By a vote of 3-2, the Alamance County Board of Commissioners approved its fiscal year 2024-25 budget Monday night with higher spending and a higher tax rate than recommended by the county manager.
The adopted budget will raise the county’s property tax rate from 43.2 cents per $100 of value to 46.9 cents, an increase of 8.6%, and calls for spending $225.03 million.
County Manager Heidi York’s recommended budget called for a tax increase of 2 cents, or 4.6%, and spending $220.5 million.
The added spending will go to the Alamance-Burlington School System.
The commissioners spent a significant portion of the meeting directing pointed questions toward ABSS Interim Superintendent Bill Harrison. The school system had requested a local funding increase of 27%, or $10.43 million, for the coming fiscal year despite implementing $7.6 million in budget cuts that would lead to the elimination of teaching and instructional support positions due to the end of federal COVID-19 pandemic relief funding later this year. York had recommended no increase in local funding.
Board Chair John Paisley told Harrison that the commissioners support ABSS but also answer to Alamance County taxpayers.
“People are struggling,” Paisley said. “Our job is to look after the schools — the students, the school system — and be fair to everybody, but you’re not the only game in town. … We have to make really hard decisions.”
Paisley and Commissioner Bill Lashley voted in favor of adopting York’s recommended budget, but Commissioners Craig Turner, Steven Carter and Pamela Thompson voted against it.
Turner made the motion to raise the property tax rate by 3.7 cents specifically to increase funding for ABSS.
Turner said the financial struggles of the school system over the past year have placed a huge strain on the relationship between ABSS and the county.
“All that being said, I think it’s time to turn the page,” Turner said.
Turner pointed out that ABSS needs a funding increase simply to pay its utility costs “to keep the lights on.”
Ultimately, Turner’s motion called for a $4.5 million increase over York’s recommended budget for ABSS, including moving $200,000 from the county’s fund balance to help pay for ABSS operations.
Paisley voiced strong opposition.
“I cannot vote for a 4-cent per $100 tax increase,” Paisley said.
Carter characterized the financial practices of ABSS as a “train wreck,” citing the fact that it cost the county nearly $29 million to address the issue of toxic mold in school buildings last year.
Harrison didn’t argue, saying, “I also agree with the comment that we’ve been a train wreck.”
Harrison joined the school system three months ago, after the resignation of Superintendent Dain Butler in early March.
Harrison said the school system has been forced to dip into its fund balance by $7 million over the past two fiscal years just to maintain operations.
Turner, Carter and Thompson voted in favor of the 3.7-cent tax increase, while Paisley and Lashley voted against the measure.
Alamance County Finance Officer Susan Evans said the adopted budget is projected to reduce the county’s fund balance, essentially the county’s unspent savings, to 18% of total expenditures. The county’s policy is to maintain a fund balance that is at least 20% of total expenditures.
Turner said that was unavoidable.
“We have to make a decision to fund the needs of the county, and I don’t beleive we could’ve provided less money to ABSS to allow it to fulfill its function,” Turner said.
Carter said the county’s adopted budget places the onus on ABSS officials to get a better handle on finances and “get their act together.”
“The school board’s responsibility is to look at every penny that goes through their budget,” Carter said. “It’s critical that we get this right going forward and we set the tone for these two boards to work together.”
