RUTHERFORD COUNTY, TN - MTE provides more than electricity to the communities it serves. As a not-for-profit electric cooperative, Middle Tennessee Electric (MTE) is exempt from certain types of taxes, but it is still one of the largest taxpayers to local governments through the ad valorem tax. 

This year, MTE paid more than $8.4 million total to local governments in its service area. Payments were made to the county governments where MTE supplies power and where MTE has properties for its substations, power lines, and offices. The main areas include Rutherford, Cannon, Williamson, and Wilson Counties . The individual payments in the service areas range from several thousand to millions of dollars, depending on the total amount of assessed property located in a particular county and to the cities within those counties.

Locally, $5,172,923 was paid to Rutherford County and the municipalities within the county. Rutherford County received $3,817,507. In addition to the county payment, the following cities and towns received payments: Murfreesboro, $1,237,283; Eagleville, $2,588; La Vergne, $23,544; Smyrna, $92,001. 

The Latin phrase ad valorem means “according to value.” MTE’s infrastructure, including buildings, substations, transformers, poles and lines, must be assessed annually to determine the amount of taxes to be paid. Local governments then use the revenue generated from the ad valorem tax for operations and programs to help meet the needs of the community’s residents.