Finance committee recommends advertising unchanged real estate tax rate as FY2027 budget moves forward

The Halifax County Finance Committee recommended advertising the county’s existing real estate tax rate while staff finalize budget details and the FY2025 audit.

John Montoro, interim finance director, told the committee that reassessed taxable property values rose from about $3.1 billion to $3.342 billion, a 4.75% increase in assessed value, and presented revenue and collection-rate projections. Montoro said the personal property tax collection estimate was raised from 92% to 93% based on historical performance. Committee members generally agreed to recommend advertising the current tax rates with no rate increase beyond reassessment impacts.

Committee Chair D. Witt and members discussed timing and procedures for advertising the tax rate and scheduling a public hearing. Staff were directed to prepare a detailed schedule of deadlines and procedural steps for advertising the tax rates and coordinating the budget advertisement; the committee discussed scheduling a public hearing in early June and asked staff to return with a calendar for the Board’s consideration.

The committee reviewed other revenue sources and fund balances that will affect final budget decisions. Montoro described solar revenue-sharing payments and one-time signing payments tied to solar projects and how those receipts are allocated between the General Fund and the Capital Projects Fund. He also said approximately $1.5 million in ARPA funds remain to be expended by the end of the calendar year, and that school carryover balances will be finalized after the FY2025 audit is complete.

On expenditures, the committee examined departmental requests including new staffing positions, reassessment services, fire department funding, oil-collection infrastructure at the transfer station, parks and recreation operational funding, and roof repairs. Montoro said the Industrial Development Authority’s operational request had been reduced from $300,000 to $250,000 following prior discussions.

School funding requests remained a significant item. Montoro said the school operating request totaled about $19 million with an additional $2.7 million in carryover requested; the school system also requested $870,000 for bus replacements and continued funding for an athletic complex. Committee members asked for additional clarity about available carryover and bond or sales-tax proceeds that might fund the athletic complex and agreed to revisit those numbers after the audit is complete.

Committee members discussed maintaining a general fund reserve of roughly 20 percent, which Montoro said is a sound practice. The committee emphasized the need for clearer final balances from the FY2025 audit before making binding commitments on capital projects.

Brenda Powell reported that the Solid Waste Disposal fee is fully set up in the tax system and that the Treasurer’s office needs only to send the file to the vendor for printing and mailing; a special mailing was estimated at about $25,000. Powell said the printer date used on bills was June 5 and reminded the committee that real estate tax bills require at least 15 days’ notice; she confirmed the Board can extend the traditional June 5 due date if needed. Committee Chair Witt asked staff to confirm the Treasurer’s readiness and the vendor mailing timeline; that readiness and the vendor schedule were not specified in the meeting record.

The committee did not take a final vote on the budget or tax rates at the meeting; members agreed to recommend advertising the current tax rates for Board consideration at the next Board of Supervisors meeting.