Swansboro budget proposes waste collection cost increase

April 19-- Apr. 19--SWANSBORO -- Hurricane Florence left her mark on the Town of Swansboro's budget for the upcoming fiscal year.

No property tax increase is proposed in the recommended budget presented for 2019-20, but the town will need to keep close watch on its fund balance.

The town has appropriated nearly $900,000 for expenses related to hurricane recovery efforts during the current fiscal year. While much, if not all, of the funds are expected to be reimbursed at some point by FEMA and/or insurance, Interim Town Manager Jonathan Barlow said the fund balance, which serves as a reserve fund for unexpected expenses, has well below its previous amount.

As of June 30, the town's general fund had a total fund balance of $2.2 million, with the unassigned fund balance available for appropriation at $1.8 million, which was equal to 50 percent of annual general fund expenditures.

"Fortunately, the town had resources on hand to fund recovery projects related to Hurricane Florence," Barlow wrote in his budget message. "However, those funds have not been reimbursed as of today. Every effort should be made to get the available fund balance back to the pre-disaster 50 percent level.

The total recommended budget of $4.8 million is a decrease of 8 percent from the current year's amended budget of $5.3 million.

The budget proposal maintains the current property tax rate at 35 cents per $100 valuation.

Even without a tax rate increase, the ad valorem tax base, which includes real, personal, public utilities and motor vehicle taxes, in Swansboro has increased with the growth in the town. The tax base increased from $444.6 million in 2018-19 to $493.3 million in 2019-20.

While no property tax increase is proposed, a slight increase of 3.5 percent is recommended for solid waste collection to keep the solid waste enterprise fund self-supporting. The rate adjustments would equate to an increase of 59 cents per month for residential customers and 94 cents per month for commercial customers.

The recommended budget also includes a cost of living salary increase of 1 percent and up to 2 percent merit increase for employees based on their annual performance evaluation.

A public hearing on the recommended budget will be held at 6 p.m. June 4 at Swansboro Town Hall at 601 W. Corbett Ave. A copy of the document can be viewed between 8:30 a.m. and 4:30 p.m. Monday-Thursday at town hall or viewed online at the town's website.

Reporter Jannette Pippin can be reached at 910-382-2557 or [email protected]. For digital subscription information, click here.

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