Future Nashville Mayor To Face Financial Questions

NASHVILLE, Tenn. -- Nashville's mayoral candidates are already debating tough issues, but one thing about which they are not talking is the city's financial trouble.

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City leaders have been moving around millions of dollars just to get through this year's budget.

Metro's biggest money woes are pouring out of the city's water department. In the 1990s the department actually cut water rates, but now the accounts are running dry.

To get through this year's budget, the city took about $45 million from the water department's bond fund and replaced it with what amounts to an insurance policy. The cash will be used for construction this year, but when it's spent, it will be all gone.

One of the city's budget questions has to do with Nashville's General Hospital at Meharry. The facilities it operates are running a $50 million deficit.

The downtown arena is also millions of dollars in the red.

"The census numbers are low. They have floors that are virtually unoccupied. It's going to be a huge budget question,” said Metro Council member Emily Evans.

She said she doesn't envy the next mayor.

"I think with the next mayor it's going to be one of those, 'Do you want the good news or the bad news?’” said Evans.

It turns out some mayoral candidates know about these serious budget issues even if they haven't been talking about them.

"I've had some say they really feel Nashville is broke, that we do have some real revenue challenges ahead,” said Clement.

"I'm identifying my priorities, public education, public safety, and I'm saying as I cut up the pie, no matter what size it is, those priorities are going be reflected. So, I think you just have to be honest with the public,” said Dean.

So far no one is predicting a hike in property taxes next year, but the public should not be surprised if the next mayor and council have to make major cuts in services just to balance the budget.

The city is not broke yet. There is actually money in the reserve funds, but the water department has a separate budget, and there is very little reserve money left there.

Residents can expect debate about a water rate hike as early as next year.