By Jessie Burchette
Salisbury Post
CHINA GROVE A revised 2008 budget keeps a proposed 38-cent tax rate, but boosts water-sewer rates to plug a hole in the utility rate.
The Board of Aldermen and town officials reviewed the revised budget Tuesday night at a scheduled hearing.
The only thing missing was the public. Not a single spectator showed up for the 6 p.m. session.
Town Manager Eric Davis briefly reviewed the major elements of the budget. Most were unchanged from the May 8 budget workshop and review.Instead of a 5 percent increase in utilities, the revised budget hikes utility rates 7.45 percent.
The minimum bill which is for 1,000 gallons each of water and sewer would rise from $14.10 to $15.15, for a a combined increase of $1.05.The boost will eliminate the need to use any tax dollars to support the utility fund. The May 8 draft had included a transfer of almost $67,000 to balance the fund.
While the May 8 draft proposed identical charges of $7.40 per 1,000 for water and $7.40 per 1,000 for sewer, the revised budget reverts to separate pricing.
The charge for water would increase by 90 cents per 1,000 gallons, going from $6.70 to $7.60. The sewer rate would increase by 15 cents, from $7.40 to $7.55.
Utility funds must pay for water from Salisbury, estimated at $433,000; sewer treatment from Salisbury, estimated at $525,000; and more than $600,000 in payments for principal and interest on sewer and water loans. The fund must also cover operation of the utility department.
Alderman Troy Elliott, who missed the May 8 session, questioned how the town knows that 38 cent is the revenue-neutral rate.
Davis and Mayor Don Bringle said the town is depending on county tax officials.
The county projections show a 38-cent per $100 rate should yield tax payments equal to what a 40-cent rate yielded prior to revaluation.
Bringle expressed some concerns about the county projections of a $288.5 million tax base. Thats what they tell us. It can be good or bad, he said, referring to whether it ends up higher or lower.
Elliott also suggested that the proposed 1 percent cost of living and 2 percent merit pay be switched to give employees a 2 percent cost of living hike.
Bringle questioned $34,000 in highway fund spending, suggesting the money could better be used for fixing streets.
The state funds are currently earmarked for a street cleaning contract, $14,000, and $20,000 to match a sidewalk grant.
Bringle suggested the money would best be used for street repair versus appearance.
Budget highlights include:
Addition of a full-time town planner, in lieu of contracting services;
Purchase of a new fire truck with $150,000 saved over five years;
Purchase of a thermal-imaging camera for the Fire Department;
Appropriation of $10,000 for the bus service program that will run from Kannapolis to Salisbury with links to Concord and Charlotte; and
Appropriation of $5,000 to serve as matching funds for a possible grant to buy the towns first electric vehicle.
The budget discussion lasted around 15 minutes, with the board going into closed session to discuss the evaluation of Davis, whose current contract expires in December.
Bringle said the board is beginning to start the evaluation process and hopes to complete it in July. Mayor Pro Tem Blair Lyseski will head up the process.
The next budget session is set for June 12 at 6 p.m. at the Municipal Building. A second public hearing and adoption of the budget is set for June 19, also at 6 p.m. in the Municipal Building.