Brunswick County budget maintains revenue neutral tax rate
BOLIVIA, N.C. — The fiscal year 2015-16 budget, unanimously approved by the Brunswick County Commissioners on Monday, June 15, maintains a revenue neutral tax rate.
Every four years, Brunswick County conducts a property revaluation, adjusting property values to reflect current market conditions. In these years, the county calculates a revenue neutral tax rate. The revenue neutral rate is a rate adjustment, which does not generate any additional tax revenue. Instead, it is calculated to generate the same amount of revenue as the previous tax rate and property values would generate.
In fiscal year 2006-07, Brunswick County’s property tax rate was 54.00 cents per hundred dollars of valuation. After a revaluation showed a significant increase in property values, County Commissioners adjusted the tax rate to a revenue neutral rate of 30.50 cents. In fiscal year 2011-12, after another revaluation showed a decrease in property values, County Commissioners again adjusted the tax rate to a revenue neutral rate of 44.25 cents.
Under the revaluation taking effect this year, the total value of property in the county dropped by about 10 percent. Like in past revaluation years, the budget includes a tax rate adjustment, with a revenue neutral tax rate of 48.50 cents per hundred dollars of valuation.
Brunswick County Commissioners have historically prioritized providing a high level of services to residents without increasing taxes. The current Board of Commissioners has continued this focus, even as the county’s growth rate has ranked among the top counties in the nation. Brunswick County is ranked 30th in the United States and second in North Carolina for growth in the 2014 calendar year. North Carolina’s data center reported Brunswick County’s projected permanent population to be 121,744, an increase of more than 13 percent in just five years.
To continue providing quality service to a fast-growing county without raising taxes, county elected officials focused on accountability and increasing oversight of county funds.
County staff focused not just on providing high service levels with the resources available, but eliminating services that could be provided more effectively by the private sector or specialized non-profits.
Such changes include the closing of the adult clinic in Health Services, with numerous private and non-profit providers now available to serve clients all over the county, and the transfer of the Community Development Block Grant program to Wilmington Area Rebuilding Ministry, Inc. (WARM), a local non-profit. Non-emergency medical transportation services will not be provided by Brunswick County EMS, with several private options available to residents seeking this service.
Additionally, by using available state funds, Social Services will be able to expand its service levels with no additional funding from the county. Brunswick County refinanced debt obligations this year to take advantage of lower interest rates, resulting in savings of more than $2.85 million over the duration of the general government and revenue bonds.
The budget also funds $800,000 in additional elections requirements mandated by the state of North Carolina. While required by the state, no state funding is available to help counties fund these changes, which include an additional spring primary and changes to early voting hours that will necessitate training and paying additional poll workers.
Brunswick County continued to support Brunswick County Schools by renewing the funding agreement for an additional two years. The agreement has been in place since 1995 and provides the schools with 36.5% of ad valorem tax revenue after subtracting debt service. This agreement has historically placed the county in the top 10 local funding of school districts in the state on a per student basis. The agreement provides additional funds to meet school capital needs.
The budget eliminates coverage for employee’s spouses under the county’s health insurance plan, following significant increases in health care costs. Employee deductibles have also increased, with the two changes saving the county $1.8 million. Brunswick County will continue to expand opportunities for employee health awareness and lifestyle changes, increasing employee health and reducing health care costs.
“Brunswick County Commissioners and staff worked very hard to ensure that all county revenue is being used in the best manner possible, to continue providing quality services and to absorb unfunded state mandates, all within the revenue neutral tax rate,” said County Manager Ann Hardy.
The budget can be viewed in its entirety at http://www.brunswickcountync.gov/finance/budget.
Source: Brunswick County Public Information Officer