Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Fund Balance topic
No spam. Unsubscribe anytime.
Huntersville staff propose $15.6 million draw from reserves for parks, roads and equipment
Summary
At a budget workshop staff outlined a proposed $15.6 million use of the town’s fund balance for FY 2026, including roughly $4.6 million for Fire Station No. 4 Park, expanded street paving, sidewalk construction funds and multi-year road projects such as Gilead Road West and the Townley Connector.
Town staff told the Huntersville Town Board they are proposing to use $15.6 million of the town’s fund balance in the FY 2026 budget to support capital projects and other one-time needs.
Jackie (staff member) and Anthony (staff member) walked the board through the largest items in the proposed draw. Jackie said the town’s audited fund-balance total for the most recent year was about $80 million and that the budget proposal would draw $15.6 million from that balance. Anthony and Jackie emphasized many line items are one-time or multiyear capital obligations, not recurring operating costs.
Why it matters: Using accumulated fund balance to pay for capital work lets the town accelerate projects without issuing additional debt, but sustained draws over multiple years would reduce the town’s reserves. Staff said they are comfortable with the one-year proposal and noted some projects are obligations or reimbursements tied to partner billing schedules outside the town’s direct control.
Key items and amounts described in the workshop
- Fire Station No. 4 Park: Staff estimated an additional roughly $4.6 million would be needed to fund amenities and full project scope when construction bids return, and recommended using fund balance to cover that shortfall.
- Streets and paving: The proposal includes using Powell Bill funds and reserves to roughly double the number of street segments paved in a year compared with the town’s recent pace.
- Sidewalks: The budget proposes $500,000 for repairs to existing sidewalks and about $750,000 for construction of new sidewalks.
- Gilead Road West and Townley Connector: Staff characterized Gilead Road West as a multiyear project with a general-fund allocation of about $500,000 in FY 2026. The town’s FY 2026 budget also includes an estimated $750,000 town contribution toward the Townley Connector on a reimbursement basis tied to developer agreements.
- Emergency services and equipment: Staff identified final payments and outfitting costs tied to previously committed fire apparatus purchases; one final payment on a truck was described as roughly $370,000. Additional emergency-services equipment (air-pack replacement program) was also described as coming from emergency-fund balance.
Staff reasoning and risk
Jackie and Anthony said many items are nonrecurring or timing-driven: partner agencies and contractors bill on schedules outside the town’s control, and some projects are already committed. Jackie noted that dipping into reserves is appropriate for capital projects—if done thoughtfully—but cautioned against a pattern of annual reserve draws without a plan to replenish them.
Board process and next steps
Staff reiterated the budget calendar: board outreach events and a public hearing on the budget in May, followed by a June 3 meeting where the board can adopt a budget ordinance and set the tax rate. No formal votes to spend fund balance were taken at the workshop; staff sought board guidance on priorities and encouraged public comment before any final action.
Ending
Officials said they are comfortable with the proposed single-year use of fund balance given the town’s current reserves and the capital nature of many projects, while noting sustained annual draws would require re-evaluation.
