The Davidson County Clerk's office is dealing with 80,000 unhappy Nashville residents whose driver renewal bills sent in May and June don't reflect the accurate amount of wheel tax owed. The tax increased by $20 July 1.
Metro Council voted June 28 to raise the tax, and made it effective just two business days later.
The sudden change in the wheel tax will cost the Davidson County Clerk's office an estimated $50,000-$60,000, County Clerk Bill Covington said.
The problem is that all drivers whose registration renewal was due had already received their renewal notices with the old fee of $35 for private cars and $46 for commercial vehicles.
"Renewal notices are not required by law but as a courtesy are mailed at the middle of each month, giving all Tennessee residents approximately six weeks before expiration to renew their license plate," according to the State Department of Safety, the entity sending out the notices.
Covington said local clerk offices sends their renewal information to the state about two months before the Safety Department sends their notices to customers. This leaves about a two-month window in which notices from the Davidson County Clerk's office contained the wrong information.
Covington said he had to scramble to implement the tax change with only two days notice.
"It was done without much thought been given to the punitive portion of what would happen to the taxpayers, not just because of the increase, but because of the way it was done and made effective in 48 hours time," Covington said, adding it would have been better to put the increase in place by Jan. 1, 2006.
Covington said according to current estimates the costs of the unplanned changes to the County Clerk's office include software changes of about $25,000, about $10,000 in overtime, $5,000-$6,000 in printing changes to those residents who have not received their notices for the August renewal yet, $2,000-$3,000 in postage costs to the about 20 percent of customers who send in their fees per mail, and about $1,000 for the new signs noting the change which were placed in all Clerk office branches.
Councilwoman Vivian Wilhoite said she voted for the wheel tax increase because of budget considerations and because it had not been increased since 1991.
"But I believe