Proposed Wake County budget cuts 100+ positions, gives schools no funding increase
Facing a revenue shortfall from the COVID-19 pandemic, Wake County’s proposed budget contains no additional money for local public schools and no tax-rate increase for property owners.
More than 100 county staff positions could be cut, though most are currently vacant. Other savings could come from a hiring freeze, cuts to services and contracts, and delays in construction projects.
County Manager David Ellis presented his recommended $1.46 billion budget from his office while Wake County leaders and the public watched during a virtual meeting Monday. The proposed budget for the fiscal year that begins July 1 cuts spending by nearly $17 million compared to the current year’s budget.
“To achieve the required cost savings while maintaining our funding for education, we had no choice but to reduce the county’s workforce,” Ellis said in his budget message.
The county faces a $28.8 million budget shortfall mostly from sales tax revenue, which is created when someone buys clothing, groceries and other goods in the county. Fear of the coronavirus, and local and state orders to remain at home mean fewer people out shopping.
All of the county’s departments were asked to cut spending by 7%. The budget also proposes no pay increases for staff. Wake County has 3,800 employees, according to its website.
“I strove to take a reasonable and measured approach,” Ellis said in his budget message. “I did not accept or include all the identified reductions in my recommended budget. Some had too great an impact on our residents.”
The Wake County Public School System requested $29.9 million in more local money this year, but the proposed budget keeps local funding at $515.96 million. Wake Technical Community College would get $25 million, the same as this year.
Cuts at the county
The county is moving $3.8 million that would have gone toward construction and related debt to the general operating budget, delaying some building projects for the county, WCPSS and WakeTech. Some of those projects include the Beech Bluff County Park and the new Wake County Public Health Center.
As of Monday, 78 of the positions Ellis proposes eliminating were vacant and 29 were filled, most of them in the library.
Forty-six positions in the Wake County Sheriff’s Office would be cut, though no filled deputy, detention officer or detention medical staff jobs were recommended to be cut.
Other positions recommended for elimination are in the City County Bureau of Identification, water quality, animal control, geographic information system, information technology, human resources and register of deeds.
Wake County Public Library’s book budget will be cut by 15% for the year. That means 35,000 fewer new books next year. And the libraries would open an hour later and close an hour earlier.
And the popular Wake County Public Library Book Sale would be canceled, with surplus books sold through a private reseller to save $100,000.
How would Wake County tax bills be affected?
The tax rate would not increase, but some residents could see a higher county tax bill depending on how much their property appreciated compared to the average increase in the county of more than 20%.
The budget proposes a “revenue neutral” tax rate of 60 cents per $100 of assessed property value to generate the same amount of revenue as the current tax rate of 72.02 cents per $100. The owner of a $300,000 house would pay $1,800 in county property tax.
Ellis proposed an increase in the fire tax district rate for the unincorporated parts of the county and the town of Wendell. The recommended increase is 0.76 cents per $100 of assessed property value for a total of 9.10 cents per $100. That would be an increase of $22.80 a year for a $300,000 home in the fire tax district. The increase was recommended by the Fire Commission.
“This increase addresses sustainability issues within the district without decreasing service,” Ellis said in his budget message. “It will also create a reserve for future fire station construction and continue important capital replacements that keep residents and fire crews safe.”
The managers in Durham County and Orange County have also recommended budgets without a tax-rate increase. Local governments must pass budgets by June 30 for the fiscal year that begins July 1.
Wake County is proposed two fee increases: a $15 fee increase for fingerprinting services and a $25 increase for a pool permit fee.
What’s next: Budget public hearing
The budget isn’t final until the Wake County Board of Commissioners approves it. The public hearing for the budget will be at 5 p.m. June 1. Public comments can also be submitted at wakegov.com/budget.
This story was originally published May 18, 2020 at 4:06 PM.
