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.

Resolutions Requesting State and Federal Funding The Town Manager presented two resolutions requesting state and federal funding for capital improvement projects, building on the town's success approximately two years ago in securing approximately $6.5 million in direct allocations.

• Five specific projects were identified for funding requests: sewer line rehabilitation, water line replacements, a second water interconnect with the City of Gastonia, and public facility improvements. Engineering drawings for the infrastructure projects are complete and considered shovel-ready.
• Town staff recently traveled to Raleigh to discuss projects with state legislators, and formal funding requests are pending with Representative Torbett's office.
• The board approved both resolutions, authorizing staff to submit them to the NC General Assembly and the U.S. Congressional delegation. Motion was made by Commissioner Fowler and the vote was unanimous.

Fiscal Year 2024 Budget Preview The Town Manager and Finance Director presented a preliminary look at the FY2024 budget, highlighting rising costs, capital needs, and the impact of the recent countywide property revaluation.

• A revenue-neutral budget — collecting the same amount in property taxes as in FY2023 — would result in an estimated $27,000 deficit in the general fund and a $48,000 deficit in the utility fund, driven by inflation, rising material costs, capital equipment requests, and increased state retirement contribution requirements.
• A proposed tax rate of 45 cents per $100 of assessed value would balance the budget, fund all department capital requests, and allow money to be added back to the fund balance. A minimum rate of approximately 38 cents would be needed just to break even with no fund balance contribution.
• Property values in Ranlo increased more than 70% following the recent Gaston County revaluation. The county tax office advised budgeting conservatively due to ongoing property value appeals, including a scheduled appeal session at Town Hall.
• Gaston County commissioners indicated they plan the largest property tax rate decrease in county history — estimated at 15 to 20 cents — which would help offset the overall tax burden on residents.
• Capital requests included in the preliminary budget: replacement of three police computers and a drone; continued financing payments on two police vehicles; three new public works service vehicles financed over three years at $120,000; new tires for garbage trucks (estimated $20,000); and increased maintenance budgets across departments reflecting 15–30% cost increases.
• The board discussed the aging chipper truck; staff will explore whether purchasing a used replacement or repairing the existing vehicle is more cost-effective.
• The budget includes a new separate line item for attorney fees, an election cost of approximately $4,800, and increased recreation funding to support events tied to the town's 60th anniversary.
• A $30,000 line item for rewiring and rehabilitating the downtown Christmas lights was removed from the current draft. Staff will explore updated lighting options, including newer LED or low-maintenance alternatives, and bring proposals back for consideration.
• Approximately 1,600 of the town's roughly 1,688 water meters have been replaced with new smart meters, funded entirely by the NC General Assembly. The new meters have helped identify leaks in real time; the town's water loss rate for FY2022 came in at approximately 12%, a decrease from the prior year.
• The town's fund balance stands at approximately 66–67% of annual operating expenditures, up from 20% in FY2020, representing approximately $3–3.5 million in the general fund savings account. Total funds across all accounts exceeded $8.1 million at the end of FY2022.
• Board members discussed the tradeoffs between lowering the tax rate to ease the burden on residents — particularly seniors on fixed incomes — and the need to maintain a healthy fund balance for emergencies, grant eligibility, and long-term financial stability. No final tax rate decision was made; the discussion will continue as the budget process moves forward.
• No utility rate increases are anticipated from Two Rivers Utilities for the upcoming year.