Hendersonville finance committee forwards midyear budget amendment after debate over 10% police pay increase

At the Jan. 28 City of Hendersonville Finance Committee meeting, committee members voted to forward Ordinance 2025-02 — a midyear amendment to the fiscal 2025 budget that includes a proposed average 10% pay adjustment for police officers and a 1% cost-of-living increase for all city staff — to the Board of Mayor and Aldermen with no committee recommendation.

The amendment, introduced as a midyear package to capture urgent needs, prompted the meeting’s longest discussion. Mayor Jamie Clary said the city is “really in a crisis situation right now” on police staffing and described the police presence as a key factor in community safety. Finance Director Tamara Ingersoll told the committee staff had reviewed revenues conservatively and sought to avoid a deficit while funding urgent items; she said the amendment draws on multiple funds including general fund, PIP and stormwater where additional revenue is now expected.

Why it matters: committee members and staff said police recruitment and retention drove the proposal. Mayor Clary and others described a pattern of officers leaving for higher pay elsewhere and asked the committee to weigh a midyear fix now against longer-term budget planning in six months.

Committee discussion and key details

- Staffing and vacancy counts: Mayor Jamie Clary reported 16 vacant officer positions and said four recruits were completing training; Alderman Terry Goodwin corrected the on-road deficit, saying 31 officers were currently not available for road duty (16 vacancies, three deployed on military duty, two on light duty and 10 trainees), and added that four officers recently received outside offers, bringing the working shortfall toward 35. Chief Jones told the committee the department lost 15 officers in 2023 and 16 in 2024 to resignations and outside opportunities.

- Pay history and studies: Committee members reviewed prior adjustments. Finance staff and others said the city provided a COLA of 6% and targeted police increases in fiscal 2023 (fiscal year 2024 beginning July 2023), and a 3% COLA across the board in the current fiscal year. A 2023 pay study cited in the meeting found police pay about 10–11% below comparable agencies; the study and prior BOMA action were described as the basis for earlier, partial corrections.

- Elements of the midyear amendment: Committee members said the package includes a 1% COLA for all employees and an average 10% pay increase for police positions (the sponsor said precise implementation details would be specified in ordinance language). Staff advised any raises would take effect after passage of the second reading of the ordinance.

- Budget impact: A committee member estimated the six-month cost of the pay adjustments would be roughly $501,000 and the annualized impact beginning in July would be roughly $1 million. Tamara Ingersoll said the amendment also uses some PIP and stormwater funds and modest adjustments to State Street Aid and investment earnings to cover priorities without creating a deficit.

Positions and votes

- Public comment: Resident Jeffrey Brewer of 105 Masters Way urged higher police pay, saying the city risks losing officers to neighboring agencies and that replacement costs are substantial. "If you have to raise taxes for my property, then go ahead," Brewer said.

- Committee action: After debate and requests for additional options, members voted to forward the ordinance to the full Board of Mayor and Aldermen (BOMA) with no committee recommendation. The committee did not adopt specific changes to the pay language at the meeting; members asked staff to return to BOMA with options, including alternatives that could pair salary increases with other retention measures such as the bridge program.

Context and next steps

Committee members repeatedly cautioned that midyear adjustments normally address one-time or emergency expenses and urged care before approving recurring salary increases. Several members asked staff to return to the full board with peer-pay comparisons, alternative packages that could include benefit changes or the bridge program, and line-item clarifications. City staff said the bridge program requires broader public-safety buy-in and additional time for implementation and that it would add approximately 3.5 percentage points to the city’s retirement contribution (TCRS) with notable long-term cost implications.

The ordinance now moves to the Board of Mayor and Aldermen for consideration; staff said they will provide revised scenarios, peer pay data and implementation dates when the item is presented.