Mason’s Request For Temporary Injunction Against TN Comptroller Denied

By Anita Wadhwani, Tennesse Lookout

April 14, 2022

A Nashville judge has denied a request by elected leaders of the Town of Mason to temporarily halt a financial takeover by Tennessee Comptroller Jason Mumpower, noting his office has “broad authority” over local government operations.

The Comptroller formally took control of Mason’s finances on April 4, citing a long history of financial mismanagement, and imposed a corrective action plan (CAP) requiring town officials to seek approval for any expenditure of $100 or more. The corrective action plan includes a repayment schedule to pay down debt that town officials said they feared could cripple day-to-day operations.

‘The Court recognizes the harsh realities of the 2022 CAP imposed upon an administration that did not contribute to the financial burden of the Town and the strain it places on leadership to govern, but the Court must also take into account the state’s interest in moving the Town towards financial stability and a balanced budget,” Davidson County Chancellor Anne Martin wrote in a 23-page decision issued late Thursday.

Martin did not rule on allegations made by Mason’s leaders that the Comptroller’s actions were discriminatory and differed from the state’s approach to other, majority white local governments that have experienced financial problems.

The Town of Mason is majority Black, as are its elected leaders. In its lawsuit against the Comptroller, Mason officials claim much of that debt incurred by the town occurred during previous administrations, which were predominantly White.

“The allegations are significant and raise serious concerns about the Comptroller’s equitable exercise of his broad authority,” Martin wrote. “The Court does not have enough information, however, to determine if the circumstances of the other municipalities Mason cites as receiving different treatment are sufficiently similar to support these claims.”

The decision clears the way for ongoing financial oversight by the Comptroller.

“I appreciate the judge’s decision that denies the motion for a temporary injunction,” Mumpower said in an emailed statement.

“Our office’s interest has always been the restoration of the town’s financial health and improved financial management,” the statement said. “We will continue to work with Mason so that it can pay back its debts, operate on a balanced budget, and deliver timely financial statements. The citizens and taxpayers of Mason deserve a financially sound government that is set up for success.”

The Lookout is seeking comment from attorneys for the Town of Mason.

This story will be updated.

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