STATESVILLE, NC (WSIC) Statesville’s budget proposal released Monday night includes a more than thirteen percent increase to the property tax rate.
Statesville’s current property tax rate is .481 cents per $100 of value. If the budget is approved as presented, the new rate would be .545 cents per $100 of value. The suggested budget includes no increase to the electrical rate, but does recommend a 3 percent increase to the water rate and 3.5 percent increase to the sewer rate. Nothing is used from the savings account.
According to staff, employee benefit costs have increased more than $1.1 million. This, in addition to a relatively small revenue increase from revaluation, and what the city calls “necessary capital requests” are cited as the primary factors driving the proposed tax rate increase.
City departments requested more than $7 million in capital funding for fiscal year 2020. According to the city’s budget message, a number of those requests were deferred. The budget proposes funding several capital items:
- 9 police vehicles
- 4 sanitation vehicles
- Joy Drive radio system upgrade
- Street projects
- Maintenance to the leisure pool
Two sanitation laborer positions are recommended for funding in the budget. The city also plans to fund a matching deferred compensation program where employees are matched .5% up to 2.5% of their pay.
Other proposals and highlights from the budget:
- Recreation revenues are projected to drop 11 percent to $578,780
- Iredell County’s Economic Development Commission to receive a 2 percent increase in funding to $123,591
- The Main Street program is funded at $191,525, a decrease of less than 1 percent primarily due to projected decreases in the downtown service district tax
Council members and staff will hold a series of meetings to work on the budget proposal. A public hearing will be held Monday, May 20.