Spending & Tax Rate Down in Proposed Budget

For the first time in years, Town Manager Steve Biggs is recommending an increase in the town's overall yearly budget, though a very slight one.

Actually two accounting Funds, the General Fund and the Water/Sewer Fund, are reduced from the previous year, for the third year in a row. Load growth indicates more sales of electricity and an increase for the Electric Fund, although the cost of operations is reduced.

He's also recommending a decrease in the town's property tax rate, so that a recent revaluation of property won't result in residents paying more property taxes.

"The Town has become very skilled at savings and has refined its ability to provide services and enhance quality of life," the Town Manager said in his budget statement. "The Town is more nimble and better able to capitalize on economic development opportunities and secure outside funding. Clayton has had more success in both of those arenas during the past two years than ever in its history."

Electric and solid waste pickup rates will hold steady, if approved, though water and sewer rates will get a minor bump to cover an increase from Johnston County, the town's water supplier. The proposed budget also recommends restoring the position of Property Maintenance Technician, which was cut last year when the stumbling economy forced the town to eliminate 11 positions. Biggs said the loss "has adversely impacted necessary maintenance operations."

He also recommends restoring regular hours to the Construction Inspector and Customer Service Representative/Records Clerk positions and providing employees, whose salaries will continue to be frozen, with a two percent, onetime bonus, if revenues meet expectations.

An improving economy is part of the reason for the good budget news, but the main reason, Biggs says, it the determination of town employees to find a way to continue delivering high level services despite the cutbacks of recent years. The town has learned how to do more with less, he said.

"The entire Town Administration, all departments and all staff, have dedicated themselves to improving the overall operating efficiency of the Town of Clayton while seeking to continue providing the highest quality of services available to citizens in this area," he said.

The $36.8 million budget proposed by Biggs is larger than last year's scaled down $36.1 million figure, but still much smaller than what the town was spending before the recession.

The town's property tax rate of $0.54 per $100 of property valuation, which has held steady over the last few years, will be going down in Biggs' budget to $0.525 per $100 of property valuation so that residents "will not experience an increase in total property tax responsibility." The move will protect residents while allowing the town to get about the same amount of tax money, he said.

This will be the fourth straight year that electric rates have held steady.

Projects such as the two new parks in East Clayton will continue as planned.

After several years of growth, the town was hit with decreasing revenues four years ago as the stumbling economy played havoc with both local and state budgets all over the country. As a result, the town's budget was scaled down with increasing severity each of the last three years, culminating with the loss of town jobs for the first time in history last year. But, despite the hardship, the town has steadfastly refused to raise taxes or otherwise place a greater financial burden on residents.