Wilmington City Council talks budget Monday morning

WILMINGTON – City Council will hold a budget worksession on Monday at the WPD headquarters on Bess Street beginning at 9:30 a.m. The Council is not expected to take any action, but will discuss the recommended budget for 2010-11. A first vote on the budget is scheduled for June 1.

Highlights of the proposed budget:

* The city is facing a third year of budget shortfalls and this year recommends a 3.75-cent property tax increase to help offset a $5.7 million deficit. Core services are maintained in the $84 million budget, but construction and maintenance costs are reduced and another 18 positions eliminated. While there are no furloughs or pay cuts for staff proposed, benefit cuts will remain in effect, there are no pay raises, and health insurance costs will increase.
* The city’s current tax rate is 331/4 cents per $100 and is recommended to increase to 37 cents per $100. Wilmington’s tax rate is the second lowest of all large cities in North Carolina and has only been raised once since 1999. Even with the increase, it would remain the second lowest tax rate of large cities.
* The median home price in Wilmington in 2009 was $185,000; A 3.75-cent tax increase on a home valued at $185,000 would cost an additional $5.77 a month.

The full recommended budget can be accessed on the city’s website at wilmingtonnc.gov.

INFORMATION FROM A NEWS RELEASE SENT TO THE WWAY NEWSCHANNEL 3 NEWSROOM….