City of Mount Airy Budget Message - Mount Airy, NC

CITY OF MOUNT AIRY
BUDGET MESSAGE (WITH SUPPORTING WORKPAPERS)
July 1, 2016 - June 30, 2017
Contents
Description
Budget Message
Budget Message
Recommended Budget Ordinance
Recommended Resolution Adopting Financial Plan for Internal Service Fund
Page #
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1-17
1-21
Supporting Workpapers
Charts and Other Summarized Data
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Workpapers for Proposed Budget Ordinance
Section 1. General Fund Appropriations
Section 2. General Fund Revenue Estimates
Section 3. Municipal Service District Fund Appropriations
Section 4. Municipal Service District Fund Revenue Estimates
Section 5. Economic Stabilization Fund Appropriations
Section 6. Economic Stabilization Fund Revenue Estimates
Section 7. Water and Sewer Fund Appropriations
Section 8. Water and Sewer Fund Revenue Estimates
Section 9. Extraterritorial Water and Sewer Capital Reserve Fund Appropriations
Section 10. Extraterritorial Water and Sewer Capital Reserve Fund Revenue Estimates
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2-16
2-21
2-22
2-24
2-25
2-26
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2-29
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Workpapers for Proposed Internal Service Fund Financial Plan
Section 1. Workers Compensation Fund Estimated Expenditures
Section 2. Workers Compensation Fund Estimated Revenues
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2-32
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BUDGET MESSAGE
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May 19, 2016
The Honorable Mayor Rowe and City Board of Commissioners
City of Mount Airy, NC
SUBJECT: Budget Message – 2016-2017
Dear Mayor Rowe and City Board of Commissioners:
In accordance with North Carolina General Statute 159-11, the Proposed Budget for the City of
Mount Airy is respectfully submitted for the fiscal year beginning July 1, 2016 and ending June
30, 2017. This document reflects the effort of several months work by the staff and me. I want
to first express my appreciation to our department managers and employees of the City of Mount
Airy. I want to further extend a special thanks to Pam Stone, Finance Director, for her hard work
and dedication on this budget.
We want to continue to protect the quality of life of our citizens, strengthen community, bolster
our local economy and maintain quality services. In order to accomplish these things, the City of
Mount Airy must be in strong financial health.
This proposed budget along with past budgets have been developed with these goals in mind,
including those set by the board during our winter work session. Over the last few years, we
have reduced taxes from $0.63 cents (per one hundred dollars valuation of property) in 2007-08
to $0.48 (per one hundred dollars valuation of property) which is a fifteen cent decrease in the
tax rate. With this change, we have increased quality services and have added services. Capital
and needed projects have been funded at a minimal level. As we review this document we
should remember that the annual budget document is a financial working plan. We will continue
the management of this budget as we have every year and that is to make wise purchases and
work hard to manage all expenditures.
The proposed 2016-2017 fiscal year budget is presented without a tax increase, leaving the rate
at $0.48 (per one hundred dollars valuation of property). The proposed budget includes Water
and Sewer rates with an increase of four percent (4%). Water and Sewer rates have not been
increased since 2008. As part of this proposed budget, I am recommending that the Board adopt
a vehicle tax of $15.00 with planned usage in accordance with North Carolina General Statute.
A municipality is currently authorized under general law to levy up to a $5.00 licensing tax on
any vehicle resident in the municipality (municipal vehicle license tax). A municipality’s
governing board may levy the tax in the unit’s annual budget ordinance. The revenue generated
by the tax is unrestricted; it may be expended for any lawful purpose. Several municipalities
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have received local act authority to increase the amount of the tax. And, as of July 1, 2016, all
municipalities will have the authority to levy up to a $30.00 motor vehicle licensing tax.
All of the additional revenue that a unit generates from increasing the vehicle license tax above
the $5 limit is earmarked for certain expenditures. Any amount above the $5.00 must be used for
maintaining, repairing, constructing, reconstructing, widening, or improving public streets that
are not a State Highway.
Financial Stability—Again, financially the City remains strong. We continue to receive glowing
reviews as part of our annual audit. The fiscal year 2015 audit found no reportable findings or
questioned costs. The General Fund is the main operating fund of the City of Mount Airy. At
the close of 2015, the City’s fund balance available in the General Fund was $12,294,500, while
the total fund balance reached $13,905,767. At June 30, 2015, the governmental funds of the
City have a combined fund balance of $15,060,256 with a net increase in fund balance of
$382,949. Much of this increase resulted from increased revenue from sales tax and the
continued effort to curtail spending. Expenditures were lower than the final budgeted amounts
mainly due to personnel vacancies and delays in filling positions during the year along with the
outsourcing of areas. This means that we have managed the City finances well within
anticipated budget. The Water and Sewer Fund debt decreased by $1,164,949 (8.6%) during the
past fiscal year. The City maintained its Aa3 rating from Moody’s Investor Service. The City’s
last rating from Standard and Poor’s Ratings Services was A+. These bond ratings are an
indication of the sound financial condition of the City of Mount Airy.
In February, the Mayor, Board, City Manager and Staff held our annual budget work session. As
part of this session, goals were set for the upcoming year. Listing in order was the following: the
redevelopment of the Spencer’s Mill Property, the development of Market Street, to maintain a
low tax rate, to address personnel, economic development and jobs.
The City Team is currently working on plans for the redevelopment of the Spencer’s Mill
Property and plans are being designed and priced for the Market Street Project. My proposal as
part of this budget is to maintain the existing tax rate and to review and enhance our approach to
marketing the city and obtaining grants for infrastructure and potential economic development.
There are many exciting projects and initiatives as we move into the upcoming year. The Ararat
River Greenway Project, which is a result of river restoration and conservation efforts, provides
2.2 total miles of multi-purpose trail protecting miles of sewer lines with a natural buffer. The
Emily B. Taylor Greenway is a 2.2 mile greenway on the western boundary along Lovill’s Creek
and was a flood control project funded by the DOT in 2001. The Ararat River is part of the
primary water shed serving the community and runs along the eastern boundary of Mount Airy.
We are continuing this project with a 2.2 million dollar appropriation from the North Carolina
Department of Transportation and other partners to connect the two greenways. As a result of
this project, the Ararat River has been restored to a Delayed Harvest Fishery, which includes a
stocking schedule at no cost to the City. The partnership we have with the NC Fish and Wildlife
Commission adds to the fact that research shows that communities who offer trout fishing can
expect, on average, a $2 million annual economic benefit. This connector project will add
another 2.2 miles of greenway and will enhance the greenway project and allow the City to
market this natural resource. This year, NC Wildlife added Lovill’s Creek to the hatchery
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supported trout waters, offering another opportunity for local and visiting anglers. Once the
connector project is complete, Mount Airy will have close to 7 miles of greenways and trails,
which is incredible for a community this size. In the next year, we will begin plans to connect
the greenways on the northern end to the Emily B. Taylor Trail.
We are presently holding a Greenway Naming Contest to engage the community in creating a
system-wide name and iconic logo defining our greenway system in a more marketable way. We
hope to establish a name that reflects the spirit and visual representation that this resource means
to our community. Current trail names will remain, but the selected system-wide name will stay
in place regardless of future additions.
We are making plans to expand parking at Reeves Community Center. We are hopeful to have
the project designed and bid before the close of this fiscal year, with work progressing into the
next year. Plans will include the addition of approximately 50 spaces to provide enhanced space
for the numerous programs provided to the community and will address water runoff issues.
Water Quality is something that is many times overlooked by everyone until something goes
wrong.
The City of Mount Airy has been recognized by the North Carolina Department of
Environmental Quality as having met the AWOP microbial optimization award for 2015. The
F.G. Doggett Water Plant and the S.L. Spencer Plant are receiving the N.C. Area Wide
Optimization Award from the state environmental department. The awards program is part of an
initiative to enhance the performance of existing surface water treatment facilities, which include
hundreds of municipal systems across the state. This means Mount Airy’s drinking water
doesn’t just meet the minimum standards of the Environmental Protection Agency and
Regulators, but far exceeds that level to provide the quality water for our citizens. Our systems
have the capacity to produce just less than 9 million gallons per day (average current production
is less than 2 million gallons per day). We are working toward developing specific strategies to
market our water resources.
The City is a part of the Main Street Program and had several projects recognized during the
annual meeting. Mount Airy participates in the NC Main Street Program and works with Mount
Airy Downtown Incorporated, the Downtown Business Association, Tourism Development
Authority and others to assist with the promotion and retention of our downtown business
community. Recently, our Main Street Program received the 2016 Best Special Event or Event
Series Award for the Public Art Fiddle Crawl at the North Carolina Main Street Conference.
Whether it’s taking part in one of our unique festivals, musical performances or cultural
programs, there is something for people of all ages.
We are currently working toward the replacement of our playground equipment at Riverside
Park. Once the equipment arrives and the existing equipment is removed, we will work diligently
to replace the existing wooden structure with powder-coated metal structures that will meet the
National Playground Safety Standards and serve our community for many years to come.
Riverside Park is our most used outdoor facility and the new equipment, along with the existing
landscaping will improve safety and reduce maintenance issues over time. We hope to
incorporate some of the existing structures into landscaped areas.
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Having received a $250,000 Parks and Recreation Trust Fund grant, we are currently developing
the bid package for the project, with work to continue in the next fiscal year. This grant will add
a baseball field to Tharrington Park, as well as a bathroom and storage area. Restrooms and a
picnic area are slated to go behind the New Market Crossing Shopping Center Greenway access,
as well as an overlook with signage at the confluence of the two rivers.
Certified Retirement Community: The City of Mount Airy is one of only a handful of Certified
Retirement Communities in North Carolina. We have dedicated staff and resources, engaged
citizens that work with other agencies to promote our community as a great place to Visit,
Experience and Relocate.
Public Safety: Our Fire Department responds to routine fire calls as well as emergency medical
situations. We have a Class “3” ISO rated department that provides 24/7 on duty staffing. The
Fire Marshal’s office provides fire inspections and new project permitting. Community education
programs including smoke detector checks and home inspections are also a high priority for our
firefighters. The Mount Airy Police Department provides community policing services, criminal
investigations, school resource program officers and the Citizen’s Police Academy. The
department which is also staffed 24/7, provides support to city-owned and operated public
facilities. Their involvement with prescription medication take back efforts exceeded over a
million units this year!
We are finalizing a series of short videos to highlight our community in the areas of relocation,
economic development, tourism and city services. We are excited to be able to add these to our
website and use them as a social media tool to promote the Mount Airy, NC way of life.
New and expanding business: (January 1, 2015 through December 31, 2015)
New and expanding business:
New Investment: $14,103,887
Hanesbrands announced on December 4, 2014 that it will add 75 jobs beginning January 1,
2015 at its Mount Airy sock-knitting plant to increase production. Hanesbrands has completed
hiring and currently employs 305 staff.
Shenandoah Furniture was awarded a Building Reuse Grant Application for $480,000 to pay
for a portion of the plant renovation costs to reuse the former Henredon plant. Shenandoah
currently employees 75 individuals and they plan to complete plant renovations April 30, 2016.
Willow Tex Incorporated was awarded a Building Reuse Grant for $270,000 to pay for a
portion of the plant renovation costs to reuse the former Harvest Time Bakery Facility. Willow
Tex has completed renovations and currently employs 22 employees. They plan to grow
employment to 27 employees in 2016 as their orders increase. Willow Tex also received a
$130,000 One North Carolina Fund Grant.
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Whistlers Cove Apartments: Weaver Cooke, a Greensboro firm, is in the process of building
60 units of new apartments located at 129 Whistlers Cove Court. The new apartments will serve
the 55-and-older age group. Approximate value of the apartment building will be $7,000,000.
Weaver Cooke projects that they will begin leasing the apartments in April 2016.
Cracker Barrel Restaurant built a new restaurant and retail store located at 1948 Rockford
Street. The 10,000 sq/ft facility is appraised at $2,477,500 and employs 200 fulltime and parttime employees.
IMOS LLC built a 3 suite retail and medical office building located at 367 S. Andy Griffith
Parkway. The facility is valued at $1,004,720 and is home to Mount Airy Foot and Ankle and
Traxx. They requested a connection to the Emily B. Taylor Greenway as part of their
construction plans.
Carolina Carports continues the redevelopment of the former Bright Leaf Drive-In property
located at 150 N. Andy Griffith Parkway. The company plans to use the property to display
model buildings and retail sales.
Delp Chiropractic has completed construction of a new professional office building located at
954 N. Main Street. The construction value is $650,000.
Rivertrack Crossing LLC is planning to build a new office building located at 1015 Rockford
Street. The construction value is $500,000.
Nelson Auto has built a new office building located at 305 N. Andy Griffith Parkway and has
opened a used automobile sales lot in Mount Airy. Nelson owns 11 new car and parts businesses
located in Martinsville and Henry County, Virginia.
Nester Hosiery has purchased the vacant Techform facility located at 1553 Carter Street. The
56,593 sq/ft building is being reused as a warehouse and distribution center.
Delaware Quarries, Inc. has purchased and reopened the vacant Rock Solid Dimensional Stone
Facility located at 581 Piedmont Triad West Drive. Delaware Quarries has reopened the building
and expanded the sales yard located at the 12,320 sq/ft stone fabricating facility.
Barber Street Investments purchased the 43,622 sq/ft Renfro-Barber Plant located at 1078
South Main Street and reopened it as a furniture warehouse and distribution center for My Home
Furnishings LLC.
Carolina Expediters has purchased the vacant Amber Contracting Office Building located at
1415 Fancy Gap Road. The 8,634 sq/ft office facility has been reused as the Carolina Expediters
Headquarters.
Spencer’s Property LLC is in the process of renovating the 44,723 sq/ft vacant industrial
facility located at 225 West Oak Street into condominiums.
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Granite City Market LLC is in the process of renovating the retail buildings located at 239 and
249 Market Street.
RCP Properties LLC is adding a 764 sq/ft addition to the insurance business located at 110
South Main Street.
First Citizens Bank has undergone a $175,000 renovation of the facility located at 502 N. Main
Street.
ABC Store completed a $100,000 addition to the retail space located at 226 Starlite Road.
Goober’s Original reopened in the vacant building located at 502 N. Andy Griffith Parkway.
PDQ Israel Family Forrest Oaks LLC completed a $225,000 renovation of the building
located at 2133 Rockford Street Suite 1400 into a medical office.
601 Land LLC recently finished a $220,000 renovation of the Simmons Nissan Dealership
located at 1994 Rockford Street.
City Electric Supply has finished a $100,000 renovation of the vacant building located at 630
W. Independence Boulevard for use as a retail sales location.
Northside Investment Properties LLC purchased and renovated the vacant 2,726 sq/ft building
located at 176 N. Renfro Street and will use it as offices for mortgage origination and investment
brokerage.
Bray Properties LLC renovation of the vacant apartment building located at 517 Willow Street.
The Loaded Goat reopened the former Trio Restaurant as a sports pub.
Granite City Brews reopened the vacant, former shoe repair building located at 225 Market
Street.
Spencer’s Environmental partnered with the Piedmont Triad Regional Council to obtain
$110,000 of grant funds to perform Phase 1 and Phase 2 Environmental Assessment at the site.
GENERAL FUND:
The proposed 2016-2017 General Fund Budget as presented calls for appropriations of
$14,469,370 and calls for a tax rate of $0.48 per one hundred dollars ($100) valuation of
property.
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EXPENDITURES
Personnel – General Fund
As a service organization, personnel costs represent 60.9% of our budget. As part of these costs,
some things are required costs such as the costs of FICA and Workers’ Compensation and the
5% to the 401K for our law enforcement personnel. The proposed 2016-2017 combined General
Fund and Water and Sewer Fund personnel budget includes an 8% total increase in cost. The
Board instructed the Manager to study salaries across the state and evaluate where the city stands
in order to retain our quality employees and to be competitive in recruiting new employees. We
used the 2015 Municipal Salary Survey prepared by the North Carolina League of Municipalities
for comparison. We found that the majority of the positions that we are funding are under the
average of this survey. This budget proposal does not suggest that we can bring everyone up to
the average in one year but does begin the phasing process. Increases will vary depending on
tenure and where a position is in the position table. In order to begin funding this compensation,
the proposed budget is calculated at varied percentages with the goal of moving all employees to
an average pay for their position. This increase will be withheld from any employee serving a
new hire probationary period, serving a disciplinary probation action or an employee that
received a marginal review on their last performance evaluation. Once the probationary period
has been successfully achieved then the employee will be eligible for the appropriate percentage
according to the personnel policy at that point and not retroactive to July 1.
In the past, the City used the merit system to compensate our employees. Annual performance
evaluations were conducted for all employees with pay adjustments being based off of that
evaluation. This calculation came from a combination of an increase in the cost of living and
performance by the employee as reflected by their annual performance evaluation. The ideal
implementation of this system would have those performing at a level deemed to be proficient
receiving the equivalent to a cost of living increase, while those performing at a higher level will
receive the cost of living adjustment plus an additional amount. We still conduct the employee
performance evaluations, but over the past years there has not been enough money to fund the
performance plan. The plan we are proposing will get us closer to being able to move back to
the true performance plan.
The proposed budget includes the addition of two (2) full time positions. One position is an IT
Analyst and the other a Marketing Director.
Our fiscal year 2016-2017 General Fund budget contains 139 full-time positions and 233 parttime positions. I make note that most of these part-time positions are referee and seasonal staff.
Insurance: Health insurance is a part of the benefit package provided to City employees. This
year, our Personnel Director has comparatively priced insurance and was able to negotiate a
package of comparable coverage without a rate increase. Health Insurance rates will remain the
same. Our current carrier proposed a 29.4% increase. Moving to United Health Care will
produce a savings of $342,000. Including this year’s savings, we have saved $636,000 dollars
by bidding insurance. Recommended dental insurance rates will increase 7% and will require
moving to Delta Dental. Recommended vision insurance rates will decrease 13.5% and will
require moving to Community Eye Care.
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Retirement: As part of the State Retirement System, employer rates for the general employee
are 7.43% and 8.00% for law enforcement. The required employee contribution remains at 6%.
401(k): The 401(k) remains funded at 5% for our law enforcement as mandated by general
statute. I have not included any funding for the general employees.
Other Services and Supplies – General Fund
This area is comprised of the general costs of operations and does not include personnel or
capital. This is everything from materials, supplies, fuel and the general costs of opening the
doors and doing business. As part of the proposed budget you will find an increase in certain
supplies but an overall decrease of $73,340 from the 2015-16 budget.
Capital Outlay – General Fund
Capital Outlay is comprised of major expenditures and projects of more than $10,000. This
funding does allow us to stay on target with the replacement of our police vehicles along with
various equipment needs for most departments. Funding is included for a roll off truck in our
Sanitation Department along with mowers and the replacement of vehicles in other areas. This
amount of capital does not address all needs but does allow us to begin a plan of action for our
upgrades and replacements in order to avoid substantial costs.
Other General Fund Expenditures
Included in this area are debt service and other financing uses. We have included the debt
payback for the fire truck that was approved during the last fiscal year budget. Other financing
uses include a planned transfer of $395,000 in collected occupancy tax from our General Fund to
the Tourism Development Authority.
MAJOR REVENUES:
GENERAL FUND
Revenue Outlook for General Fund 2016-2017:
The General Fund is funded by of a variety of revenue sources and is the largest governmental
fund we have. All services that are provided to the community come from this except water and
sewer. Revenues available for General Fund operations, excluding transfers, sales of capital
assets, financing proceeds, and fund balance appropriations, are expected to increase by
$320,715 from the budgeted revenues for 2015-16.
REVENUE-NEUTRAL TAX RATES AND RECOMMENDED TAX RATES
State law requires that local governments publish a revenue-neutral tax rate in the budget
immediately following the completion of the general reappraisal of real property. The purpose
of the revenue-neutral tax rate is to provide comparative information.
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The revenue-neutral tax rate, as defined by G.S. 159-11(e), is the rate that is estimated to produce
revenue for the next fiscal year equal to the revenue for the fiscal year prior to revaluation if no
reappraisal had occurred. The rate is then adjusted by a growth factor equal to the average
annual percentage increase in the tax base since the last general reappraisal.
The reappraisal produced a tax base of $1,092,974,000 for the City of Mount Airy, which
represents a decline of .67% from the tax base for 2015-2016. The tax levy for fiscal year 20152016 was $.48 (per one hundred dollars valuation of property). Using the formula mandated by
state law, the revenue-neutral tax rate for Mount Airy is $.4884 (per one hundred dollars
valuation of property). I am recommending that the property tax rate for fiscal year 2016-2017
remain unchanged from the current rate at $.48 (per one hundred dollars valuation of property).
This is expected to result in a $35,600 decrease in property tax revenues compared with our
current tax revenue estimates for 2015-16.
Taxes and Licenses: This revenue category includes occupancy tax, rental vehicle tax, privilege
licenses and municipal vehicle license taxes. For fiscal year 2016-2017, we estimate that these
revenue sources will be approximately $163,000 higher than in fiscal year 2015-2016 due to the
addition of the municipal vehicle license tax. This tax will generate approximately $150,000 in
additional revenue. An increase is planned for occupancy tax revenue and rental vehicle tax
revenue of $10,000 and $3,000 respectively.
Unrestricted Intergovernmental Revenues: Unrestricted intergovernmental revenues primarily
consist of monies that are collected by the state and distributed back to the City. They include
local option sales tax, electricity sales tax, piped natural gas tax, telecommunications tax, local
video programming revenue and beer and wine tax. This category also includes unrestricted
revenues that are received from other local government organizations, such as the Mount Airy
Housing Authority and the Mount Airy ABC Board. We estimate that these revenue sources will
be approximately $203,900 higher than in fiscal year 2015-2016. Approximately $133,000 of the
increase is from the electric sales tax. Approximately $65,700 of the increase is from local
option sales tax. There are some unknowns due to the changes in the local option sales tax by
the General Assembly that could negatively impact our sales tax revenues and cause these
numbers to change.
Restricted Intergovernmental Revenues: Restricted intergovernmental revenues are made up of
monies that are restricted for certain purposes. They include Powell Bill allocation, solid waste
disposal tax, federal and state drug fund monies, and ABC revenues that are restricted for law
enforcement. For fiscal year 2016-2017, we estimate that these revenue sources will be
approximately $352,982. This is $16,058 lower than the adjusted budget for fiscal year 20152016.
Permits and Fees: Permits and fees are minor revenue sources that include inspection fees,
zoning board fees, and zoning permit fees. For fiscal year 2016-2017, we estimate that these
revenue sources will be approximately $1,000 higher than in fiscal year 2015-2016.
Sales and Services: Sales and services are made up of user fees and charges for services through
many different departments and include rents, sanitation fees, and parks and recreation fees. For
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fiscal year 2016-2017, we estimate that these revenue sources will be approximately $51,727
lower than in fiscal year 2015-2016. Parks and recreation fees, estimated at $905,500, make up
the largest component of this category.
SPECIAL APPROPRIATIONS:
Each year the City receives and evaluates requests from individual agencies in accordance to a
process approved by the Board of Commissioners in 2001. As part of this process, Board
members that serve on the Finance Committee review such requests and make recommendations.
The following recommendations were made as part of the 2016-2017 budget.
Surry Arts Council
Regional Museum of History
Regional Library
Mount Airy Rescue Squad
$ 87,500
$ 10,000 (plus up to $10,900 to be
reimbursed for AED units and
cornice repairs as noted in request)
$ 102,650
$ 7,500
The City owns the Andy Griffith Playhouse building. The City entered into an agreement with
the Surry Arts Council leasing this property to SAC to continue operating a theater, known as the
Andy Griffith Playhouse, for the welfare and cultural betterment of the residents of Mount Airy
and surrounding areas. As part of this lease agreement, the City agrees to maintain and repair the
building and grounds. Maintenance and repair includes the installation and maintenance of the
heating, ventilation, and air conditioning systems, as well as the installation and/or repair to the
roof. We have included $50,175 above the appropriated amount of $87,500 for this purpose.
The Library facility is also owned by the City and additional funding for items such as insurance,
equipment repair and maintenance, building repair and maintenance is budgeted at $57,889 and
is a part of the General Fund budget. This amount is in addition to the $102,650 appropriated for
the Regional Library.
Even though these agencies are not direct departments of the City of Mount Airy, each
organization offers valuable service to our community by providing cultural, history and various
learning opportunities through their programs offered. All of these functions add to the quality
of life in our community.
MUNICIPAL SERVICE DISTRICT FUND
The proposed fiscal year 2016-2017 budget as presented calls for Municipal Service District
Fund appropriations of $82,000 and a tax rate of $0.21 per one hundred dollars ($100) valuation
of property within the boundaries of the Municipal Service District as recommended by Mount
Airy Downtown, Inc.
REVENUE-NEUTRAL TAX RATES AND RECOMMENDED TAX RATES
State law requires that local governments publish a revenue-neutral tax rate in the budget
immediately following the completion of the general reappraisal of real property. The purpose
of the revenue-neutral tax rate is to provide comparative information.
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The revenue-neutral tax rate, as defined by G.S. 159-11(e), is the rate that is estimated to produce
revenue for the next fiscal year equal to the revenue for the fiscal year prior to revaluation if no
reappraisal had occurred. The rate is then adjusted by a growth factor equal to the average
annual percentage increase in the tax base since the last general reappraisal.
The reappraisal produced a tax base of $40,552,000 for the Municipal Service District, which
represents a .19% decline for that district. The revenue-neutral tax rate for the service district is
$.2193 (per one hundred dollars valuation of property) and the Mount Airy Downtown Board
recommends that the property tax rate for fiscal year 2016-2017 remain unchanged from the
current rate at $.21 (per one hundred dollars valuation of property).
ENTERPRISE FUND TYPE
Enterprise Funds are used to account for operations that are financed and operated in a manner
similar to private business enterprises (where the intent of the Governing Body is that the costs
and expenses, including depreciation, of providing goods or services to the general public on a
continuing basis be financed or recovered primarily through user charges); or where the
Governing Body has decided that periodic determination of revenues earned, expenses incurred,
and/or net income is appropriate for capital maintenance, public policy, management control,
accountability, or other purposes. The City of Mount Airy has one fund of this type that is
included in the budget message: the Water and Sewer Fund.
WATER AND SEWER FUND
Appropriations for fiscal year 2016-2017 total $6,541,019. I am proposing a four (4) percent
water and sewer rate increase. Rates have not been increased since July 2008. We must measure
the effectiveness of the system and figure methods of making this fund self-sustaining. We
anticipate using a fund balance appropriation of $ 493,572 in the Water and Sewer Fund and
$198,300 in the Extraterritorial Water and Sewer Capital Reserve Fund.
We are blessed with an abundance of water and beautiful natural resources. The Ararat River,
along with other picturesque waterways, helped shape one of the nation’s most vibrant local
textile economies. Mount Airy continues to welcome and is home to apparel and textile
production. There is a strong relationship between all local corporations, government and the
community. Currently the City of Mount Airy has a water capacity of 8.500 million gallons per
day and a sewer capacity of 7.000 million gallons per day. We have an average daily demand of
1.94 million gallons per day of water and 1.47 million gallons per day of sewer. This is a
message we need to readily convey.
We currently operate two water filtration plants. Between 1990 and 1993 business was good and
in order to meet capacity demands, the City issued a total of $15,800,000 Water and Sewer
Bonds to upgrade one of the City’s water plants, to expand and upgrade the wastewater treatment
plant, to replace water and sewer lines, and extend water lines. In the late 1990’s things began to
change and in order to expand customer base, the City issued installment debt in 2006, 2008 and
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2009 for utility line extensions for system improvements. We have paid the debt from the bonds
but the city continues to have debt for the extension of utility lines into the annexation area.
Utility System:
Over the past number of years, the City of Mount Airy’s greatest exposures have been its
dependence on the textile and apparel industry. The City continues to recognize these exposures
and continues to work to diversify its tax and customer base as a means of reducing said
exposures. In 2006, our top ten customers provided 44.94% of the utility system revenues and in
FY ending 2015, our top ten customers provided approximately 21.67% of the utility system
revenues. Therefore, it is evident we are working to diversify our customer base. The recession,
along with the loss of textile companies in our community, continues to make it difficult for our
citizens. We are working hard with the County, the Surry County Economic Development
Partnership and others to market ourselves, to retrain our workforce and develop strategies to
overcome these losses. We need to have a rate study prepared and also look at selling more
water or increasing rates. There has to be an avenue for additional revenue.
REVENUE OUTLOOK FOR THE WATER AND SEWER FUND FOR 2016-2017
As we look at revenue projections, water sales and sewer revenues are anticipated to increase
approximately $246,000. Most of this increase is due to a 4% increase in water and sewer rates.
WATER AND SEWER FUND EXPENDITURES
Expenditures in the Water and Sewer Fund consist of Personnel, Other Operating, Capital Outlay
and Debt Service. The proposed expenditures for the proposed fiscal year 2016-2017 budget are
$6,541,019.
Personnel – Water and Sewer Fund
Our personnel cost for the Water and Sewer Fund totals $1,762,729. The personnel in the Water
and Sewer Fund consist of those individuals that do the revenue billings and collections, our
engineering staff, utilities maintenance, water and wastewater treatment. Currently we have 200
miles of water and 139 miles of sewer line that must be maintained. We have 6,111 water
customers and 4,254 sewer customers. A majority of our water treatment operators have a class
A Certification. As noted earlier, we operate the Doggett and Spencer Water Plants and the
wastewater treatment plant.
The proposed 2016-2017 budget includes the same proposal as that for the General Fund. This
increase will be withheld from any employee serving a new hire probationary period, serving a
disciplinary probation action or an employee that received a marginal review on their last
performance evaluation. Health Insurance will not have an increase. The proposed budget
includes 33 full time and no part-time positions funded in the Water and Sewer Fund.
Other Services and Supplies – Water and Sewer Fund
The category of Other Operating Costs is the same as in the General Fund. This is the costs of
opening our doors and doing business. The costs of operations for the water and sewer fund are
1-14
a bit different in that the water and wastewater plants are operational 24 hours a day, 7 days a
week. The cost of chemicals, monitoring the quality of water and meeting the state requirements
and standards comes with uncontrollable costs. In the area of services and supplies we anticipate
a 3.5% increase in expenditures.
Capital Outlay – Water and Sewer Fund
As part of this proposed budget, I have included some capital for the replacement of lines.
There are monies included for expenditures in both the water and wastewater plants. We
recognize that our infrastructure is aging and as discussed during our budget retreat we are
applying for grants and I have included minimal amounts in the proposed budget for
rehabilitation. The proposed capital budget for the Water and Sewer Fund is $1,008,000.
Debt Service
Our debt service for this proposed budget has decreased by $35,344 (2.2%) totaling $1,520,236
for the 2016-2017 proposed budget.
INTERNAL SERVICE FUND TYPE
Internal Service Funds account for the financing of goods or services provided by one
department or agency or other departments or agencies of the government unit, or to other
governmental units, on a cost-reimbursement basis. The General Statutes of North Carolina
require the adoption of “A Financial Plan” for internal Service Funds rather than a budget
ordinance. The City of Mount Airy has one fund of this type that is included in the budget
message, the Workers’ Compensation Fund.
WORKERS’ COMPENSATION FUND
For the proposed 2016-2017 budget, the financial plan for the Workers’ Compensation Fund
estimates $235,532 for payments of premiums and deductibles. In 1996, the City became the
first Carolina Star Site in the Nation. We were recertified in 2000, 2003, 2006 and 2009 as well
as being awarded the Public Sector Star in 2006. The City has received numerous awards from
the NC Department of Labor for our Safety Program. In 2012, the City was recertified as a
Carolina Star Site. The excellent safety record that the City has continues to help in the reduction
of accidents and loss work days, thus extending a savings to our City.
Summary:
The proposed 2016-2017 budget plan balances revenues with expenditures as required by state
law. The budget plan addresses the goals and objectives established by the Board of
Commissioners and provides the financial resources necessary for those services.
As specified early on, the annual budget, as defined by the North Carolina General Statute, is a
working plan. The proposed General Fund budget calls for appropriations of $14,469,370.
1-15
This budget reflects a tax rate of $0.48 (per one hundred dollars valuation of property). We will
continue to monitor the budget plan, working to meet our goals and to maintain financial
stability.
I am proud to lead this wonderful team of department managers and employees. Our team is
friendly and helpful to all citizens and works together to solve problems and carry out the vision
of our board. I feel that we are working strong and steady, setting the pace for a successful
tomorrow.
It is recommended that the Municipal Service District tax rate is $0.21 cents per one hundred
dollars valuation of property within the boundaries of the Municipal Service District. It is the
recommendation that rates in the enterprise fund be raised by four (4) percent. Also included, as
part of this message, is the annual fee structure.
I welcome any comments or questions on the proposed budget for the upcoming year. We will
continue to partner as a team with our citizens, corporate partners and agencies to meet our goals
and remain a community of excellence.
Conclusion
I want to extend my appreciation to all staff members that have worked with me in preparation of
this budget document. The preparation of this document would not have been possible without
the dedication and commitment of many City staff members. Given the many challenges, we
have prepared a budget plan that will allow us to continue providing quality services into the
next fiscal year. The document before you is the work of a cooperative team planning effort for
a high level of service to our community to benefit future generations.
I appreciate the consideration of the City Board of Commissioners in reviewing the budget and
providing us with the tools to provide quality services to the citizens of the City of Mount Airy.
I look forward to reviewing this budget proposal with you and receiving your guidance and
instruction as to how to proceed.
As specified earlier, we are a service organization which means that it takes people to provide
these services. I feel we have an excellent employee team that fulfills my expectations of
character, honesty, integrity and professionalism. My directive to each department manager and
to all employees is that we are to serve our community with a positive and willing attitude. I am
proud to say we have a quality and hardworking team!
Respectfully submitted,
Barbara A. Jones, City Manager
1-16
ORDINANCE # 2016-XXX
THE CITY OF MOUNT AIRY
RECOMMENDED BUDGET ORDINANCE
FISCAL YEAR 2016-2017
July 1, 2016 - June 30, 2017
BE IT ORDAINED by the Board of Commissioners of the City of Mount Airy, North Carolina:
Section 1. General Fund Appropriations
The following amounts are hereby appropriated in the General Fund for the operation of the City
Government and its activities for the fiscal year beginning July 1, 2016 and ending June 30, 2017, in
accordance with the chart of accounts heretofore established for this City:
Legislative
Administration
Finance
Human Resources
Planning and Development
Police
Fire
Public Works
Parks and Recreation
Payment to Mount Airy Tourism Development Authority
Debt Service
Transfer to Grants Project Fund
$
1,036,951
508,028
673,849
111,641
365,220
4,062,338
1,778,909
2,879,430
2,614,004
395,000
36,000
8,000
$ 14,469,370
Section 2. General Fund Revenue Estimates
It is estimated that the following revenues will be available in the General Fund for the fiscal year
beginning July 1, 2016 and ending June 30, 2017:
Current year's property tax
Prior years' property tax
Penalties, fees, and interest on property taxes
Other taxes and licenses
Unrestricted intergovernmental revenues
Restricted intergovernmental revenues
Permits and fees
Sales and services
Investment earnings
Miscellaneous revenues
Transfer from Cemetery Endowment Fund
Sale of capital assets
Appropriation of Fund Balance
$
5,080,000
52,000
43,000
565,100
3,959,400
352,982
10,500
1,233,282
24,500
13,600
10,000
5,000
3,120,006
$ 14,469,370
1-17
Section 3. Municipal Service District Fund Appropriations
The following amounts are hereby appropriated in the Municipal Service District Fund for the operation of
the Municipal Service District for the fiscal year beginning July 1, 2016 and ending June 30, 2017, in
accordance with the chart of accounts heretofore established for this City:
Section 4. Municipal Service District Fund Revenue Estimates
It is estimated that the following revenues will be available in the Municipal Service District Fund for the
fiscal year beginning July 1, 2016 and ending June 30, 2017:
Current year's property tax
Investment earnings
Appropriation of Fund Balance
$
81,000
300
700
$
82,000
Section 5. Economic Stabilization Fund Appropriations
The following amounts are hereby appropriated in the Economic Stabilization Fund for the fiscal year
beginning July 1, 2016 and ending June 30, 2017, in accordance with the chart of accounts heretofore
established for this City:
Appropriation to Fund Balance
$
2,850
$
2,850
Section 6. Economic Stabilization Fund Revenue Estimates
It is estimated that the following revenues will be available in the Economic Stabilization Fund for the
fiscal year beginning July 1, 2016 and ending June 30, 2017:
Investment earnings
$
2,850
$
2,850
Section 7. Water and Sewer Fund Appropriations
The following amounts are hereby appropriated in the Water and Sewer Fund for the operation of the
water and sewer facilities for the fiscal year beginning July 1, 2016 and ending June 30, 2017, in
accordance with the chart of accounts heretofore established for this City:
Administration
Finance
Human Resources
Public Works
Debt Service
1-18
$
134,000
435,428
37,000
4,414,355
1,520,236
$
6,541,019
Section 8. Water and Sewer Fund Revenue Estimates
It is estimated that the following revenues will be available in the Water and Sewer Fund for the fiscal
year beginning July 1, 2016 and ending June 30, 2017:
Sales and services
Investment earnings
Miscellaneous revenues
Transfer from Extraterritorial Water and Sewer Capital Res Fund
Appropriation of Fund Balance
$
5,834,147
6,300
7,000
200,000
493,572
$
6,541,019
Section 9. Extraterritorial Water and Sewer Capital Reserve Fund Appropriations
The following amounts are hereby appropriated in the Extraterritorial Water and Sewer Capital Reserve
Fund for the fiscal year beginning July 1, 2016 and ending June 30, 2017, in accordance with the chart of
accounts heretofore established for this City:
Transfer to Water and Sewer Fund
$
200,000
$
200,000
Section 10. Extraterritorial Water and Sewer Capital Reserve Fund Revenue Estimates
It is estimated that the following revenues will be available in the Economic Stabilization Fund for the
fiscal year beginning July 1, 2016 and ending June 30, 2017:
Investment earnings
Appropriation of Fund Balance
$
1,700
198,300
$
200,000
Section 11. Outstanding Encumbrances
Appropriations herein authorized and made shall have the amount of outstanding purchase orders as of
June 30, 2017 added to each appropriation as it applies, in order to honor legal and contractual
commitments that have been made in accordance with budgetary authorization under the 2016-17 annual
budget and in order to properly account for the payment in the fiscal year in which it is paid.
Section 12. General Fund Tax Levy
There is hereby levied a tax at the rate of forty-eight (.48) cents per one hundred dollars ($100) valuation
of property as listed for taxes as of January 1, 2016 for the purpose of raising the revenue listed as
"Current Year Property Tax" in the General Fund in Section 2 of this ordinance.
This rate is based on:
a. a total valuation of property other than vehicles for the purposes of taxation of $1,012,374,000
and an estimated rate of collection of 97%; and
b. a total valuation of vehicles for the purposes of taxation of $80,600,000 and an estimated rate of
collection of 95%.
1-19
Section 13. Municipal Service District Tax Levy
There is hereby levied an additional tax at the rate of twenty-one (.21) cents per one hundred dollars
($100) valuation of property within the boundaries of the Municipal Service District as listed for taxes on
January 1, 2016 for the purpose of raising the revenue listed as "Current Year Property Tax" in the
Municipal Service District Fund in Section 4 of this ordinance.
This rate is based on:
a. a total valuation of property other than vehicles for the purposes of taxation of $36,152,000 and
an estimated rate of collection of 97%; and
b. a total valuation of vehicles for the purposes of taxation of $4,400,000 and an estimated rate of
collection of 95%.
Section 14. Appropriation Transfers and Contingency Appropriations
The Budget Officer is hereby authorized to transfer appropriations as contained herein under the following
conditions:
He/she may transfer amounts up to $50,000 between appropriations, including contingency
appropriations, within the same fund. He/she must make an official report on such transfers at the next
regular meeting of the Governing Board.
He/she may not transfer any amounts between funds, except as approved by the Governing Board in the
Budget Ordinance as amended.
Section 15. Advances Between Funds
The Budget Officer may make cash advances between funds for periods not to exceed 60 days without
reporting to the Governing Board. Any advances that extend beyond 60 days must be approved by the
Board. All advances that will be outstanding at the end of the fiscal year must be approved by the Board.
Section 16. Distribution of Ordinance
Copies of this Budget Ordinance shall be furnished to the Clerk to the Governing Board and to the Budget
Officer and Finance Director of the City of Mount Airy to be kept on file for their direction in the
disbursement of funds.
Adopted this
th
day of June, 2016.
____________________________, Mayor
1-20
Attested: ____________________________, City Clerk
RESOLUTION # 2016-XXX
THE CITY OF MOUNT AIRY
RECOMMENDED RESOLUTION ADOPTING
FINANCIAL PLAN FOR INTERNAL SERVICE FUND
FISCAL YEAR 2016-2017
July 1, 2016 - June 30, 2017
WHEREAS the Board of Commissioners of the City of Mount Airy have been presented a proposed
financial plan for the Workers Compensation Fund for the year ending June 30, 2017 as required by
North Carolina General Statute 159-11;
NOW, THEREFORE, BE IT RESOLVED that the Board of Commissioners of the City of Mount Airy, North
Carolina hereby approves the following summarized financial plan as required by North Carolina General
Statute 159-13.1.
Section 1. Workers Compensation Fund Estimated Expenditures
The following are the estimated expenditures for the Internal Service Fund for Workers Compensation:
Human Resources
$
235,532
$
235,532
Section 2. Workers Compensation Fund Estimated Revenues
The following are the estimated revenues for the Internal Service Fund for Workers Compensation:
Sales and services
Investment earnings
$
234,472
1,060
$
235,532
Section 3. Advances Between Funds
The Budget Officer may make cash advances between funds for periods not to exceed 60 days without
reporting to the Governing Board. Any advances that extend beyond 60 days must be approved by the
Board. All advances that will be outstanding at the end of the fiscal year must be approved by the Board.
Section 4. Purpose of Workers Compensation Fund
The Workers Compensation Fund is an internal service fund, which has been established to account for
the City of Mount Airy's workers compensation program. The City has chosen to retain a $5,000 claim
deductible in its program. This risk retention has lowered the premium the city pays for workers
compensation insurance.
Adopted this
th
day of June, 2016.
____________________________, Mayor
Attested: ____________________________, City Clerk
1-21
(This page intentionally blank)
1-22
SUPPORTING WORKPAPERS
2-2
2-3
2-4
2-5
2-6
2-7
2-8
2-9
2-10
2-11
City of Mount Airy
Number of Employees
General Fund
Legislative
Governing Body
Administration
City Managers Office
Finance
Accounting & Administration
Collections
IT
Human Resources
Personnel
Planning and Development
Planning & Administration
Police
Administration
Communication
Criminal Investigation
Vice
Patrol
Community Services
Fire
Administration
Suppression
Public Works
Administration
Garage
Streets
Sanitation
Parks and Recreation
Administration
Acquatics
Adult fitness
Sports and Youth Camps
After School Programs
Parks
Total General Fund
Water and Sewer Fund
Finance
Collections
Public Services
Engineering
Utilities Maintenance
Water Storage & Treatment
Wastewater Treatment
2015-16 Budget
PartFulltime/
Elected
time
Auxiliary
6
2016-17 Budget
PartFulltime/
Elected
time
Auxiliary
6
3
4
4
1
2
4
1
3
2
2
1
1
5
9
4
2
29
5
5
5
9
4
2
29
5
3
18
20
3
18
1
1
5
20
2
3
11
15
2
2
3
11
15
2
-
6
2
1
1
1
7
4
17
20
134
9
6
-
6
2
1
1
1
7
4
21
20
143
10
7
6
137
218
6
139
233
2
2
-
3
10
9
9
-
-
3
10
9
9
-
Total Water and Sewer Fund
-
33
-
-
33
-
Total Citywide
6
170
218
6
172
233
2-12
City of Mount Airy
Organizational Chart
Citizens of
Mount Airy
Mayor and Board of
Commissioners
(6)
City Attorney
(1PT)
City Manager
(1)
Administration (3)
-City Manager’s Office
Human Resources
(2)
-Personnel
Finance
(10)
-Accounting
-Financial Reporting
-Billing/Collection
-Treasury
-Debt Management
-Payroll
-Meter Reading
-Systems Administration
-Telecommunications
-Networking
Planning and
Development
(1)
-Planning & Subdivision
-Zoning
-Facilities Planning
-Economic Development
-Grant Administration
-Grant Applications
-Downtown Development
Police
(54 FT/6 PT)
-Patrol
-Investigations
-Communications
-Administration
-Community Programs
-Traffic Maintenance
Fire
(21 FT/20 PT)
-Suppression
-Prevention/Education
-Inspections
-Emergency Management
-HAZMAT
-Rescue
-Emergency Medical
Response
Public Works
(62 FT/2PT)
-Street Maintenance
-Water Line Maintenance
-Sewer Line Maintenance
-Fleet Management
-Engineering
-Water Treatment
-Wastewater Treatment
Parks and
Recreation
(18 FT/205PT)
-City Parks& Grounds
-Swimming
-Nautilus
-Team Sports
-Participant Recreation
2-13
2-14
2-15
2-16
2-17
2-18
2-19
2-20
2-21
2-22
2-23
2-24
2-25
2-26
2-27
2-28
2-29
2-30
2-31
2-32
CITY OF MOUNT AIRY
FY 2016-17
RECOMMENDED ORDINANCE
LEVYING THE MUNICIPAL VEHICLE
LICENSE TAX
Effective
July 1, 2016
1
ORDINANCE 2016-XXX
ORDINANCE LEVYING MUNICIPAL VEHICLE LICENSE TAX FOR FISCAL YEARS
BEGINNING JULY 1, 2016
WHEREAS North Carolina General Statute 20‐97 (b1) states that a city may levy an annual
municipal vehicle license tax upon any vehicle resident in the city of up to $30.00; and
WHEREAS, $5.00 can be used for any lawful purpose and the remainder can be used for
maintaining, repairing, constructing, reconstructing, widening or improving public streets that do
not form a part of the State highway system; and
WHEREAS, the Board of Commissioners of the City of Mount Airy find that the imposition of a
municipal vehicle license tax in the amount of $15.00 would be appropriate as a means to
provide additional revenue to sustain the services to its residents;
NOW, THEREFORE, BE IT RESOLVED, that the Commissioners of the City of Mount Airy,
hereby levies an annual municipal vehicle license tax in the amount of $15.00 per licensed
vehicle owned by a resident of the City of Mount Airy and authorize Surry County Tax
Administrator to levy this tax in accordance with the law.
Adopted this
day of June, 2016
David L Rowe, Mayor
ATTEST:
Nicki Brame, City Clerk
2
CITY OF MOUNT AIRY
FY 2016-17
RECOMMENDED SCHEDULE OF
PRIVILEGE LICENSE TAXES
Effective
July 1, 2016
ORDINANCE 2016-XXX
ORDINANCE LEVYING PRIVILEGE LICENSES FOR FISCAL YEARS BEGINNING
JULY 1, 2016
Be it ordered and ordained by the Board of Commissioners of the City of Mount Airy that the following
privilege licenses shall be and are hereby levied and assessed for fiscal years beginning July 1, 2016,
except as otherwise hereafter limited and specified. This schedule of privilege license taxes shall remain
in effect without readoption until amended or repealed in accordance with North Carolina General Statute
160A-208.
Taxicabs, per Vehicle, per annum
$15.00
Beer and Wine Dealers
BEER: Retail, on premises, per annum
Retail, off premises, per annum
$15.00
$5.00
WINE: Retail, on premises, per annum
Retail, off premises, per annum
$15.00
$10.00
Any person, firm or corporation carrying on any business upon which a special license or privilege tax has
been imposed by the Board of Commissioners of the City of Mount Airy, without first obtaining a license
thereof as prescribed, shall be guilty of a misdemeanor, and upon conviction shall be fined $50.00 for
every offense, or imprisoned not exceeding thirty (30) days. That each day that said business is carried on
without license shall be considered a separate offense.
All licenses shall be obtained before August 1, to avoid penalty of five percent, which will be added on
that date, and an additional five percent each month or fraction thereof until paid.
Any taxicab company, partnership or individual owner who does not have a taxicab privilege license for
each cab operated by August 1, will not be allowed to conduct business with that cab within the city limits
of the City of Mount Airy.
Nothing herein shall be construed to prevent the Board of Commissioners from imposing from time to
time, as they may see fit, such license taxes as are not herein specifically defined.
Adopted this
day of June, 2016
David L Rowe, Mayor
ATTEST:
Nicki Brame, City Clerk
1
CITY OF MOUNT AIRY
FY 2016-17
RECOMMENDED FEE SCHEDULES
Effective
July 1, 2016
TABLE OF CONTENTS
Resolution Amending Schedule of Fees (Effective July 1, 2016) ....................................... 1
Fire Prevention Permit Fees ................................................................................................. 3
Parks and Recreation Fees ................................................................................................... 4
Planning and Development Fees .......................................................................................... 7
Police Department Fees ....................................................................................................... 9
Public Works Fees ............................................................................................................. 10
Water and Sewer Rate Schedules ...................................................................................... 15
Other Fees and Charges ..................................................................................................... 20
RESOLUTION # 2016-XXX
THE CITY OF MOUNT AIRY
RECOMMENDED RESOLUTION AMENDING
SCHEDULE OF FEES
(EFFECTIVE JULY 1, 2016)
WHEREAS, the City of Mount Airy charges fees for a variety of services and other actions
undertaken by the City of Mount Airy;
NOW, THEREFORE, BE IT RESOLVED by the Board of Commissioners of the City of
Mount Airy, North Carolina that:
Section 1. The City hereby amends its Schedule of Fees in accordance with the attached
Schedule of Fees (Effective July 1, 2016). Fee changes are effective on July 1,
2016.
Section 2. This Resolution shall become effective upon approval by the Board of
Commissioners of the City of Mount Airy.
Adopted this
th
day of June, 2016.
____________________________, Mayor
Attested: _______________________, City Clerk
1
(This page is intentionally blank.)
2
Fire Prevention Permit Fees
Sprinkler Plan Review (new construction and up-fit)
$75.00
Fire Alarm Plan Review
$75.00
Other Plan Review
$75.00
Blasting Permit
$50.00
Foster Home, Day Care Inspection
$25.00
ABC Inspection
$50.00
Noncompliance Fees
2nd Reinspection – First Violation
2nd Reinspection – Additional Violations (each)
3rd Reinspection – First Violation
3rd Reinspection – Additional Violations (each)
Hydrant Flow Test (per hydrant)
$100.00
$50.00
$100.00
$50.00
$25.00
False Alarm Fee
$100.00
Blocked or Locked Exit
$100.00
Unauthorized Burning
$100.00
Overcrowding
$100.00
Fire Alarm/Sprinkler System Test Not Conducted
3
$50.00
Parks and Recreation Fees
Reeves Community Center Participation Packages
Non- Corporate
Adult
Couple
Family
Youth: 9th- college
6th to 8th
K-5th
Senior 55
Senior Couple
Senior Family
Super Senior 70-79
Mega Senior 80-89
Dynamic Senior 90+
City Resident
Rates
Monthly
Annual
$
28.00 $ 308.00
$
50.00 $ 550.00
$
56.00 $ 616.00
$
16.00 $ 176.00
$
12.00 $ 132.00
$
8.00 $
88.00
$
20.00 $ 220.00
$
32.00 $ 352.00
$
40.00 $ 440.00
$
16.00 $ 176.00
$
12.00 $ 132.00
$
9.00 $
99.00
Non Resident
Rates
Monthly Annual
$ 37.00 $ 407.00
$ 66.00 $ 726.00
$ 74.00 $ 814.00
$ 21.00 $ 231.00
$ 16.00 $ 176.00
$ 11.00 $ 121.00
$ 26.00 $ 286.00
$ 42.00 $ 462.00
$ 53.00 $ 583.00
$ 21.00 $ 231.00
$ 16.00 $ 176.00
$ 13.00 $ 143.00
Corporate
Adult
Couple
Family
Youth: 9th- college
6th to 8th
K-5th
Senior 55
Senior Couple
Senior Family
Super Senior 70-79
Mega Senior 80-89
Dynamic Senior 90+
Monthly
Annual
$
21.00 $ 231.00
$
38.00 $ 418.00
$
42.00 $ 462.00
$
12.00 $ 132.00
$
99.00
9.00 $
$
6.00 $
66.00
$
15.00 $ 165.00
$
24.00 $ 264.00
$
30.00 $ 330.00
$
12.00 $ 132.00
$
9.00 $
99.00
$
7.00 $
77.00
Monthly Annual
$ 28.00 $ 308.00
$ 50.00 $ 550.00
$ 56.00 $ 616.00
$ 16.00 $ 176.00
$ 13.00 $ 143.00
$
9.00 $ 99.00
$ 20.00 $ 220.00
$ 32.00 $ 352.00
$ 40.00 $ 440.00
$ 16.00 $ 176.00
$ 13.00 $ 143.00
$ 10.00 $ 110.00
21 Hour Access Card
Day Pass- Adult
Day Pass- Youth
$
5.00
Daily
$
5.00
$
3.00
$
60.00
$
6.25
$
Daily
$
7.00
$
4.00
*Youth day passes are only for those 0-12th grade.
*City Resident Rates are approximately 25% lower than rates for Non-Residents. Annual Rates
include a 1 month discount from monthly pricing.
4
75.00
Participation packages includes:
Open gym***
Youth Fit-N-Fun Gym (Ages 5-12)
X-treme Fitness Challenge
Open swim***
Yoga
Complete Fit
Nautilus/13yrs+
PIYO
Hip Hop Cycling
Nursery
Karate
P90X
Aerobix Plus
Zumba
HIIT Fusions Class
Racquetball
Pilates
Tabata
Cycling
Healing Yoga
Functional Fitness
Morning Basketball
Boot Camp
Barre Class
Lunchtime Basketball
Turbo Kick
Senior Shape
Day-locker
Insanity
Silver Sneakers Classic
Sauna
Cardio Blast
Pickle Ball
Diabetes Support Group
Spin Circuit
Lap Swimming
Free Weights
Ultimate Weight Loss
Water Aerobics
Mommy & Me Swim
Fitness Equip.Orientation Session Senior Pool Time
Senior Water Aerobics
Water Arthritis
Silver Sneaker Splash
*** Open Swim/Gym: Anyone under age 12 must be supervised by someone 16 years or older.
*** Nautilus: 13 year olds must be accompanied by a parent or guardian and complete an orientation.
13-15 year olds must be accompanied by a parent or guardian unless he/she are currently in the 9th
grade and complete an orientation.
Reeves Community Center Individually Priced Programs and Activities
The following programs and activities are offered outside of participation and limited use pack ages.
Fees for these programs and activities are announced when registration opens.
Youth Sports
Weight Watchers
Parties
Personal Training
Adult Sports
Summer Camps
Star Aquatics
Locker Rentals
After School
Special Events
Swim Lessons
Day Passes
Locker Rentals
Contracted Programs
Pee Wee Power
Workshops
5
Park Reservations and Fees
Reservations may b e made for Riverside Park's picnic shelters and for Westwood Park's picnic shelter and 2
softb all fields. You must have a reservation to have group or tournament play on the fields. For field and
special events reservations, proof of liab ility insurance must b e shown at time of reservation. *Anything
outside of the shelter must b e pre-approved at the time of reservation and may require additonal insurance.
Resident
Non-Resident
Ful l Da y/Ful l Shel ter
$50.00
$63.00
Ha l f Da y/Ful l Shel ter
$40.00
$50.00
Picnic Shelter Reservation Fees:
Time Slots for Half Day Shelter Rentals
Morning
8:00 am - 12:00 noon
Afternoon
1:00 pm - 5:00 pm
Evening
5:30 pm - Closing
Field Reservation Rates:
Tournaments
$75.00 per day per field
$94.00 per day per field
wi th l i ghts , a dd
$35.00 per day per field
$44.00 per day per field
additional drag & line fee
$10.00 per day per field
$13.00 per day per field
$45.00 per day per field
$57.00 per day per field
$35.00 per day per field
$44.00 per day per field
Softball fields and Baseball fields
Soccer fi el ds
wi th l i ghts , a dd
Property Cleaning Services (directed by Codes Enforcement)
Weeds and Undergrowth (Mowing Neglected Private Lots):
Mowing
$ 25.00 per person per hour
Administrative Charge
$100.00
Minimum Charge
$150.00
Trash and Debris Removal
Actual Cost ($250.00 minimum)
Cemetery
Plot
Columbarium Niche for housing 1 cremains
Columbarium Niche for housing 2 cremains
Burying of cremains on top of a standard burial
Transfer Fee for transfer of burial rights for plots
Mausoleum Fee (front side)
Mausoleum Fee (back side)
6
$1,500.00 each
$1,000.00 each
$1,500.00 each
$ 500.00 each
$ 25.00 each
$6,500.00 each
$5,500.00 each
Planning and Development Fees
APPLICATIONS FOR BOARD REVIEW
Amendment to Conditional District (Board of Commissioners )
Appeal (Board of Adjustment )
Certificate of Appropriateness (Historic Landmarks Commission)
Conditional Use Permit (Board of Adjustment )
Conditional District Rezoning (Planning Board, Board of Commissioners)
General Rezoning (Planning Board, Board of Commissioners)
Street, Alley or Right-of-way closing (Board of Commissioners)
Ordinance Text Amendment (Planning Board, Board of Commissioners)
Variance (Board of Adjustment)
Voluntary Annexation Petition (Board of Commissioners)
200.00
400.00
50.00
400.00
400.00
400.00
400.00
400.00
400.00
400.00
PERMITS
Ne w Construction Zoning Pe rmit:
Single-Family Residential
Two-Family Residential
Manufactured Home
Multi-Family Residential (Five units or less)
Multi-Family Residential (More than five units)
Commercial
Industrial
25.00
25.00
25.00
100.00
100.00 plus $10 per unit
100.00 plus $10 per acre
100.00 plus $10 per acre
Grading/Paving/Land Disturbing Approval Pe rmit:
One to five acres
Greater than five acres
100.00
200.00
Additions/Acce ssory Structures/Upfits Zoning Pe rmit:
Residential
Commercial
Industrial
25.00
50.00
50.00
Sign Permits:
Change of Panel
Temporary Sign / Banner
On-Premise Attached
On-Premise Freestanding
Off-Premise (Billboards)
No Charge
25.00
50.00
50.00
200.00
7
Miscellaneous:
Change of Use Permit
Co-location Permit (Telecommunications Tower)
Demolition Permit
Fine for Construction without a permit
Home Occupation Permit
Outdoor Dining Area Permit (New/Renewal)
Protest Petition
Re-advertising fee (due to action by applicant)
Street Festival Permit
Temporary Use Permit
Yard Sale Permit
Zoning Verification Letter / Zoning Waiver / ABC letter
SITE PLAN AND PLAT REVIEW:
Floodplain Development Permit
Site Plan Review Fee
Exemption Plat
Subdivision Plat Fee
Final Plat Review (Major Subdivisions)
25.00
50.00
25.00
Double permit fee
25.00
50.00
No Charge
Cost of advertisement
50.00
75.00
10.00
20.00
50.00
300.00
No Charge
75.00 plus 5.00 per lot
200.00
PUBLICATIONS:
Comprehensive Plan
Subdivision Ordinance
Zoning Ordinance
Zoning Map (36”x 48”)
Misc. Large Maps (Plotter Produced)
25.00
10.00
15.00
25.00
25.00
8
Police Department Fees
Taxi Permit
$15.00
Duplicate Permit
$5.00
False Burglar Alarm
$25.00
False Armed Robbery Alarm
$50.00
9
Public Works Fees
New Sidewalk and Storm Drainage Installation
5-foot wide Sidewalk, driveway apron,
or curb and gutter transition to driveway
$15.00 per linear foot
(material cost only)
Storm Drainage
Actual cost of material (only)
Street and Sidewalk Cuts and Sedimentation
When city resources are necessary to repair contractor pavement cuts:
Maintenance Only - Minimum charge for stone
(includes labor, materials, and equipment costs)
$100.00
Permanent Street Repairs: Full depth patches
(includes labor, materials, and equipment costs)
0-8 square yards
$750.00 minimum
Over 8 square yards
$100.00 per square yard
Fees for emergency street cleaning
$300.00 (first hour)
$200.00 (each additional hour)
Bulk Water Sales
Swimming pool fill up by City
(City will not remove top from meter for pool fill up)
$100 + $5 per 1000 gallons
At F.G. Doggett Water Plant
$5.00 per 1000 gallons ($10.00
Minimum)
Job Site Sales
Water Use
$50 + $5.00 per 1000 gallons
Penalty for Illegal connection to Fire Hydrant
$1,000.00
10
Water and Sewer Maintenance Fees
Penalty for unauthorized dumping into
sanitary sewer system
$1,000.00
Penalty for malicious or negligent damage to
water or sewer system
$1,000.00 plus actual cost
to repair
Penalty for violating Fats, Oils, and Grease Ordinance:
EVERY OFFENSE – Repayment of any civil penalties assessed to the City of Mount Airy
by any state agency, plus
1st Offense
Warning Letter
nd
2 Offense
Cleanup Cost
Cleanup Cost plus $500
3rd Offense
4th Offense and beyond
Penalty for 3rd Offense plus an additional $500
Determination of responsibility for stopped up sewer when it turns
out to be on private property owner’s service line:
1st Visit
no charge
nd
2 Visit
$25.00
3rd Visit or any thereafter
$25.00 plus Actual Cost
Repair of Private Hydrants by City
(if not repaired by owner within 14 days)
$100 plus Actual Cost
Water and Sewer Unit Price per Foot for Oversize Reimbursement Requests
Water Lines
6-inch
8-inch
12-inch
$48
$50
$54
Sewer Lines
8-inch
10-inch
12-inch
11
$70
$75
$80
Sanitation Fees
(Per Pick-up)
Commercial/Industrial Roll-off Collection (regular)
Commercial/Industrial Roll-off Collection (one-time)
Collections Requiring Additional Handling
$ 90.00
$145.00
20% surcharge
Commercial Cart Collection (includes apartments
> 4 units, with no charge for first 3 units)
$ 2.60
Residential Roll-off Collection (one-time, for
homeowner only, one week maximum)
No Charge
Brush Collection (cut by homeowner)
6 feet maximum length, 3 inches maximum
diameter stacked neatly at the curb
Other than above – special pickup
Cart Purchase
No Charge
$130.00
$ 65.00
Document Fees
Topographic Maps:
Full Sheet – 100 Scale
Half Sheet – 100 Scale
11” x 17” – 100 Scale
Full Sheet – 200 Scale
Half Sheet – 200 Scale
$5.00
$2.50
$1.00
$2.50
$1.00
Topographic Plot / Computer Generated:
Any Scale
$5.00
Any Map:
Digital CD, USB Flash Drives, email, etc.
$5.00
Aerial Photographs:
Full Sheet
Half Sheet
$5.00
$2.50
12
Other Maps:
Includes tax, utility, FEMA, etc.
24” x 36” or Larger
18” x 24”
11” x 17”, letter & legal
$5.00
$2.50
$1.00
Digital Copy of All 1990 Topographic and
Utility Maps on CD
Mount Airy Design Standards Manual
$25.00
$20.00
Water Testing
Bacteriological sampling (set of 2 tests)
$50.00
Re-test
$35.00
13
Wastewater
Inside City
<1,000 gallon tank capacity truck (Port-a-let) – (per month) $ 50.00
Outside City
$ 75.00
>1,000 gallon tank capacity truck (septic tank haulers)
Annual Permit Fee
Charge per Month
$200.00
$200.00
$300.00
$300.00
Temporary Wastewater Discharge Permit (per 1000 gal)
$ 80.00
$120.00
Vehicle, Equipment and Labor Hourly Charges
Vehicles and Equipment – See current Federal Emergency Management Agency document
entitled Schedule of Equipment Rates.
Labor (includes wages and benefits)
$20.00 per hour
14
WATER AND SEWER RATE SCHEDULES
Effective for Billing Cycles Billed On or After July 1, 2016
1. Monthly Charges
A. Rates for City of Mount Airy Customers Inside Mount Airy City Limits
Monthly Charge
Billing Charge:
$
1.60
Per Account
$
$
$
$
$
$
$
$
Water
10.56
26.40
52.80
84.48
168.96
264.00
528.00
844.80
$
$
$
Rate Per 1,000 Gallons
Water
Wastewater
2.32
$
2.63
3.27
$
3.69
2.80
$
3.17
Minimum Monthly Charge:
Meter Size
3/4 Inch
1.0 Inch
1.5 Inch
2.0 Inch
3.0 Inch
4.0 Inch
6.0 Inch
8.0 Inch
Equivalent Residential Unit
Factor
1.00
2.50
5.00
8.00
16.00
25.00
50.00
80.00
Wastewater
$
12.53
$
31.33
$
62.65
$
100.24
$
200.48
$
313.25
$
626.50
$
1,002.40
Volumetric Rates:
Usage Block
1
2
3
Monthly Usage
02,000
2,001 - 1,000,000
Over 1,000,000
15
1. Monthly Charges
B. Rates for City of Mount Airy Customers Outside Mount Airy City Limits
2
Monthly Charge
Billing Charge:
$
3.20
Per Account
$
$
$
$
$
$
$
$
Water
21.12
52.80
105.60
168.96
337.92
528.00
1,056.00
1,689.60
$
$
$
Rate Per 1,000 Gallons
Water
Wastewater
4.64
$
5.26
6.54
$
7.38
5.60
$
6.34
Minimum Monthly Charge:
Meter Size
3/4 Inch
1.0 Inch
1.5 Inch
2.0 Inch
3.0 Inch
4.0 Inch
6.0 Inch
8.0 Inch
Equivalent Residential Unit
Factor
1.00
2.50
5.00
8.00
16.00
25.00
50.00
80.00
Wastewater
$
25.06
$
62.66
$
125.30
$
200.48
$
400.96
$
626.50
$
1,253.00
$
2,004.80
Volumetric Rates:
Usage Block
1
2
3
Monthly Usage
02,000
2,001 - 1,000,000
Over 1,000,000
16
1. Monthly Charges
C. Rates for Flat Rock/Bannertown District Customers
(This page is reserved for the rate schedule for Flat Rock/Bannertown District Customers,
which will be set by the Flat Rock/Bannertown District.)
17
2
2. New Location Charges
A. Tap Fees (applied when a new customer requests service at a new service
location.)
Water Tap Fee
$ 800.00 for new
$ 1,000.00 for new
$ 1,500.00 for new
$ 2,000.00 for new
Cost-based for new
service locations
service locations
service locations
service locations
service locations
requiring a 3/4 Inch Meter.
requiring a 1.0 Inch Meter.
requiring a 1.5 Inch Meter.
requiring a 2.0 Inch Meter.
requiring greater than a 2.0 Inch Meter.
Sewer Tap Fee
$ 750.00 for new service locations associated with a corresponding water
service requiring a 3/4 Inch Meter.
Cost-based for new service locations associated with a corresponding water
service requiring greater than a 3/4 Inch Meter.
B. Capacity Fees (applied on a per connection basis for system buy-in for developers
of non residential, multi-family residential, major subdivisions as defined in Chapter 14
of the Code of Ordinances and utility districts.)
Meter Size
3/4 Inch
1.0 Inch
1.5 Inch
2.0 Inch
3.0 Inch
4.0 Inch
6.0 Inch
8.0 Inch
Equivalent Residential Unit
Factor
1.00
2.50
5.00
8.00
16.00
25.00
50.00
80.00
18
Water
Capacity Fees
$
500.00
$
1,250.00
$
2,500.00
$
4,000.00
$
8,000.00
$ 12,500.00
$ 25,000.00
$ 40,000.00
Wastewater
Capacity Fees
$
500.00
$
1,250.00
$
2,500.00
$
4,000.00
$
8,000.00
$ 12,500.00
$ 25,000.00
$ 40,000.00
3. Miscellaneous Service Fees and Charges
Application Fee: The fee for processing a new service application is $15.00.
Connection Fee : A fee of $25.00 is applied for each connection of service during normal
business hours (i.e. new service, transfer of service, etc.)
Deposits : A deposit of $60.00 is required for residential customers who are renters in order to
establish service. Upon termination of service, the deposit will be applied against outstanding
balances owed on the account and any excess then refunded.
Late Payment Fee : A 5.00% penalty is added to the outstanding balance as of the close of
business 25 days after the bill date; with a minimum fee of $25.00. (Bills are due 10 days after
the bill date and are considered delinquent if not paid by the due date.)
Disconnection for Outstanding Delinquent Charges : Accounts with delinquent charges
outstanding as of the close of business 40 days after the original bill date will be scheduled for
disconnection for nonpayment on the next business day. No separate notice of pending
disconnection will be mailed (Bills are due 10 days after the bill date and are considered
delinquent if not paid by the due date.)
After Hours Fee : In addition to the standard connection fee or nonpayment fee, a fee of $25.00
is applied for each connection of service after normal business hours (i.e. reconnection related
to delinquent payments, new service, transfer of service, etc.)
Returned Item Charge : In accordance with North Carolina Law (G.S. 25-3-506) a $25.00
charge is made for each check/draft returned.
Meter Tampering Penalty : For a first offense, a $250.00 charge will be applied to a customer's
account when the City water meter is turned on without City authorization or when the customer
continues using water after water service has been discontinued by the City. Subsequent
offenses are subject to a $500.00 charge and civil and/or criminal penalties. (City of Mount
Airy Code of Ordinance, Chapter 8, Section 8-4)
Availability Fees: In accordance with (G.S. 160A-317) an availability fee is charged for
properties located inside the city limits that have water and/or sewer service available but have
not connected to these services. These fees are $12.16 for water availability and $12.53 for
sewer availability. (City of Mount Airy Code of Ordinance, Chapter 8, Section 8-7)
19
Other Fees and Charges
Copying Fees for Public Records
Public Records (8 ½” x 14” maximum size) (each page)
25 cents
Larger Documents: Cost will be set by the department in charge of the
documents based on reproduction cost
Returned item charges
All returned items except payments tendered for property taxes
(NC General Statute 25-3-506)
All returned items for payments tendered for property taxes
$25.00 or 10% of the amount of the returned item, whichever is greater,
subject to a maximum of $1,000.00
(NC General Statute 105-357(b)(2))
20
$25.00