A new study by a libertarian think tank ranks Chattanooga as the most free city among Tennessee's four biggest cities, but Chattanooga still has more regulations and costs than most of the state's 30 biggest cities, including nearby cities like East Ridge and Cleveland.
In its inaugural study of Tennessee cities by the conservative Beacon Center in Nashville, Chattanooga ranked below average for the cost of government and for free enterprise. The best city in the state, according to the Beacon Center Freedom Index, is the Middle Tennessee town of La Vergne, followed by nearby Brentwood and Hendersonville.
Chattanooga tied with Memphis at No. 1 for the least restrictive vice regulations, which include such things as permitless bear consumption on downtown's Station Street next to the Chattanooga Choo Choo. But Chattanooga claimed the worst ranking form Beacon Center researcher for both corporate welfare and business licensing.
"Surrounded by hills and valleys, Chattanooga has some of the most beautiful views in the state," said Ron Shultis, the author of the Beacon study. "But in the City Freedom Index, Chattanooga has a less than scenic outlook."
Beacon gave favorable ratings to local governments with lower taxes, operating costs and licensing and regulations. The state's bigger cities, which provide more urban services and often do more to recruit business with incentives and investments, ranked lower in the Beacon study. The larger cities also tend to have more zoning and land use regulations to protect neighbors living closer to one another than in rural areas of the state.
Nashville ranked dead last in Beacon's City Freedom Index even though the state's biggest city is growing faster and attracting more new residents than Tennessee as a whole.
Among the 30 biggest cities studied by Beacon for their government costs and regulations, Chattanooga ranked No. 23, Memphis placed 25th and Knoxville ranked 28th.
Among the biggest cities in Southeast Tennessee, Cleveland ranked the highest at No. 16, just below the statewide average for the 30 cities with over 21,000 residents.
"Cleveland should serve as a model for the rest of the state in allowing food trucks to thrive in the city," said Shultis, who opposes city limits on where and how such mobile food trucks should operate. "Cleveland was the second freest city in the state, but its overall ranking was knocked down because of its higher than average property tax rate, as well as poor scores for individual liberty, which include a prohibition on home brewing."
East Ridge benefited in the Beacon ranking by its relatively low property tax rate among Tennessee's biggest cities. But East Ridge was the only municipality among the 30 cities studied that still does not allow liquor stores within its city limits.
The Beacon study, which was released Wednesday ahead of the July 4th independence day, analyzed 25 metrics in each city to measure free enterprise, private property, individual liberty and cost of government.
"Thomas Jefferson once said, 'a well-informed citizenry is the best defense against tyranny.' We believe that by shining a light on the various policies of Tennessee's cities, citizens and policymakers will finally have the knowledge needed to vote with their feet, or better yet, enact real change and make their city more prosperous and free," Shultis said.
Contact Dave Flessner at dflessner@timesfreepress.com or at 757-6340
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