City Council reviews manager's proposed budget including pay raises and staffing plans

The Asheville City Council held a significant agenda briefing on May 8, 2025, focusing primarily on the upcoming proposed budget for the fiscal year. The meeting began with a presentation from the city manager, who outlined key components of the budget, which will be formally presented to the council next week.

One of the major highlights of the proposed budget is a 3% hybrid compensation increase for employees on the general pay plans. Additionally, the budget includes funding for compression adjustments in the police department, allowing for a new career ladder pay plan. Another notable aspect is the funding for a supervisory structure in the fire department, which aims to facilitate the addition of a fourth shift in the future.

The city manager also announced the receipt of a $5 million community disaster loan, which has been incorporated into the budget as revenue. This funding is crucial for balancing the budget while maintaining a 15% fund balance. However, the proposed budget includes a property tax rate increase of 3.26 cents, which aligns with earlier forecasts.

During the discussion, council members expressed concerns regarding the implications of the proposed tax increase and the potential addition of firefighter positions. Council member Hess raised questions about the financial impact of hiring additional firefighters, emphasizing the need for concrete numbers rather than assumptions. Other members echoed this sentiment, highlighting the importance of transparency in budget discussions.

The conversation also touched on the possibility of state revenue replacement for municipalities affected by recent disasters. Council members debated the merits of considering a 30 or 60-day budget to allow for adjustments based on state funding outcomes. However, concerns were raised about how such a move might affect the city's debt ratings.

As the meeting progressed, discussions shifted to the fire department's staffing needs. The city manager clarified that the proposed budget does not include hiring additional firefighters for the upcoming fiscal year, suggesting that further analysis is needed before making such decisions. Council members expressed a desire to explore options for adding firefighter positions sooner, particularly in light of the department's evolving role in the community.

In conclusion, the meeting underscored the complexities of the budget process, with council members grappling with the balance between fiscal responsibility and the pressing needs of city departments. The city manager's proposed budget will be formally presented next week, and further discussions are expected as council members seek to address both community needs and financial constraints.