Legislation before the Tennessee General Assembly next year allowing a tax exemption for marina owners operating on federal property could cost DeKalb County thousands of tax dollars per year if passed, officials said at last week’s county commission meeting.

The legislation would exempt property owned by the federal government and leased to marina owners or operators who make in lieu of tax payments from property taxes. The bill, sponsored in the Tennessee House of Representatives (HB 1038) by Republican Cameron Sexton of Crossville and in the State Senate (SB 0938) by Republican Bo Watson of Hixson stalled in committee this year.

"I would urge you to contact your representatives and Executive Director of the Tennessee County Commissioners Association Charles Curtiss, to put some pressure on these guys," county attorney Hilton Conger told the assembly at the meeting. "This could be huge if we lose this money from here on out."

"I've talked to Senator Mae Beavers and State Representatives Terri Lynn Weaver and Mark Pody several times about it, and they're the ones who told me it got put off until 2016. We need to stay on top of it," said County Mayor Tim Stribling.

The proposed legislation reads: "If any federally owned property is leased to any taxpayer that owns or operates a marina, yacht club, dock, or similar property located on the federally owned property, and the taxpayer has entered into a payment in lieu of tax agreement with the United States or an agency of the United States, then the federally owned property, the taxpayer’s marina or similar property, and any leasehold interest in these properties, shall be exempt from taxation."

The county is currently embroiled in a related situation, as they must attempt to collect back taxes from the owners of Cookeville Boat Dock, who have not paid their taxes since 1998. Their tax bill now totals more than $200,000, and they may still choose to appeal the ruling.