Kernersville adopts $59.7 million FY2026‑27 budget, raises tax rate to 52.7 cents to cover public‑safety and capital needs

The Kernersville Board of Aldermen adopted the town's FY2026‑27 operating budget at a proposed tax rate of 52.7 cents per $100 valuation, approving a $59.7 million spending plan that the town manager said was driven primarily by public‑safety costs, equipment replacement and rising committed expenses.

Town Manager Curtis Swisser told the council the recommended tax rate represents a 1.8‑cent increase from the current 50.9‑cent rate and amounts to roughly $4.73 per month for the owner of a median‑value home (median value cited in the meeting as about $315,000). He described a budget where about 55% of revenue is expected from property tax, approximately $10 million is projected in sales and use tax, and public safety (police and fire) accounts for roughly 50.6% of total spending.

Major investments and drivers:

- A proposed $2.7 million ladder truck to replace aging equipment and improve emergency response reliability. - Capital purchases including a replacement solid‑waste truck and police vehicles; capital purchases in the recommendation total several million dollars. - Four new positions recommended in the budget: two police officers to be hired in January 2027, a community planner, and an added park maintenance worker; additional staffing requests remain under consideration. - Health‑insurance and retirement cost increases contributed materially to an overall $2.7 million rise in expenditures compared with the prior year.

Manager's rationale and fiscal posture: Swisser said the town's fund balance and financial condition remain sound (total fund balance ~36% of expenses; unassigned/unrestricted fund balance near town policy levels). He explained that a portion of the change in rate reflects prior revaluation timing and cost pressures — supply‑side increases in vendor contracts, insurance, and equipment lead to committed cost increases that are difficult to eliminate without cutting services.

Board discussion and public comment: Board members asked about response times, the composition of revenue sources, and comparisons with neighboring jurisdictions'rates. The manager emphasized that Kernersville provides services (police, fully staffed fire stations, trash collection, parks) that some neighboring municipalities do not, which helps explain rate differences. One member of the public, John Quickley, spoke during the budget hearing but offered no substantive objection after the manager's presentation.

Vote and follow‑ups: Alderman Savanis moved to adopt the budget and Alderman Thompson seconded; the council voted unanimously to adopt the FY2026‑27 budget and the 52.7‑cent tax rate. Council also approved Budget Amendment No. 11 (carryovers, insurance and operational adjustments) during the same meeting and discussed rising street‑lighting costs that staff said could approach $1 million in the near future.

What to watch next: Implementation tasks include filling approved positions, placing equipment orders (long lead times were cited for ladder and rescue trucks), and monitoring the fiscal impact of rising energy, insurance and retirement costs next fiscal year. The council asked staff to return with proposed pool fee schedules and other refined fee changes noted in the presentation.