athens tn acfr fy2021

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City of Athens, Tennessee 
Management's Discussion and Analysis 
June 30, 2021 
default, the City is required to establish ad valorem taxes to repay the outstanding debt. Detailed 
information on long-term debt activity can be found in Note 3 on pages 40-41 of this report. 
State statutes do not limit the amount of general obligation bonded debt a governmental entity may issue. 
Economic Factors and Next Year's Budgets and Rates 
The unemployment rate for the City of Athens is currently 6.4%, which is a decrease from the rate of 9.8% 
a year ago. Athens' rate is higher than the federal rate and the state rate. This rate has continued to decline 
since June. 
The local option sales tax has grown in excess of 8% beginning in May, 2020 and the state shared sales tax 
growth has exceeded the local rate. The State of Tennessee allocated approximately $168,000 in one-time 
funds which were budgeted for capital items in 2021-2022. Management has been conservative in 
estimating all revenues for 2021-2022. The property tax rate increased to $1.3476 for the 2021 taxes and 
the monthly residential refuse fee remained at $9.50. A 2% salary increase was budgeted for full time 
employees. The property tax increase will be used to fund the debt service on a $7,350,000 general 
obligation bond to fund a new animal shelter building, a fire training tower, road improvements, renovations 
to the public works facility and renovations to City Hall. 
Requests for Information 
This financial report is designed to provide a general overview of the City of Athens' finances for all those 
with an interest in the City's finances. Questions concerning any of the information provided in this report 
or requests for additional financial information may be addressed to the City of Athens, Office of the 
Finance Director, 815 North Jackson Street, Athens, Tennessee 373303. 
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