Kings Mountain council adopts $68.2M FY2026-27 budget; water rates to rise 10%

The Kings Mountain City Council voted 6-1 on May 26 to adopt Ordinance 26-18, the city’s FY 2026-27 budget, which totals approximately $68.2 million across all funds and includes a General Fund of roughly $26.3 million. Councilmember Jay Rhodes moved the ordinance and Councilmember Shearra Miller seconded; Councilmember Tyler Fletcher cast the lone dissenting vote.

City Manager Todd Carpenter, presenting the proposal during a public hearing, said the plan "has been prepared in accordance with the North Carolina Local Government Budget and Fiscal Control Act" and emphasized priorities including maintaining service levels, reinvesting in infrastructure, and employee retention. He also stated that "the proposed tax rate remains at 48 cents," and that the Water and Sewer budget includes a 10% rate adjustment to address inflationary pressures and deferred reinvestment. Carpenter told the council that "the increase is necessary to maintain the operations of the facility, recruit staff and repair infrastructure."

The budget package includes a 3% salary increase for city employees, a citywide compensation and classification study, and capital program funding spread across funds: $2.56 million (General Fund), $2.96 million (Water and Sewer), $1.45 million (Electric), and $341,000 (Natural Gas), among other allocations. Council discussion centered on the water rate increase; Councilmember Tyler Fletcher asked to table that portion but was told by staff the adjustment is integral to the presented budget. The ordinance passed 6-1. The council also separately adopted Internal Service Fund plans for health insurance (Ordinance 26-19) and workers' compensation (Ordinance 26-20) by unanimous votes.