Today, Salisbury City Manager Jim Greene presented his recommended fiscal year 2024-2025 (FY25) budget to City Council at a budget work session meeting. The upcoming fiscal year is the city’s annual financial period beginning July 1, 2024 through June 30, 2025.
The recommended city budget of $119,746,878 includes a recommended general fund of $68,053,759. The balanced budget includes a property tax recommendation of $0.665 per $100 of valuation, a 4.9 cent increase from last year’s tax rate of $0.616. Last year, an average Salisbury home worth $231,685 had an estimated annual city tax of $1,427. For the upcoming fiscal year, the tax value for the same home would be $1,541, up $114 for the year. Greene’s recommended tax rate will fund initiatives related to City Council’s strategic plan priorities, such as an improved employee compensation package, new positions to support growth, capital investments and public safety.
Additional proposed items in the recommended budget:
- $102,000 for Fusus Enterprise Solution (law enforcement software)
- $100,000 for roof audits for city facilities
- New positions in police, fire, IT and transportation
- Stormwater and water/sewer projects
- $197,000 for neighborhood stabilization
- $30,000 for small business entrepreneur development grants
“The recommended budget will continue to meet City Council priorities and community growth and staffing needs in alignment with the new strategic plan approved by Council,” said Greene. “The proposed budget invests in our employees, our most important asset, by providing compensation and benefits that are more competitive with the regional labor market. Additionally, the proposed budget continues investments in needed water, sewer, stormwater, and transportation infrastructure. Limited revenue combined with additional service demands calls for the recommended increases in the tax rate, water and sewer rates, and stormwater and solid waste fees. I am proud of city staff for using limited resources wisely and obtaining grants to provide quality and cost-effective services. This proposed budget reinforces our commitment to fiscal stewardship, public safety, innovation, growth management, and service efficiency.”
Salisbury-Rowan Utilities (SRU) has been impacted by significant cost increases as well as staffing shortages. The projected growth of the customer base will help absorb these cost increases. SRU’s fund balance will cover emergencies and match grants for system improvements. To support infrastructure costs, a proposed 3.5% rate increase to water and sewer rates is recommended for FY25.
The Transit Fund’s recommended budget for FY25 is $1,631,157. The majority of funding for transit is provided through federal and state grants, but the recommended budget includes a General Fund transfer of $678,000 and an appropriation of $61,345 in Transit fund balance.
The Stormwater Fund’s recommended budget for FY25 is $2,597,895. Stormwater fees make up $2,522,895 of the total revenues for this fund. The two major projects targeted in this proposed budget for FY25 and funded through Stormwater’s Capital Improvement Plan (CIP) are:
- $174,000 for Marsh Street watershed drainage improvement study
- $413,000 for Eaman Park watershed drainage improvement study
The Stormwater CIP calculated the estimated fee levels necessary to fund the full plan endorsed by the Council. Greene proposes a new rate of $5.29 per Equivalent Residential Unit -- an increase of 10% or 48 cents per month to support plan implementation.
Growth continues to impact city services, including solid waste. This budget includes funding for an additional crew, one single-arm trash truck, one senior solid waste construction maintenance worker, and one solid waste construction maintenance worker to alleviate safety concerns from a high-volume operation, overtime hours, job stress and additional collection points. Two additional positions are requested to assist with the increased workload -- one fleet mechanic and one solid waste customer service representative. With this request and increases in the city’s recycling contract, a rate increase of $2.29 per month for solid waste and $0.48 per month for recycling has been requested.
A public hearing about the budget will be held on Tuesday, June 4, at 6 p.m. at the regular City Council meeting. This meeting is open to the public and also can be viewed via the City’s live stream at www.salisburync.gov/webcast or the City’s Facebook account at https://facebook.com/CitySalisburyNC. Council must adopt a final budget by June 30, 2024.
The proposed budget can be found on the city website at salisburync.gov/RecommendedBudget.