Paducah City Council Meeting Summary - December 9, 2025

The Paducah City Council convened on December 9, 2025, to welcome new staff members, recognize Christmas Parade winners, review the Paducah Power annual audit, and address several key ordinances. The meeting featured a clean financial audit report highlighting revenue from Bitcoin mining and plans for fiber optic expansion. Public comments expressed concerns regarding proposed rental property fees, while the council moved to adopt measures targeting abandoned properties and revitalize the South Side district.

Consent Calendar

• Approved minutes for the November 25, 2025, meeting.
• Reappointed Greg McKeel to the Brook Stadium Commission (term expires Dec 5, 2029).
• Approved a contract ($153,000) for Bacon Farmer Workman Engineering and Testing for the Greenway Trail Phase 7.
• Ratified an access agreement with Terracon Consultants Incorporated.
• Promoted Audra Kyle to Director of Finance via municipal order.

Public Comments & Testimony

• Shannon Crockett (Concerned Citizen): Expressed strong opposition and concern regarding the proposed residential occupancy tax and inspection fees. She argued that these costs would place an undue burden on landlords and renters, potentially driving up rents, and noted that existing laws should already address neglected properties. She characterized the proposed fees as an additional tax burden akin to recent increases in the 911 parcel fee.
• Property Owner (60-70 units): Expressed frustration with the financial costs of the new rental inspection ordinance, noting that the $100 initial and $50 renewal fee per unit is a significant expense, especially when combined with rising property taxes. He argued these costs would inevitably be passed to tenants.
• Commissioner Thomas: Expressed concern regarding the safety conditions in poor-quality rental units (e.g., gas heaters venting indoors) and stated a clear position in favor of the new inspection ordinance to protect tenants from unsafe living conditions.

Discussion Items

• New Staff Introductions: Introduced Lamyra Askew as the new Recreation Specialist and Coben Gray as the new Park Supervisor, highlighting their backgrounds and roles in parks and recreation operations.
• Christmas Parade Recognition: Presented awards to winners of six categories (Theme Float, Religious Float, Non-Float, School Float, Drill Team, Bands). Commissioner Wilson noted that the parade is a significant taxpayer-funded service requiring 60+ staff hours.
• Paducah Power Audit Report:
  • Manager Doug Hanley presented a clean audit opinion, reporting that rates are 17% below inflation-adjusted projections.
  • Discussed the realization of a "Bitcoin mining" revenue opportunity, which now accounts for over one-fourth of total system sales from the top two customers.
  • Explained that 10% of Bitcoin distribution charges go immediately to the rate stabilization fund to pay off long-term debt, while 90% supports capital expenditures (e.g., $5M and $6.5M substation upgrades).
  • Fiber to the Home: Discussed the strategic rollout of the fiber optic project, utilizing data from a pilot program to prioritize zones based on the likelihood of positive cash flow. Noted lower costs for overhead electric service areas versus underground areas.
• Ordinance: Abandoned Urban Properties Tax:
  • Adopted first reading for an ordinance creating a $1.50 per $100 assessed value tax on properties vacant or unimproved for at least one year, or tax-delinquent for three years.
  • Commissioners expressed support for the measure as a proactive tool to incentivize owners to address deteriorating buildings, avoiding the city taxpayer absorbing demolition costs later.
• Ordinance: South Side Revitalization Plan:
  • Adopted an ordinance abolishing the previous pilot and establishing simplified homeowner and developer incentives for new housing construction and rehabilitation in the South Side.
• Ordinance: Rental Occupancy Permits and Inspections:
  • Introduced first reading to amend section 42, removing subjective criteria (e.g., "unsightly") and relying strictly on code references (fire, electrical, plumbing, building codes).
  • Established a $100 initial inspection fee and $50 annual renewal fee per unit (or $50 for duplexes).
  • Established a "compliant properties list" for prospective tenants.
  • Clarified that the ordinance applies to single-family dwellings and duplexes, while multi-family apartments are regulated by the state.

Key Outcomes

• Audit Receipt: The Board received and filed the 2025 Paducah Power annual audit report with a clean opinion.
• Employment Approval: Audra Kyle was officially appointed as the new Director of Finance.
• Ordinance Adoption: The Board voted 5-0 (Henderson, Smith, Thomas, Wilson, Bray) to adopt:
  1. The ordinance creating the tax category for abandoned urban properties.
  2. The ordinance establishing the South Side Revitalization Plan incentives.
• Ordinance Introduction: The Board voted 5-0 to introduce the first reading of the ordinance amending rental occupancy permits and inspection fees.
• Executive Session: The council entered executive session to discuss pending litigation, employee discipline/issues, and a specific business proposal; no action was taken.
• Scheduling: Confirmed no second regularly scheduled meeting for December; next meeting targeted for January.