Rutherford County commissioners direct staff to return budget without a tax increase

At a workshop Tuesday, the Rutherford County Board of Commissioners told staff to return with a proposed budget that does not include a tax-rate increase, emphasizing public safety and school funding while warning of revenue uncertainty after recent storm damage.

Multiple commissioners expressed opposition to raising property taxes. "Well, I'm opposed to a tax increase," said Commissioner Hunter. "That's my recommendation." Commissioner Tony said he shared that view, adding that the county has largely held or lowered taxes in recent years. "This is not a year to be adding injury to insult," Tony said, referring to community storm losses.

The instruction to staff was acknowledged by county budget staff, who told the board they would prepare alternative budget options. "I'll just advise that we'll get our team together and start working toward that for the next couple weeks before your next workshop and bring something back to you that does not have a tax rate increase in it," a county staff member said.

Why it matters: commissioners said the county faces a mix of one-time storm-related costs and declining revenue growth that make a tax increase politically and economically undesirable. Chair remarks and staff briefings outlined hurricane recovery costs, uncertainties in federal reimbursements and a likely downshift in sales tax growth compared with pandemic-era peaks.

Revenue and fund balance forecasts: County staff said sales tax growth has shifted from the 3–5% historical pattern to near-flat or slightly negative projections, in part because federal pandemic-era funds that boosted consumer spending are winding down. Finance staff Paula said the county does not receive its final sales tax distribution until Sept. 15 and typically completes final calculations in October. Paula also said the county expected to recover some of last year’s use of fund balance and that the year-end numbers are still being finalized.

Storm recovery and federal reimbursements: Commissioners repeatedly noted ongoing recovery after a recent hurricane. "We've had people in our community that are hurting still from the hurricane itself," the chairman said, adding that he personally paid about $17,000 for storm repairs after insurance and FEMA denials. Commissioners warned that federal reimbursement can be slow and uncertain; staff said reimbursements must pass multiple federal appropriation and review steps.

Capital pressures and one-time needs: Commissioners flagged several capital projects and one-time needs that will pressure the budget. The board discussed a detention center project that has received $10 million in state funds but still requires additional funding; the chairman estimated another $6 million–$8 million likely will be needed to finish planned work. The county has also set aside funds to relocate law-enforcement offices and evidence storage, with an earlier allocation of $1.5 million noted as likely insufficient given inflation.

Local districts and service providers: Several district-level requests and shortfalls were discussed. Fire districts have submitted requests for rate increases; staff reminded the board that most fire tax rates have a statutory cap of 15 cents. Cliffside Sanitation District, which county staff said was recently returned to local control by the state, reported an operating shortfall the county described as about $54,000 and has received a separate grant of approximately $2.8 million to address system improvements. County staff said Cliffside serves roughly 60 homes plus several public buildings and businesses and that the district has limited ability to raise rates without burdening low- and working-class residents.

Public safety pay and grants: Commissioners urged attention to pay and retention for the sheriff’s office, EMS and 9-1-1 personnel. One commissioner said retaining employees will be difficult if neighboring jurisdictions increase pay; Forest City’s recent pay adjustment was cited as an example. Staff noted a federal COPS grant opportunity forwarded from Tim Moore’s office—roughly a half-million dollars—that could help offset costs if pursued and awarded.

Next steps: The board did not take formal votes at the workshop (workshops are nonvoting), but commissioners said they wanted a revised budget that holds the tax rate flat and includes options for trimming or reprioritizing department requests. Staff said they would return to the board at the next workshop with alternatives reflecting the direction.

No final decisions on rate changes, levy adjustments, or department-specific allocations were made at the session; the board will consider a recommended budget, hold a public hearing and adopt a final budget at later meetings.