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Henderson Council adopts FY 2021-22 budget, approves redevelopment assistance and delays water-rate implementation; seeks state action to postpone municipal 202
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Summary
Council adopted the FY 2021-22 operating budget and tax rate, authorized hiring UNC School of Government for redevelopment technical services, approved co-application for an EDA grant for Henderson-Vance Industrial Park, and voted to defer implementation of previously adopted water-rate increases while seeking state legislation to delay 2021 municipal elections.
The Henderson City Council approved the city’s FY 2021-22 Annual Operating Budget and fee schedule and established the 2021 ad valorem property tax rate after prior public hearings and deliberations. City Manager Edward T. Blackmon said statutory requirements were met before the vote; Council Member Garry D. Daeke moved approval and the budget ordinance (Ordinance 21-22) passed unanimously.
Separately, Council authorized entering into a contract with the UNC School of Government Development Finance Initiative (Resolution 21-46) for technical services related to redevelopment in Downtown, Elmwood and a third area in Flint Hill at a cost of $72,200; Manager Blackmon said the fee could be covered with American Rescue Plan Act (ARPA) funds and noted an ~ $5,000 savings because Vance County is Tier 2. Council approved the resolution unanimously.
Council also approved a resolution to serve as co-applicant with Vance County on an Economic Development Administration (EDA) grant application to finish sewer and roadway work at the Henderson-Vance Industrial Park; Blackmon said the City would maintain utilities at the park and no local match was required. Mayor Ellington disclosed his and Council Member Burnette’s service on the Industrial Park board before the vote; the resolution passed.
On the Kerr Lake Regional Water System, Blackmon described a proposed plant upgrade to raise capacity from 10 million gallons per day (mgd) to 20 mgd and said the City remains about $11 million short of fully financing the project. He recommended deferring previously adopted rate increases until July 2022 while staff pursues federal and state funding options, including a DEQ loan round and outreach to congressional representatives; Council approved Resolution 21-48 to defer implementation.
Because 2020 Census redistricting data will not be available in time for the October 2021 municipal election, the City also voted to seek state legislation to delay the 2021 municipal elections to allow maps to be redrawn; Council approved Resolution 21-51 supporting legislative action to defer the election (vote recorded as affirmative for those present).