Locust property tax to remain at 36 cents rate for 24th consecutive year
Published 2:48 pm Monday, June 7, 2021
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.