By Elisabeth Strillacci

EAST SPENCER — The budget proposed for 2025-26 for the town of East Spencer holds the tax rate at its current level of 86 cents for $100 of assessed value.

The bottom line request that the Board of Aldermen must now consider is $4,812,378. There would be $3,282,102 in the general fund, $1,457,471 in the enterprise fund and $72,805 in the Powell Bill Fund.

“The proposed FY 2025-26 budget is balanced with a general fund tax rate of .86 cents per $100 of assessed value, which is the same tax rate as the previous year,” said Town Manager Michael Douglas. “This is the second year of a five-year plan to increase revenue to support a full-time fire department.”

Employees will receive increases between four and nine percent in the coming year except the finance director and the parks and recreation supervisor, neither of whom will receive a pay increase during the fiscal year.

The budget would also raise the monthly stipend for the mayor and Board of Aldermen for the first time in five years.

In addition, Douglas noted the town is in the process of acquiring the Dunbar school through the foreclosure process. East Spencer has forced the foreclosure process due to two liens the town placed on the property for over $200,000 of work the town paid for.

“Once the town owns the property, we will have to secure the property and our intent is to apply for a Brownsfield grant to remove all hazardous buildings,” Douglas said. “We will use bricks from the buildings to create a monument to commemorate the establishment of the East Spencer Negro School.”

This year’s budget proposal changes slightly the focus of town services, parks and recreation programs and employee management. But full-time employees will continue to receive competitive compensation including insurance and retirement contributions.

The goal of a full-time fire department carries on, but other priorities take precedence, including continuing recruitment to fill all full-time positions.

“As soon as we complete the fiscal years 2022 and 2023 audit, we will pursue getting support from USDA to build a public safety building,” said Douglas.

The East Spencer Fire Department was awarded the State Volunteer Fire Grant Fund grant in the amount of $24,625 in May 2025 and these funds will be used in fiscal year 2025. The town has ado budgeted for the matching requirement of $24,625 for a total of $49,250 for the purchase of fire equipment.

Increased pay and providing take-home vehicles, updated equipment and better access to training means the town continues to attract and retain quality police officers. There are eight full-time positions and only one remains open at this time, but Douglas said because of the number of new homes either planned or under construction in the future, the department will need three more officers over the next three years.

The new finance director has updated all the town bank statements and improved and streamlined the town’s financial processes.

The town has included in the budget funding to replace the older public works vehicle and there are several cost-effective training programs that will be available to the four full-time employees.

“The parks and recreation program for 2025 will be more robust than in previous years,” said Douglas. “We have scheduled leagues for baseball, softball and basketball to name a few. Additionally, we have worked with the Carolina Panthers and Charlotte Knights for the purchase of tickets to support resident involvement in parks and recreation.”

Green For Life (GFL) has increased garbage collection rates to the town the last two years, so in the coming year, the town will have to increase costs for residents. The recommended rate for a single trash cart is $19.56 and each additional cart would be $24.89.

The town has applied for a BUILD grant of $25 million that would go toward a proposed interchange off of I-85 between exist 79 and 76 inside East Spencer’s Extraterritorial Jurisdiction (ETJ).

“We continue to work with our local leaders on additional support for the construction of a public safety building,” said Douglas. “To date, we have requested $10 million from the state’s General Assembly to help with the construction of a public safety building. In addition, construction within the town is at an all-time high. We have approximately 595 homes under construction or planned to be built within the town limits. We continue to field questions about developing more residential homes and commercial and retail within the town’s ETJ. With what is currently planned or under construction, the town’s population could increase by 1,487 residents within the next six years.”

As far as that new development, he said commercial development has started on Andrews Street, and the town should expect to see more. A corridor study has been commissioned, and the town will have the results by mid-July, if not earlier. The Rusher Farm Industrial Complex is not fully complete, but the valuation of the property is roughly $17 million, according to Rowan County.

One of the bigger challenges for the town is the Water and Sewer Fund because of the debt obligation and the ongoing customer service fee the town pays. Since August of 2024, the town has seen an increase in its deposits from Salisbury-Rowan Utilities (SRU). One monitor at the wastewater treatment plant has been reporting inaccurately but it has been repaired and the town subsequently received a deposit of $187,902.

Currently the water and sewer account has $262,297 in its account. It is planned that the enterprise fund will repay the general fund $50,000 per year until the $200,000 owed is completely paid.

SRU has recommended a four percent increase to their water sales rates and the Salisbury city council will vote on this increase in June, but Douglas said he does not recommend raising rates in East Spencer right now. The town currently has enough of a cushion built in to current rates that the increase should not have an impact.

“I thank the mayor and board for providing guidance to staff in preparing this budget through our workshop and strategic planning opportunity in February,” Douglas added. “I also would like to thank our staff for their assistance in preparing this proposal.”

A public hearing and vote on the proposal is scheduled for June 2 at 6:30 p.m. at town hall.