Nashville, Tenn. – The city of Nashville will receive its largest tax payment Friday. Close to $6 million in quarterly in-lieu-of-taxes is being paid by Nashville Electric Service (NES). NES is Metro’s largest property tax payer.
The Electric Power Board approved the $5,923,000 amount at its regular monthly meeting in September. The total amount for this fiscal year ending June 2007 is $23,692,600. That is a five-percent increase over the previous year.
As a public power utility, Nashville Electric pays in-lieu-of-property taxes to Metro Nashville and 12 other city and county governments in the NES service area. These taxes are based on a formula that takes into account the value of all NES property such as poles, lines, and substations, as well as gross revenues.