Town Council Regular Workshop

TOWN OF WEAVERVILLE AGENDA Town Hall/Community Room May 11, 2026 at 6:00 pm 30 South MainStreet, Weaverville, NC 28787 Town Council Regular Budget Workshop 1. Call to Order ..................................................................................................... Mayor Lawrence 2. FY2027 Proposed Budget – Updates and Continued Discussion ……………….. Town Staff a. Sales Tax …………….…………………………………………………………………………… 2 b. Property Tax ………………..……………………………………………….………………… 3 c. Professional Services ………………………………………………………………………. 7 d. Countywide Fire District and Fire Fund Budget …………………….……….. e. Recruitment and Retention …………….……………………………………………… f. Capital Requests …………………………………………………………………………….. 8 g. Fund Balance Information ……………………………………………………………… 9 h. Town Manager Recommended Changes to Proposed Budget .……… i. Alternate Funding Models for General Fund Expenditures ……………. 3. Town Council Questions, Discussion, and Direction ….………………..……………… Town Council 4. Public Input …………………………………………………………………………………………………. Mayor Lawrence Town Council will have at least 20 minutes available for public comments on budget- related matters. Comments are generally limited to 3 minutes. You must come to the podium and be recognized before giving your comment. All rules for general public comments apply to the public input section of the meeting. 5. Adjournment ………………………………………………………………………………………….…... Mayor Lawrence *Public comments may be submitted during the meeting or in writing in advance on the proposed FY2025-2026 budget. Normal rules of decorum apply to all comments and duplicate comments are discouraged. Comments during the meeting are generally limited to 3 minutes. You must be recognized before giving your comment. Written comments timely received will be provided to Town Council and reviewed during the meeting as time allows. Written comments are limited to no more than 450 words and can be submitted as follows: (1) by putting your written comment in a drop box at Town Hall (located at front entrance and back parking lot) at least 6 hours prior to the meeting, (2) by emailing to public-comment@weavervillenc.org at least 6 hours prior to the meeting, (3) by mailing your written comment (received not later than Tuesday’s mail delivery) to: Town of Weaverville, PO Box 338, Weaverville, NC, 28787, Attn: Public Comments. For more information please call (828)645-7116.  The Town of Weaverville NORTH CAROLINA MEMORANDUM TO: Mayor and Council FROM: Tonya Dozier, Finance Director DATE: May 4, 2026 SUBJECT: Sales Tax There were some questions during the April 27 Town Council meeting concerning how sales tax works. That is a fair question as it is not as simple as it seems. This memo is aimed at providing some general information and historical data. • Sales tax applies to most tangible goods, general retail sales, furniture, electronics, clothing, prepared foods, and certain digital property and is collected at point of sale (location where goods are delivered or services performed). • State collects all sales tax and distributes it monthly after collection costs are deducted. • Distribution to municipalities can be based on one of two distribution formulas: ad valorem (property value) or per capita (population). Counties choose a distribution method each April and Buncombe County has historically adopted the ad valorem distribution method. • Buncombe County has adopted a total of 2.25% in local option sales taxes and distributes sales tax to municipalities on an ad valorem basis: o Article 39 – 1-cent tax: returned to the County based on point of sale o Article 40 – 1-cent tax: placed in statewide pool and returned to County on per capita basis o Article 46 – 0.25-cent tax; returned to the County based on point of sale • Municipalities can expend their local sales tax for any authorized public purpose. • In Buncombe County sales tax = 7% o State Sales Tax = 4.75% o Local Option Sale Tax = 2.25% • Buncombe County and Municipal Sales Tax: 2020 2021 2022 2023 2024 2025 County $32,845,000 $35,470,000 $41,210,000 $44,520,000 $47,850,000 $49,500,000 Asheville $18,340,000 $19,810,000 $22,980,000 $24,850,000 $26,710,000 $27,620,00 Bilt. Forest $425,000 $460,000 $535,000 $580,000 $620,000 $645,000 Black Mtn $1,460,000 $1,570,000 $1,830,000 $1,980,000 $2,130,000 $2,210,000 Montreat $145,000 $155,000 $180,000 $195,000 $210,000 $215,000 Weaverville $915,000 $985,000 $1,145,000 $1,235,000 $1,330,000 $1,375,000 Woodfin $550,000 $590,000 $690,000 $745,000 $800,000 $830,000 30 South Main Street • Weaverville, NC 28787 (PO Box 338) (828) 645-7116 • Fax (828) 645-4776 • weavervillenc.org 2  GENERAL ASSEMBLY OF NORTH CAROLINA SESSION 2025 S 2 SENATE BILL 889 Second Edition Engrossed 5/6/26 Short Title: Property Tax Reappraisal Moratorium. (Public) Sponsors: Senators Berger, Jackson, and Jarvis (Primary Sponsors). Referred to: Rules and Operations of the Senate April 29, 2026 1 A BILL TO BE ENTITLED 2 AN ACT REQUIRING CERTAIN COUNTIES WITH REAPPRAISALS EFFECTIVE AS OF 3 JANUARY 1, 2026, TO USE A SCHEDULE OF VALUES ADOPTED PRIOR TO THAT 4 DATE FOR THE 2026-2027 FISCAL YEAR, REQUIRING THOSE COUNTIES TO USE 5 THE 2026 SCHEDULE OF VALUES FOR 2027-2028 AND FUTURE FISCAL YEARS 6 UNTIL THE COUNTY'S NEXT GENERAL REAPPRAISAL, AND REQUIRING 7 COUNTY ASSESSORS TO PAY AN EXAMINATION FEE. 8 The General Assembly of North Carolina enacts: 9 SECTION 1.(a) 2026 Taxable Year. – Notwithstanding any provision of law to the 10 contrary and effective only for the taxable year beginning July 1, 2026, every county (i) with a 11 population of 15,000 or greater according to the latest federal decennial census and (ii) in which 12 a reappraisal of real property became effective as of January 1, 2026, shall not use the schedule 13 of values adopted by the board of county commissioners in accordance with that reappraisal but 14 shall instead use the schedule of values adopted in accordance with the county's most recent 15 previous reappraisal effective prior to January 1, 2026. 16 SECTION 1.(b) 2027 and Future Taxable Years. – Notwithstanding any provision 17 of law to the contrary, effective for the taxable year beginning July 1, 2027, every county (i) with 18 a population of 15,000 or greater according to the latest federal decennial census and (ii) in which 19 a reappraisal of real property became effective as of January 1, 2026, shall use the schedule of 20 values adopted by the board of county commissioners in accordance with the January 1, 2026, 21 reappraisal until the adoption of a new schedule of values pursuant to a future reappraisal by the 22 county in accordance with G.S. 105-286 and subsection (c) of this section. 23 SECTION 1.(c) Base Year Calculation. – Every county to which this section applies 24 shall be deemed to have conducted its most recent reappraisal effective January 1, 2027, for 25 purposes of calculating the time for its next general reappraisal of real property under 26 G.S. 105-286. 27 SECTION 1.(d) Property Tax Appeals. – Notwithstanding any provision of law to 28 the contrary, a taxpayer may appeal the listing or appraisal of real property in accordance with 29 Subchapter II of Chapter 105 of the General Statutes during the 2026 calendar year for an 30 appraisal of real property that became effective as of January 1, 2026. A taxpayer that fails to 31 appeal an appraisal of real property subject to this section during the 2026 calendar year may 32 appeal the appraisal during the 2027 calendar year as if the appraisal became effective January 33 1, 2027 provided that the real property is located in a county with a population of 15,000 or 34 greater according to the latest federal decennial census. A county shall accept an appeal from a 35 taxpayer subject to this section during the 2027 calendar year, provided that the appeal is 36 submitted in timely manner for an appraisal that became effective January 1, 2027. Any 3 *S889-v-2*  General Assembly Of North Carolina Session 2025 1 adjustment made during the appeal process provided for under this section is effective for the 2 taxable year beginning July 1, 2027. 3 SECTION 2. G.S. 105-294 reads as rewritten: 4 "§ 105-294. County assessor. 5 … 6 (b) Qualifications. – Persons who held the position of assessor on July 1, 1971, and 7 continue to hold the position, and persons who have been certified for appointment as assessor 8 by the Department of Revenue between July 1, 1971, and July 1, 1983, are deemed to be qualified 9 to serve as county assessor. Any other person selected to serve as county assessor must meet the 10 following requirements: 11 … 12 (5) Pay to the Department of Revenue a fee of twenty dollars ($20.00) for the 13 comprehensive examination required under subdivision (4) of this subsection. 14 Fees collected by the Department under this subdivision shall be applied to 15 the cost of administering the examination. 16 … 17 (d) Continuing Education. – In order to retain the position of county assessor, every 18 person serving as county assessor, including those persons deemed to be qualified under the 19 provisions of this act, this section, shall, in each period of 24 months, attend at least 30 hours of 20 instruction in the appraisal or assessment of property as provided in regulations rules of the 21 Department of Revenue. 22 (e) Compensation. – The compensation and expenses of the county assessor shall be 23 determined by the board of county commissioners. 24 (f) Alternative to separate office of county assessor. Separate Office of County Assessor. 25 – Pursuant to Act [Article] Article VI, Section 9 of the North Carolina Constitution, the office of 26 county assessor is hereby declared to be an office that may be held concurrently with any other 27 appointive or elective office except that of member of the board of county commissioners." 28 SECTION 3. Section 1 of this act is effective when it becomes law. Section 2 of this 29 act becomes effective October 1, 2026, and applies to examinations conducted on or after that 30 date. The remainder of this act is effective when it becomes law. Page 2 4 Senate Bill 889-Second Edition ADOPTED NORTH CAROLINA GENERAL ASSEMBLY AMENDMENT Senate Bill 889 A2 AMENDMENT NO. __________ (to be filled in by S889-ABAf-35 [v.8] Principal Clerk) Page 1 of 1 Amends Title [NO] Date ,2026 First Edition Senator Corbin 1 moves to amend the bill on page 1, line 2, by inserting the word "CERTAIN" between the words 2 "REQUIRING" and "COUNTIES"; and 3 4 on page 1, lines 10 and 16, by inserting between the words "county" and "in" on those lines the 5 following "(i) with a population of 15,000 or greater according to the latest federal decennial 6 census and (ii)"; and 7 8 on page 1, lines 25-28, by rewriting those lines to read: 9 "SECTION 1.(d) Property Tax Appeals. – Notwithstanding any provision of law to 10 the contrary, a taxpayer may appeal the listing or appraisal of real property in accordance with 11 Subchapter II of Chapter 105 of the General Statutes during the 2026 calendar year for an 12 appraisal of real property that became effective as of January 1, 2026. A taxpayer that fails to 13 appeal an appraisal of real property subject to this section during the 2026 calendar year may 14 appeal the appraisal during the 2027 calendar year as if the appraisal became effective January 15 1, 2027 provided that the real property is located in a county with a population of 15,000 or 16 greater according to the latest federal decennial census. A county shall accept an appeal from a 17 taxpayer subject to this section during the 2027 calendar year, provided that the appeal is 18 submitted in timely manner for an appraisal that became effective January 1, 2027. Any 19 adjustment made during the appeal process provided for under this section is effective for the 20 taxable year beginning July 1, 2027.". SIGNED ______________________________________________ Amendment Sponsor SIGNED ______________________________________________ Committee Chair if Senate Committee Amendment The official copy of this document, with signatures ADOPTED ______________ FAILED ________________ and vote information, is availableTABLED in the_____________ Senate Principal Clerk's Office 5 *S889-ABAf-35-v-8*  RESOLUTION OF THE TOWN OF WEAVERVILLE EXPRESSING OPPOSITION TO STATE-IMPOSED LIMITS ON LOCAL PROPERTY TAX AUTHORITY WHEREAS, the Town of Weaverville is responsible for providing essential services to its residents, including public safety (police and fire), infrastructure maintenance, and other governmental services; and WHEREAS, property taxes are the most stable and largest single source of revenue for local governments in North Carolina, providing essential funding that allows local governments to meet the needs of growing communities; and WHEREAS, the North Carolina General Assembly is considering legislation (including but not limited to potential constitutional amendments regarding "levy limits") that would restrict the ability of local governments to increase property tax revenue, capping growth to inflation plus a set percentage; and WHEREAS, this proposed state-level intervention represents a significant erosion of local control and the authority of elected local officials to determine the needs of their community; and WHEREAS, restricting local revenue through artificial caps could necessitate drastic cuts to core, essential services—such as reducing police staffing, reducing fire staffing, delaying public safety related capital projects and equipment purchases, or delaying infrastructure projects; and WHEREAS, many local governments have already experienced reduced funding from the state, requiring local tax revenue to maintain basic services; NOW, THEREFORE, BE IT RESOLVED, that the Weaverville Town Council hereby opposes any state legislation or constitutional amendment that limits the authority of local governments to determine their own property tax rates and levies. BE IT FURTHER RESOLVED, that this Council urges the North Carolina General Assembly to respect the authority of local governments to act as the closest, most accountable representatives of their constituents’ needs and to reject such proposed "levy limits." BE IT FURTHER RESOLVED, that a copy of this resolution be sent to the Governor of North Carolina, the leadership of the North Carolina General Assembly, and the local legislative delegation representing Buncombe County. ADOPTED this 13th day of April, 2026. TOWN OF WEAVERVILLE ATTEST: Gary D. Lawrence, Mayor Tamara Mercer, Town Clerk 6 FY2027 PROFESSIONAL SERVICES OVERVIEW ADMIN, GOVERNING BODY, WATER ADMINISTRATION, PLANNING, FINANCE, PUBLIC WORKS POLICE FIRE DISTRIBUTION, COMMUNITY CENTER PRODUCTION $222,000 $111,500 $126,500 $31,500 $108,000 IT Services IT Services IT Services IT Services IT Services Microsoft Licensing Drug Screening Drug Screening Drug Screening Drug Screening CSI Financial Software GIS System Pre-Hire Screening Responder Support GIS System Drug Screening Engineering Responder Support County - PSIP Engineering Employee Assistance Network Security Camera Software Copier Services Security Pay Study Fire Protection Radio Software Miscellaneous Fire Protection Cleaning Services Copier Service Data/Policy Software Water Billing Codification Tree Services Evidence Security Copier Services Audit Stormwater Services Security Lab Testing Actuary Waste Services Legal Technical Services/Repairs Legal Technical Serv. Copier Service 811 Utility Locate NCLM Port-a-Potties Vehicle Upfitting Miscellaneous OnSolve(CodeRed) Miscellaneous Miscellaneous Diligent Mediation Center (NDO) Facility Rental Software GIS System Security Miscellaneous $150,000 County - PSIP County - CDE 7  Fiscal Year 2026-2027 Budget Capital Request Overview - General Fund POLICE CAPITAL IMPROVEMENTS $ 66,627 Security Upgrades; Roof on Range Bldg CAPITAL EQUIPMENT $ 49,505 Drone Bundle, Barriers, Speedalert Trailer FIRE CAPITAL EQUIPMENT $ 95,000 (3) Rescue Eq Items STREETS CAPITAL EQUIPMENT $ 24,165 (2) message boards STORMWATER MANAGEMENT CAPITAL IMPROVEMENT $ 30,000 Misc Projects - Annual GROUNDS MAINTENANCE CAPITAL IMPROVEMENT $ 83,000 Playground Equip + Waterwheel Imp DEBT SERVICE NEW DEBT SVC - PD & PW $ 139,200 LOAN PAYMENT-FIRE TRUCKS (2) $ 183,280 $ 670,777 8  TOWN OF WEAVERVILLE RESOLUTION ESTABLISHING A FUND BALANCE POLICY WHEREAS, maintaining appropriate levels of fund balance is a key element of ensuring the Town of Weaverville’s overall financial health; WHEREAS, in 2002 Town Council established target fund balances and now wishes to update and adopt a more comprehensive policy intended to: establish a minimum target for the desired level of available fund balance for the General Fund and the Water Fund, identify the approach to maintain these levels, and provide guidelines for the use of fund balance; NOW, THEREFORE, BE IT RESOLVED BY THE TOWN OF WEAVERVILLE, NORTH CAROLINA, ACTING THROUGH ITS COUNCIL MEMBERS, that the following is hereby adopted as the Town’s FUND BALANCE POLICY: I. Purpose & Objectives Maintaining appropriate levels of fund balance is a key element of ensuring the Town of Weaverville’s overall financial health. This policy is intended to establish a minimum target for the desired level of available fund balance, identify the approach to maintain these levels, and provide guidelines for the use of fund balance. An adequate fund balance level is necessary to support the following objectives: • To ensure adequate cash flow to meet current and future obligations; • To help insulate the Town of Weaverville from negative financial impacts resulting from unexpected revenue reductions; • To help secure and maintain the highest credit and bond ratings; and • To plan for contingencies and allow the Town of Weaverville to respond to unforeseen emergencies. II. Fund Balance Levels The Town of Weaverville shall maintain a minimum available fund balance of at least 20% of General Fund expenditures plus transfers out, with a target of 40%. The Town of Weaverville shall maintain a minimum unrestricted net position of at least 20% of Water Fund expenditures, with a target of 50%. III. Use of Excess Fund Balance Excess fund balance will be considered as a funding source for capital projects funded with pay-as-you-go capital appropriated in the annual budget process in each fund. Appropriations outside the annual budget ordinance will generally be limited to: 1. Prudent supplemental funding for existing capital projects that require additional financial resources before the next fiscal year in order to fund unanticipated costs. 2. Interim partial-year funding for new programs that are needed before the next fiscal year. 9  3. Expenditures to support or facilitate projects that generate new revenues or cost savings in excess of the investments within established time frames. IV. Maintenance and Replenishment of Fund Balance If at the fiscal year-end, the available fund balance in the general fund or the unrestricted net position in the water fund falls below the minimum level, the Finance Officer shall develop a plan to restore reserves to the minimum level and submit the plan to the governing board. To improve upon fund balance, the Town shall consider: • Reevaluating revenue estimates and prioritizing higher tax rates and/or water rates; • Exercising increased oversight of expenditures, including an evaluation of the preaudit and disbursement processes; and • Adopting or increasing a contingency appropriation for the general fund. ADOPTED this 23rd day of September, 2024. PATRICK FITZSIMMONS, Mayor ATTEST: _____________________________________________ TAMARA MERCER, Town Clerk 10  Fund Balance History $9,000,000 $8,000,000 $7,652,948 $7,182,262 $7,000,000 $6,637,508 $6,461,299 $6,303,623 $6,176,542 $5,661,265 $6,000,000 $5,209,948 $5,000,000 $4,000,000 $3,000,000 $2,000,000 $1,000,000 $- FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 FY 2023 FY 2024 FY 2025 FB Available June 30 $6,303,623 $7,182,262 $6,637,508 $5,209,948 $6,176,542 $7,652,948 $6,461,299 $5,661,265 FB 40% Target $2,653,566 $2,927,228 $2,955,820 $3,210,628 $3,530,883 $3,896,572 $4,647,138 $3,803,420 FB Available June 30 FB 40% Target 11