Middle Tennessee Electric Makes Large Tax Payments to Local Governments
MTE provides more than electricity to the communities it serves. Middle Tennessee Electric has paid Rutherford County their second-largest ad valorem tax payment of the year.
Rutherford County received $3,240,935. In addition to the county payment, the following cities and towns received payments: Murfreesboro, $1,217,393; Eagleville, $2,264; La Vergne, $12,627; Smyrna, $93,204.
As a not-for-profit electric cooperative, Middle Tennessee Electric (MTE) is exempt from certain types of taxes, but it is still one of the largest taxpayers to local governments through the ad valorem tax.
The Latin phrase ad valorem means “according to value.” MTE’s infrastructure, including buildings, substations, transformers, poles and lines, must be assessed annually to determine the amount of taxes to be paid. Local governments then use the revenue generated from the ad valorem tax for operations and programs to help meet the needs of the community’s residents.
This year, MTE paid more than $8.6 million total to local governments in its service area. The individual payments range from several thousand to millions of dollars, depending on the total amount of assessed property located in a particular county and the cities within those counties.
“Middle Tennessee Electric is proud to contribute to the communities we serve for crucial programs like emergency response and road maintenance through ad valorem taxes,” said Chris Jones, MTE President/CEO.
