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Council discusses raising urban‑service multiplier; county agreement required
Summary
Councilmembers discussed a potential increase in the urban service district multiplier from 1.5x to 2x, which staff estimated could add about $150,000 in annual revenue, but any change would require mutual county agreement and possibly council approval for a multi-year deal.
Salisbury City Councilmembers raised the possibility of increasing the urban service district multiplier during general discussion, but staff warned any change would require agreement from county officials.
A councilmember asked whether the city could move from a 1.5x multiplier to 2x. City staff said the change would require mutual agreement because the urban service benefits are received by county residents and both jurisdictions must sign off on the adjustment.
“Going from 1 and a half x to 2 x is an additional revenue of about a hundred and $50,000 a year,” City staff (unnamed) said, adding that a one-percentage-point rate increase in water and sewer generates roughly $140,000.
Staff also said that multi-year changes likely would require council approval and that the original agreement dated to an earlier intended use that has since changed. The council asked staff to run numbers and return them for a council-level discussion.
No formal action was taken during the discussion.
