Leland proposes lower tax rate increase
LELAND, NC (WWAY) — At their agenda meeting on Monday, Leland Town Council decided to lower the 2017/2018 fiscal year general fund budget by approximately $600,000.
This would bring down the proposed tax rate increase from 42 percent to 14.6 percent.
According to a news release, the new proposed tax rate would be 21 cents per $100 valuation, which is 5 cents lower than previously discussed. A tax rate of 21 cents equals a 2.67 cent increase over the current rate of 18.33 cents.
When developing the budget, Town Council had built in many options that could be included or removed depending on the total final budget amount. The Council decided to forego providing funding for the general fund reserves, to reassign capital project funding to the Brunswick Forest Parkway/Low Country Blvd intersection project, and to provide debt service for the fire department facility in the current budget cycle.
With the decreased likelihood of NC Senate Bill 126 becoming law, which would have resulted in a loss of $511,000 in sales tax revenue for the Town, sales tax distribution revenue projections were adjusted. These changes, along with some other minor changes, were sufficient to reduce the need for the previous presented tax rate increase.
An update of the proposed budget will be presented at the Town Council meeting on Thursday. It starts at 6:00 p.m.
No action will be taken at that meeting. Town could will hold a public hearing on June 28 at 6:00 p.m. to hear public comments, and then will finalize and adopt the budget.