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Locust property tax to remain at 36 cents rate for 24th consecutive year

The City of Locust’s proposed 2021-2022 budget will keep the property tax rate at 36 cents per $100 valuation. It is the 24th consecutive year the residents of Locust have not experienced a tax increase.

City Administrator Cesar Correa wrote in his budget letter that each one cent on the tax rate generates approximately $60,520 in revenues.

The budget was introduced during a recent council meeting, though it’s still just a draft and things can change. A public hearing will be held during this Thursday’s meeting, when it will likely be adopted.

The 2021-2022 budget totals nearly $4.7 million for the General Fund and Enterprise Water Fund, a slight increase from the previous fiscal year’s city-wide budget of $4.4 million.

Despite an anticipated increase in wastewater treatment cost from Stanly County utilities, Correa is recommending user and availability fees remain flat.

The General Fund budget for this fiscal year is $3.4 million, an eight percent increase from last year’s $3.1 million. This includes $583,000 for general government, $94,000 for central services, $1.4 million for public safety, $383,000 for public works, $192,000 in streets/transportation and $397,000 for parks and recreation.

Major appropriations in the General Fund expenses include $451,000 for administration compensation; $85,000 for Government Center; $1.14 million for police compensation; $145,000 for public works compensation; and $175,000 for parks and recreation compensation and $45,000 for youth and adult services.

The recommended Capital Improvement Program for the upcoming fiscal year include purchase of two new Dodge Charger vehicles for the police department; purchase of a new Ford F150 vehicle, new Utility Tractor and Zero Turn Mower for Public Works; purchase of a new turf mower; and replacement of vacuum pumps at Meadow Creek Vacuum Station.

The total wastewater expenses is $1.3 million, a roughly eight percent increase from the previous budget. It includes $241,000 for wastewater compensation and $500,000 for wastewater treatment.

The General Fund revenue, which totals $3.1 million, includes $1.7 million from the property tax, $800,000 from sales tax, $185,000 from utility franchise tax, $215,000 from solid waste fee and a $145,000 transfer from General Fund Reserve.

The Wastewater revenue, which totals $1.2 million, includes $900,000 for user fees, $115,000 for availability fees and $100,000 from system development fees.

A copy of the budget is on file with the city clerk, and will be available during normal business hours prior to the public hearing.

 

About Chris Miller

Chris Miller has been with the SNAP since January 2019. He is a graduate of NC State and received his Master's in Journalism from the University of Maryland. He previously wrote for the Capital News Service in Annapolis, where many of his stories on immigration and culture were published in national papers via the AP wire.

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