Hendersonville adopts 2026–27 budget after amendments, adds $336,646 for maintenance shop

The Hendersonville Board of Mayor and Aldermen voted unanimously June 9 to adopt the city’s fiscal 2026–27 budget, approving a package of six last‑minute amendments after a presentation from the finance director.

Tamara, the city’s finance director, told the board the amendments fall into two groups: four items that do not change the bottom line and two that do. The non‑impact items included a clerical correction to add a tennis coordinator to a reclassified positions list; corrected salary tables where 0.5% had been misread in the displayed tables (the budget totals themselves were reported as calculated correctly); and a project description swap that redirects $45,000 from parking lot reseal funding to playground renovations to address insurer safety concerns. Tamara also said the packet shows a fully funded cyber security grant added to revenues and expenditures (the packet text shows the grant amount as “78,44” as presented to the board; the finance director described the grant as 100% funded with no general‑fund impact).

The board debated a separate amendment that would increase the Drakes Creek maintenance shop project by $336,646 after bids came in higher than earlier estimates. City staff explained the increase covers site work (sewer, water, storm water, grading and concrete) required to move operations out of temporary buildings and into new, more permanent shop buildings; remaining smaller structures would be added in a subsequent year. Staff said work could begin promptly after the budget is approved because contracts are in place.

Council members asked about the effect on the city’s unassigned fund balance and on the recommended reserve percentage. Tamara said the increase would reduce the unassigned fund balance slightly (from roughly 15.5% to about 15.2% in the materials presented) but would leave the city well above the comptroller’s recommended target and that the change is affordable within current reserves.

Council also approved a $1,500 amendment to fund an America 250th celebration, and accepted the six amendments as a single package. After the amendments were adopted, the board voted to pass ordinance 2026‑07 adopting the annual budget and tax rate for the fiscal year beginning July 1, 2026; the final vote was unanimous.

The council simultaneously adopted resolution 2026‑21, an amendment to the city’s personnel rules and regulations, after staff noted it had been vetted in committee.

What’s next: With the ordinance adopted at second reading, the amended budget and tax rate carry forward into the new fiscal year beginning July 1, 2026. Staff said work on the Drakes Creek maintenance shop will begin almost immediately under existing contracting arrangements.

Quotes

"The amendment is going to include $78,44 being added to the revenue as well as the expenditure side. It's a 100% funded grant, so there's no impact to the general fund," Tamara, the finance director, said when describing the cyber security grant as presented in the packet.

"We already have a contract in place... we can start that work almost immediately," a city staff member (Jesse) said about the maintenance shop site work.

Ending

The council adopted the budget and related personnel resolution unanimously and closed the fiscal discussion; no additional public hearings on the adopted budget were recorded in this meeting.