Bradley County Commission Chairman Louie AlfordCLEVELAND, Tenn. — The Tennessee Court of Appeals has ruled in a case involving the disputed division of sales tax revenues between Cleveland and Bradley County.
On Tuesday, the appellate court addressed a revenue-sharing dispute with origins driven by sales tax increases implemented separately by the county and city in 2009.
The disagreement involved whether revenue-sharing agreements dating back to 1967 — formulated on city and county student populations and whether the revenues were generated within city limits — applied to the 2009 situation.
Under the ruling, the city is eligible to receive “the same amounts” of revenue it would have received under its 2009 increase through the 2010 fiscal year, reversing a Chancery Court ruling. The appellate court, however, upheld the prior revenue distribution agreements between the city and county.
Attorneys for the county and city could not be reached for comment Tuesday evening.