, CAFR preparation, grants accounting
- Human Resources — benefits admin, recruitment, TCRS enrollment
- Information Technology — county network, cybersecurity, software licensing
- Purchasing — procurement, bid management, vendor contracts
- County-wide software subscriptions — Tyler Technologies (financials), GIS, records mgmt
Cost Drivers & Flags
Software costs are rising — Tyler Munis and similar government ERP systems have moved to SaaS pricing with annual escalators. Cybersecurity insurance premiums for local governments have increased sharply since 2021 ransomware attacks on TN municipalities.
IT is chronically underfunded in small counties. Growth in county services (more employees, more systems) without proportional IT investment creates technical debt that shows up as breach risk or costly emergency upgrades.
IT is chronically underfunded in small counties. Growth in county services (more employees, more systems) without proportional IT investment creates technical debt that shows up as breach risk or costly emergency upgrades.
⚖️ Administration of Justice
Courts / Administration of Justice State-Mandated
Circuit, Chancery, General Sessions, Juvenile courts; clerks; public defender; pretrial services
$2.89M
Audited $2,891,931 · function total (AFR C-3)
What's in this line
- Circuit Court Clerk staff — case management, filing, records
- Chancery Court — equity cases, probate
- General Sessions Court — misdemeanor, civil <$25K, evictions
- Juvenile Court — staff and DCS coordination
- Appointed counsel / indigent defense — partial county obligation
- Jury costs — per diem, mileage for jurors
- Drug Court / treatment courts — if applicable
What to Watch
The Lenoir City annexation lawsuit is litigated in Loudon County Circuit Court — costs may show in both this line (court operations) and in General Government (county's own attorney). If the case goes to trial in late 2025/2026, expect elevated jury and facility costs.
Case volume tracks population. More residents = more civil filings, evictions, DUI cases. Clerks' offices rarely scale headcount as fast as case load grows.
Case volume tracks population. More residents = more civil filings, evictions, DUI cases. Clerks' offices rarely scale headcount as fast as case load grows.
🛣 Infrastructure & Facilities
Highways / Public Works Growth Pressure NOT IN GENERAL FUND
Road maintenance, bridges, equipment, paving — does NOT include state highway system
$3.97M
Separate Highway/Public Works Fund · $3,967,292
What's in this line
- Road crew salaries — equipment operators, maintenance workers
- Asphalt & materials — paving contracts, gravel, line striping
- Bridge inspection & maintenance
- Equipment fleet — graders, dump trucks, mowers; lease or depreciation
- Culverts, drainage, signage
- Winter road treatment — salt, brine; variable by year
- State-maintained roads (e.g. Hwy 321, 72) are TDOT's budget, not this line
Cost Drivers & Flags
Growth creates new county road miles — subdivisions built in unincorporated areas add road mileage that the county must eventually maintain. Annexation by Lenoir City shifts some road maintenance responsibility to the city, but the county loses the tax base too.
Fuel & material inflation hit this line hard in FY2022–2024; prices have moderated but asphalt remains volatile (tied to oil).
State gas tax allocations (TDOT local aid) partially fund this — changes in state formula affect the county's own contribution requirement.
Fuel & material inflation hit this line hard in FY2022–2024; prices have moderated but asphalt remains volatile (tied to oil).
State gas tax allocations (TDOT local aid) partially fund this — changes in state formula affect the county's own contribution requirement.
Annexation = road responsibility transfer. When Lenoir City annexes parcels, county roads in those areas technically transfer to city maintenance. This can reduce this line marginally, but the county loses much more in property tax than it saves in road costs.
County Buildings & Facilities Deferred Maintenance Risk
Courthouse, Courthouse Annex, county offices, utilities, janitorial, insurance
$1.64M
Audited $1,641,983 · within General Government (AFR C-3)
What's in this line
- Courthouse & Annex utilities — electric, gas, water
- Janitorial & grounds — contract or in-house
- HVAC, roofing, plumbing repairs
- Building insurance & property coverage
- Convenience Center expansion — FY2026 project noted in budget hearings
- Security systems — access control, cameras
Cost Drivers & Flags
The Convenience Center expansion was flagged by a resident at the June 2025 budget hearing as potentially impacting the Riverview community. This capital project may create one-time cost pressure in FY2026.
Deferred maintenance trap: Small counties often underfund routine building maintenance to balance budgets, then face large emergency repair bills (roofs, HVAC, ADA compliance).
Deferred maintenance trap: Small counties often underfund routine building maintenance to balance budgets, then face large emergency repair bills (roofs, HVAC, ADA compliance).
🤝 Community & Human Services
Public Health & Welfare State Partnership
Health dept operations, social services, indigent care — shared with state
$893K
Audited $892,594 · function total (AFR C-3)
What's in this line
- Loudon County Health Department — county match for TDH-shared staffing
- Indigent medical care — county obligation for uninsured residents (pre-hospital or supplemental)
- WIC / family planning coordination
- Mental health services referrals
- Community Action Agency support — if applicable
Cost Drivers & Flags
The health department is a joint county/state entity — TDH provides staff and state funds; the county provides the building and a local match. The match formula is set by TDH.
Growth + uninsured population: Loudon County's rapid in-migration includes retirees (higher chronic disease burden) and construction/service workers (less likely to carry insurance). Both increase indigent care costs.
Growth + uninsured population: Loudon County's rapid in-migration includes retirees (higher chronic disease burden) and construction/service workers (less likely to carry insurance). Both increase indigent care costs.
Senior Citizens Stable
Senior center operations, meals, transportation, programs
$311K
Audited $310,525 · Social/Cultural (AFR C-3)
What's in this line
- Senior center staff — director, program coordinators
- Meals program — congregate meals, Meals on Wheels
- Transportation — medical rides, activity trips
- East Tennessee Human Resource Agency (ETHRA) coordination
- Federal Title III-B/C grants often flow through this line or offset it
Cost Drivers & Flags
Loudon County has a notably older demographic skew — Tellico Village and similar communities bring large retiree populations. Demand for senior services will only grow.
Federal Older Americans Act funding (through ETHRA) partially offsets county costs. Cuts to federal aging programs could shift costs here.
Federal Older Americans Act funding (through ETHRA) partially offsets county costs. Cuts to federal aging programs could shift costs here.
Animal Control Stable
Animal shelter operations, field officers, euthanasia/adoption
$440K
Audited $440,156 · within Public Health (AFR C-3)
What's in this line
- Animal Control Officers — field response, enforcement
- Shelter operations — housing, veterinary care, adoptions
- Spay/neuter programs
- Rabies response — required by TN law
Cost Drivers & Flags
Growth increases stray animal volume. Shelter intake and euthanasia rates are a public-facing metric that can generate community controversy if underfunded.
Rescue organization partnerships can reduce costs significantly — transfer agreements with rescues keep live release rates high and avoid euthanasia costs.
Rescue organization partnerships can reduce costs significantly — transfer agreements with rescues keep live release rates high and avoid euthanasia costs.
📊 Economic Development & Contributions
Economic Development (EDA) Funding Ended Grant Risk
Industrial Development Board / Economic Development Agency — interlocal agreement terminated Aug 2025
$213K
Audited $213,105 · Industrial Development (AFR C-3)
What Happened
The county and the EDA have been in open conflict since at least 2023. The Commission voted June 2023 to formally withdraw from the interlocal agreement with the EDA, with a 2-year notice period. That withdrawal became effective August 1, 2025.
The Commission also attempted to accelerate the separation — a tied vote in August 2025 prevented early termination but the formal separation occurred on schedule.
The specifics of the dispute involve questions about what projects the EDA was pursuing and whether they served the county's interests.
The Commission also attempted to accelerate the separation — a tied vote in August 2025 prevented early termination but the formal separation occurred on schedule.
The specifics of the dispute involve questions about what projects the EDA was pursuing and whether they served the county's interests.
The Grant Risk Problem
This is the sleeper issue. When the Commission debated rescinding the withdrawal in June 2025, several commissioners warned that severing ties with the EDA could jeopardize millions in federal grants for other county departments.
EDA relationships often serve as the "sponsor" or "coordinating entity" for EDA/EDA-adjacent federal economic development grants (EDA Public Works, USDA Rural Development, ARC Appalachian funds). Without that relationship, the county may need to build independent capacity to apply for and administer those grants — or simply lose eligibility for some programs.
EDA relationships often serve as the "sponsor" or "coordinating entity" for EDA/EDA-adjacent federal economic development grants (EDA Public Works, USDA Rural Development, ARC Appalachian funds). Without that relationship, the county may need to build independent capacity to apply for and administer those grants — or simply lose eligibility for some programs.
FY2026 question: With formal separation complete, what replaces the EDA's economic development function? The IDB (Industrial Development Board) is a separate county entity — but its budget and capacity are different. Watch whether the $177K line drops to zero, shifts to IDB, or creates a new line item. Also watch for grant applications that stall due to lost EDA sponsorship.
Education Contribution Separate from Debt Service NOT IN GENERAL FUND
County General Fund contribution to school operations — NOT the school bond debt service tax levy
$1.24M
Not a GF expenditure line — county school support flows through the School Fund / transfers
How School Funding Works in TN
Tennessee school funding is complex — three streams meet at the school level:
1. State BEP/TISA formula — the bulk of operating funding, allocated per-pupil based on ADM (average daily membership)
2. Local Property Tax — Education Debt Service Fund — a separate levy ($8.68M in FY2025) restricted to school bond debt payments
3. This line: County GF contribution — the county's discretionary operating supplement above state formula, currently modest at $1.24M
The $1.24M here is NOT the school system's total county support — it's only the GF piece. Total county support to schools including debt service is far larger.
1. State BEP/TISA formula — the bulk of operating funding, allocated per-pupil based on ADM (average daily membership)
2. Local Property Tax — Education Debt Service Fund — a separate levy ($8.68M in FY2025) restricted to school bond debt payments
3. This line: County GF contribution — the county's discretionary operating supplement above state formula, currently modest at $1.24M
The $1.24M here is NOT the school system's total county support — it's only the GF piece. Total county support to schools including debt service is far larger.
The $110M School Bond Connection
The $110M school bonds (authorized May 5, 2025) will NOT flow through this line. They are paid from the Education Debt Service Fund's own dedicated levy on property outside Lenoir City — a separate property tax line, never part of the General Fund.
Series 2026 is the first $60M tranche (sold June 2026); the remaining ~$50M of the authorization is expected in future series. On the $60M tranche's 25-year schedule (2027–2051), modeled peak annual debt service is roughly $4.97M. The dedicated levy is no longer a guess: the tax resolution adopted June 29, 2026 sets Education Debt Service at $0.2342/$100 AV, applied only to property outside Lenoir City (the inside-city rate omits it: $0.8602 vs $1.0944) — and that climbs as the balance is issued. The FY2027 Education Debt Service Fund appropriation is $5,620,989 ($3,305,000 principal + $2,115,989 interest + $200,000 other), which covers older school debt as well as the new Series 2026. See the simulator's Debt and School Cashflow tabs to model it.
The $1.24M GF contribution may face pressure to increase if school operational costs rise faster than state formula payments — growth counties often experience a funding lag.
Series 2026 is the first $60M tranche (sold June 2026); the remaining ~$50M of the authorization is expected in future series. On the $60M tranche's 25-year schedule (2027–2051), modeled peak annual debt service is roughly $4.97M. The dedicated levy is no longer a guess: the tax resolution adopted June 29, 2026 sets Education Debt Service at $0.2342/$100 AV, applied only to property outside Lenoir City (the inside-city rate omits it: $0.8602 vs $1.0944) — and that climbs as the balance is issued. The FY2027 Education Debt Service Fund appropriation is $5,620,989 ($3,305,000 principal + $2,115,989 interest + $200,000 other), which covers older school debt as well as the new Series 2026. See the simulator's Debt and School Cashflow tabs to model it.
The $1.24M GF contribution may face pressure to increase if school operational costs rise faster than state formula payments — growth counties often experience a funding lag.
E-911 Center Contribution
County contribution to regional emergency communications center
$702K
FY2027 adopted $702,111 · was $545,000 (FY2026) · “Other Public Safety”
What's in this line
- County's share of the Loudon County E-911 center operations
- E-911 centers are typically funded jointly by county + municipalities through an interlocal board
- Dispatcher salaries — 24/7 staffing for police, fire, EMS dispatch
- CAD system (Computer-Aided Dispatch) licensing — major recurring tech cost
- NG911 upgrades — federally mandated next-gen infrastructure ongoing
- Phone surcharge revenue (collected on cell/landline bills) offsets some costs
Cost Drivers & Flags
FY2027: the county raised its E-911 line from $545,000 to $702,111 (+28.8%, nonprofit appropriations resolution, 6/29/26) — while Lenoir City adopted its FY2027 budget with zero 911 funding, leaving roughly $30K in back payments plus an ~$82K new request unpaid (per Van Shaver's reporting of the June council meeting).
ESCALATION — July 2026: at the board's direction, E-911 Director Rose White sent a letter to Mayor Aikens and the full city council giving six months' notice that the center will stop providing NCIC services to Lenoir City on January 1, 2027 — the culmination of roughly three years of failed funding negotiations. A companion letter to co-police chief/safety director Jonathan Bryant lays out what an independent NCIC station would require; standing one up is expected to cost the city significantly more than the $82,239 the center requested (April 27 council meeting). The city's position (Aikens): residents already pay ~$5.3M/yr in county property taxes and a 2009 agreement creates no city obligation. The center's position (White): property taxes don't flow to the center — it runs on $900K+/yr in phone surcharges, the county's contribution ($540K/yr under the 2009 agreement, now $702K), and $10K from the City of Loudon. The dispute is a live issue heading into the city election — and it's the concrete case for the mandatory fiscal-impact-analysis provision in any new county–city interlocal framework.
NG911 (Next Generation 911) is a federal mandate requiring IP-based infrastructure — most TN counties are mid-transition. Capital costs for this transition can be significant.
Dispatcher shortage is a national crisis — turnover here creates overtime costs and can affect response quality. Competitive with LCSO dispatch roles.
ESCALATION — July 2026: at the board's direction, E-911 Director Rose White sent a letter to Mayor Aikens and the full city council giving six months' notice that the center will stop providing NCIC services to Lenoir City on January 1, 2027 — the culmination of roughly three years of failed funding negotiations. A companion letter to co-police chief/safety director Jonathan Bryant lays out what an independent NCIC station would require; standing one up is expected to cost the city significantly more than the $82,239 the center requested (April 27 council meeting). The city's position (Aikens): residents already pay ~$5.3M/yr in county property taxes and a 2009 agreement creates no city obligation. The center's position (White): property taxes don't flow to the center — it runs on $900K+/yr in phone surcharges, the county's contribution ($540K/yr under the 2009 agreement, now $702K), and $10K from the City of Loudon. The dispute is a live issue heading into the city election — and it's the concrete case for the mandatory fiscal-impact-analysis provision in any new county–city interlocal framework.
NG911 (Next Generation 911) is a federal mandate requiring IP-based infrastructure — most TN counties are mid-transition. Capital costs for this transition can be significant.
Dispatcher shortage is a national crisis — turnover here creates overtime costs and can affect response quality. Competitive with LCSO dispatch roles.
Tourism Hotel Tax Funded
Convention & Visitors Bureau, tourism promotion — largely offset by hotel/motel tax
$120K
Audited $120,000 · Other Operations (AFR C-3)
What's in this line
- CVB operations — visitors center, marketing, events support
- Tourism promotion — advertising, travel trade shows
- Tellico Lake / outdoor recreation promotion
- Hotel/Motel Tax collected: $833K in FY2025 — the $120K here is the county GF allocation; rest may go to CVB directly or tourism fund
Context
Loudon County's tourism asset base (Tellico Lake, Lenoir City proximity to I-75 corridor, Tellico Village amenities) has genuine growth potential. The hotel/motel tax of $833K already more than covers this line — tourism is a net revenue positive for the county.
🏦 Debt Service
Debt Service — All Funds Bond Decision Pending NOT IN GENERAL FUND
General debt service + Education debt service tax levy — separate property tax funding streams
$8.80M
Separate debt-service funds · ED Debt Service Fund expenditures $7,474,315
How It Breaks Down
- Education Debt Service: the large majority — a dedicated levy on property outside Lenoir City for school bonds; this is NOT in the General Fund. (The Education Debt Service Fund carried a ~$10.7M balance at FY2025, of which $8.76M is restricted for debt service.)
- General Debt Service: a smaller portion covering general county capital bonds
- Debt service funds are legally separate — money raised for Ed Debt Service can ONLY pay school bonds
The $110M School Program — Series 2026 is the first $60M tranche
The Commission authorized a $110M school bond on May 5, 2025 (6-3 vote), not to exceed 25 years — the North End School (~$81.85M), Greenback athletic facilities (~$6.78M), 10 new classrooms at Philadelphia Elementary (~$6.18M), and a Loudon High CTE addition (~$1M). It is funded in part by the 2024 property-tax increase (the rate moved from $1.51 to $1.76).
Series 2026 — sold June 16, 2026 — is the first $60M tranche of that authorization: a 25-year schedule (2027–2051) in the 4.00–5.00% Notice-of-Sale band. The remaining balance (~$50M) is expected to be issued in future series as construction draws cash.
The modeled figures here reflect the $60M first tranche only: peak annual debt service ~$4.97M (≈2030), average ~$3.85M. The adopted dedicated Education Debt Service levy is $0.2342/$100 AV on the outside-Lenoir-City base (tax resolution, June 29, 2026); it rises as the rest of the $110M is issued. The final priced debt-service schedule for the $60M was not in the June 29 packet — the sale's Notice-of-Sale band was 4.00–5.00%.
The 2026 reappraisal reset the rate landscape: the Assessor certified $1.1034 and the Commission adopted $1.0944 outside Lenoir City / $0.8602 inside (June 29, 2026) — both far below the old pre-reappraisal $1.7683 — so this debt is carried on a much larger reappraised assessed-value base.
Series 2026 — sold June 16, 2026 — is the first $60M tranche of that authorization: a 25-year schedule (2027–2051) in the 4.00–5.00% Notice-of-Sale band. The remaining balance (~$50M) is expected to be issued in future series as construction draws cash.
The modeled figures here reflect the $60M first tranche only: peak annual debt service ~$4.97M (≈2030), average ~$3.85M. The adopted dedicated Education Debt Service levy is $0.2342/$100 AV on the outside-Lenoir-City base (tax resolution, June 29, 2026); it rises as the rest of the $110M is issued. The final priced debt-service schedule for the $60M was not in the June 29 packet — the sale's Notice-of-Sale band was 4.00–5.00%.
The 2026 reappraisal reset the rate landscape: the Assessor certified $1.1034 and the Commission adopted $1.0944 outside Lenoir City / $0.8602 inside (June 29, 2026) — both far below the old pre-reappraisal $1.7683 — so this debt is carried on a much larger reappraised assessed-value base.
Series 2026 — the first $60M tranche — was sold June 16, 2026 (delivery ~July 15). The Commission authorized the full $110M on May 5, 2025 (6-3); a year earlier (June 2024) it approved the $0.25 rate increase (6-4) toward the program. On June 29, 2026 the Commission fixed the dedicated Education Debt Service levy at $0.2342/$100 AV (outside Lenoir City only). The simulator's Debt and School Cashflow tabs model this $60M first tranche; total debt service grows as the remaining ~$50M is issued.
Reappraisal — rate now adopted: TN law requires a revenue-neutral Certified Tax Rate (CTR) after reappraisal. For 2026 the Assessor certified the CTR at $1.1034/$100 AV (down sharply from the old $1.7683 as assessed values rose), and on June 29, 2026 the Commission adopted $1.0944 outside Lenoir City ($0.8602 inside) — slightly below the CTR, a small real cut. A county can vote to exceed its CTR, but that triggers a public hearing and recorded vote; it can't happen quietly. Adopted distribution of the outside rate: General $0.3617 · GP School $0.4347 · Ed Debt Service $0.2342 · Gen Debt Service $0.0239 · Highway $0.0153 · Ed Capital $0.0126 · Libraries $0.0087 · Hwy Capital $0.0033. The assessed-value base used in the simulator is still ~$2.17B (estimated, pending the certified tax aggregate) — and the adopted General slice (33.1% of the rate) sits well below the ~56.9% GF share implied by the FY2025 audit, an open reconciliation item flagged in the simulator.
Sources: Loudon County FY2025 Annual Financial Report (TN Comptroller, audited); Loudon County Commission meeting packet, June 29, 2026 (FY2027 Appropriations Resolution, Tax Levy Resolution, Nonprofit Appropriations Resolution, FY2026 year-end amendments, data center moratorium, TASS Series 2026 Report on Debt Obligation); WATE 6/WBIR reporting on the June 2024 tax increase (6-4 vote, $0.25/$100 AV) and the June 2026 data center moratorium; vanshaver.com reporting on budget passage and 911 funding, including the E-911 board's six-month NCIC cutoff notice to Lenoir City effective 1/1/2027 (July 2026); Loudon County Circuit Court case records (annexation lawsuit, filed Feb 2023); news-herald.net reappraisal reporting (Feb 2026); loudoncounty.info EDA timeline; TN Comptroller CTAS accounting standards. All General Fund figures are FY2025 audited actuals from AFR Exhibit C-3; cards tagged "NOT IN GENERAL FUND" are separate funds shown for context.
Note: Every General Fund card now shows its exact FY2025 audited figure from AFR Exhibit C-3. Function cards (General Government, Finance, Administration of Justice, Public Health & Welfare) are AFR function totals; sub-line cards (Sheriff, Jail, Buildings, Animal, Senior, Tourism, etc.) are individual AFR detail lines — note that Buildings rolls up within General Government and Animal Control within Public Health, so they are not additive to those function totals. Cards tagged NOT IN GENERAL FUND (Highways, Education, Debt Service) are separate funds shown for context only. Court attorney costs for the Lenoir City lawsuit are embedded in the County Attorney/General Government line.
Note: Every General Fund card now shows its exact FY2025 audited figure from AFR Exhibit C-3. Function cards (General Government, Finance, Administration of Justice, Public Health & Welfare) are AFR function totals; sub-line cards (Sheriff, Jail, Buildings, Animal, Senior, Tourism, etc.) are individual AFR detail lines — note that Buildings rolls up within General Government and Animal Control within Public Health, so they are not additive to those function totals. Cards tagged NOT IN GENERAL FUND (Highways, Education, Debt Service) are separate funds shown for context only. Court attorney costs for the Lenoir City lawsuit are embedded in the County Attorney/General Government line.