Board of Commissioners Regular Meeting

The following is a staff-prepared summary of key discussion points and decisions from this meeting. For the complete official record, please refer to the approved minutes above.

State Legislative Funding Recognition The board recognized Representative John Torbett for his role in securing over $6 million in state funding for the Town of Ranlo through the state budget.

• The funding was the result of a resolution passed by the board in March 2021 requesting assistance from the town's legislative delegation in Raleigh for critical infrastructure projects, including wastewater improvements, waterline rehabilitation, roadway work, and community building renovations.
• Representative Torbett and Senator Harrington were credited with championing the town's request during a challenging budget cycle, resulting in the first budget signed by the governor since he took office that included Ranlo's allocation.
• The board presented Representative Torbett with a proclamation and ceremonial check in recognition of his efforts. Former commissioners were also in attendance for the occasion.

Fiscal Year 2023 Budget – Second Draft Review Staff presented the second draft of the FY2023 budget, incorporating adjustments requested by the board during the previous budget work session.

• General fund revenue projections remained unchanged from the first draft, though sales tax forecasts suggest potential growth of up to 10%. Staff recommended a conservative approach for the final draft.
• The draft budget included a 4% cost-of-living adjustment budgeted for only half of the fiscal year, with salary line items redistributed between the general fund and utility fund.
• The police department budget included a proposed 13th officer, two new vehicles to be financed through Ford Motor Credit, and adjusted capital outlay from $40,000 to $18,350.
• The general fund showed a projected surplus of $56,236 under the second draft, an increase from draft one due to salary and capital outlay adjustments.
• The utility fund showed a projected surplus of approximately $92,150, also an increase from the first draft.
• A commissioner raised concerns about the impact of an upcoming Gaston County property revaluation expected in January 2023, noting that residents are already facing rising costs and that the tax increase enacted the prior year was intended specifically to rebuild the fund balance — not fund new recurring expenses.
• Discussion was held regarding whether to proceed with hiring the 13th police officer. Chief Lunsford noted that reserve officers, while helpful, work full-time jobs elsewhere and have limited availability.
• A motion was made and seconded to remove the 13th officer position from the budget and increase the police overtime/reserve pay line item from $10,000 to $20,000. The motion carried.
• By board consensus, water and sewer department supply line items were each reduced from a $20,000 increase to a $15,000 increase (a $5,000 reduction each), adding approximately $10,000 more to the utility fund surplus.
• Staff summarized the agreed changes: remove the 13th officer, increase police overtime budget to $20,000, and reduce utility department supply increases to $15,000 each. The board authorized staff to submit the revised draft to the NC Local Government Commission for preliminary review ahead of the May meeting.
• The board confirmed there is no property tax rate increase proposed in this budget. Any adjustments related to the upcoming revaluation would be addressed during the FY2024 budget cycle.

Gaston County Interlocal Fire Service Tax Agreement The board considered a resolution to include Ranlo in the Gaston County Fire Protection Service Tax District under a revised interlocal agreement.

• The town is already part of the county fire service tax district. The resolution updates the agreement to align with a uniform county-wide fire tax rate, with authority for the county to set a rate up to a maximum of 15 cents per $100 valuation. The current rate is approximately 9 cents; the anticipated rate is around 11 cents.
• It was noted that the town does not control this tax rate, so the change does not alter the town's existing arrangement for fire services provided by Ranlo Fire Department.
• A motion was made and seconded to approve the resolution. The motion carried unanimously.

Fiscal Year 2022 Audit Proposal The board reviewed a proposal from CPA Eddie Carrick to conduct the town's fiscal year 2022 annual audit.

• Mr. Carrick's firm has conducted the town's audits for fiscal years 2017 through 2021, all of which were accepted by the NC Local Government Commission without exception.
• The proposal was described as nearly identical to prior years. A motion was made and seconded to approve the proposal. The motion carried unanimously.

Asset Inventory Assessment Resolution – DEQ Grant Application The board considered adopting a resolution approving an asset inventory assessment to support a grant application to the NC Department of Environmental Quality (DEQ).

• The assessment is a required component of a grant application of approximately $7.5 million to rehabilitate and upgrade the sewer system throughout the mill village area of town.
• NC Rural Water conducted camera inspections of sewer lines and provided findings that were incorporated into the assessment. That information has been submitted to the town's engineers in preparation for a May 2 grant submission deadline.
• A motion was made by Commissioner Morton and seconded by Commissioner Fowler to approve the resolution. The motion carried unanimously.