Town of Manteo Proposed Fiscal Year 2024-2025 Budget

TABLE OF CONTENTS

Budget Presentation

Budget Message

Proposed Fiscal Year 2024-2025 Budget Ordinance

Proposed Fiscal Year 2024-2025 Fee Schedule

Recommended Fiscal Year 2024-2025 General Fund Revenues & Expenditures

Recommended Fiscal Year 2024-2025 Cemetery Fund Revenues & Expenditures

Recommended Fiscal Year 2024-2025 Water and Sewer Fund Revenues & Expenditures

Fiscal Year 2024-2025 Budget Presentation

Budget Presentation for Fiscal Year 2024-2025

A Look Back/What We’re Doing Now…

● Shallowbag Bay Sewer Lift Station and Area Improvements

● New Residential Solid Waste Truck

● Stormwater Project

● Professional Services for Wayfinding/Branding (Brand Unveil - May 11th at Downtown Market Opening Day)

● Magnolia Lane

● Water and Sewer Billing Portal

● Staff Development

● Town Hall Generator* (Grant with Town Dollars)

● 2 Lift Station Generators (and Fence Upgrades)

● Tree Work: Bradford Pears, George Washington Creef Park, and Magnolia on Magnolia Lane

● 2 New Police Vehicles (*Soon to be delivered)

● 2 Emergency Shaft Repairs at Sewer Plant

● Used Trailer for Stage Storage/Set up

Continued…

● Social District Continued Development (Cups on Order, Revenue Line to be added)

● Emergency Boardwalk Repairs (In permitting stage now)

● UV Disinfection and Resiliency Project (LGC for approval on April 2, 2024)

● Gate Replacement at Sewer Plant

● Camera Replacement Project

● Bearing Replacement for Aerator Drives 2 and 4

● New meter-reading van

● Contracted capital replacement of 2 -inch and 3-inch water taps for Waterfront Condos, bringing domestic and fire services for building to code

● Replaced pump #1 at Cypress Cove Pump Station

● Replaced rotating assembly, wear plate, check valve, and flapper valve on pump #2 at Ballast Point Pump Station.

● Contracted full manhole rehab (concrete rehab work and epoxy injection) for manhole in Downtown Waterfront parking lot that connects to new Waterfront pump station.

● Contracted full manhole rehab (concrete rehab work and epoxy injection) for doghouse manhole at the entrance to Shallowbag Bay Club.

Continued…

● Replaced rotating assembly, wear plate, check valve, and flapper valve on pump #2 at Ballast Point pump station.

● Contracted full manhole rehab (concrete rehab work and epoxy injection) for manhole in Downtown Waterfront parking lot that connects to new Waterfront pump station.

● Contracted full manhole rehab (concrete rehab work and epoxy injection) for doghouse manhole at the entrance to Shallowbag Bay Club.

● Replaced effluent pump #1 rotating assembly

● Replaced both effluent pump check valves

● Replaced aeration drive #2 gearbox and motor assembly via contractor on oxidation ditch. Old gearbox was original to WWTP

● Replaced aeration drive #4 motor

● Renewed NPDES permit (effective 3-1-24) with new permit limits

● Replaced inner and outer bearings (2) on aeration drive #2, inner drive-side bearing on aeration drive #4

● Contractor installed LED lights on two light poles at WWTP as larger part of LED light replacement project at the facility.

Taxes and Fees

● Tax rate of $0.3455 cents per $100 valuation of assessed property.

● No rate water and sewer rate increases are included in the recommended budget.

● The proposed fee schedule does change Planning Fees on electrical permits not requiring a building permit to $10 per $1000 based on cost.

$423,653

PROJECTED GENERAL REVENUE FOR FY 2024-2025 BREAKDOWN BY REVENUE SOURCE

$2,398,629

$6,690,975

$2,246,793

$858,314

FY 15/16, 105.08%

FY 14/15, 94%

Unassigned Fund Balance %

FY 16/17, 100.91%

75% Minimum Target

FY 18/19, 124.60%

FY 19/20, 116.27%

FY 17/18, 84.21%

FY 21/22, 132.77% FY 22/23, 141%

FY 20/21, 102.43%

14/15

GENERAL FUND REVENUE COMPARISON BY YEAR

FY 2023-2024

$7,838,596

FY 2024-2025

$6,690,975

EXPENSE BREAKDOWN BY YEAR

FY 2023-2024

$7,838,596

$6,690,975

ADMINISTRATION

POWELL BILL

WATERFRONT OPERATIONS

PUBLIC WORKS

ZONING AND PLANNING

PROJECTED CEMETERY REVENUE FOR FY 2024-2025 BREAKDOWN BY REVENUE SOURCE

CEMETERY EXPENSE BREAKDOWN

EXPENSE BREAKDOWN BY YEAR

FY 2023-2024

$51,450 FY 2024-2025 $51,600

Professional Services Supplies Advertising Improvements

EXPENSE BREAKDOWN BY CATEGORY

IMPROVEMENTS / PROJECTS

ADVERTISING

SUPPLIES

PROFESSIONAL SERVICES

$410,505

PROJECTED WATER AND SEWER REVENUE FOR

FY 2024-2025

BREAKDOWN BY REVENUE SOURCE

WATER

AND SEWER FUND REVENUE COMPARISON BY YEAR

FY 2023-2024

$4,440,280

FY 2024-2025

$2,704,406

WATER AND SEWER FUND EXPENSES BREAKDOWN

EXPENSE BREAKDOWN BY YEAR

FY 2023-2024

$4,455,151

EXPENSE BREAKDOWN BY CATEGORY

OUTSIDE SERVICES

FY 2024-2025

$2,704,406

OPERATIONAL

$2,156,000

TECHNOLOGY

ADMINISTRATION SEWER

NON-DEPARTMENTAL

FY 2024-2025 FY 2023-2024

Fiscal Year 2024-2025 Budget Message

Budget Message

May 1, 2024

The Honorable Mayor Wickstrom, Mayor Pro Tempore Selby, and Members of the Board of Commissioners:

I am pleased to respectfully submit to you the Town of Manteo’s Fiscal Year 2024-2025 Recommended Budget for your consideration. The public hearing for the Recommended Budget is expected to take place on May 15, 2024. All components of this budget have been prepared and assembled in strict accordance with provisions of the North Carolina Local Government Budget and Fiscal Control Act and conform to all other applicable State and Federal standards. The Recommended Budget is financially balanced, identifies all anticipated revenue sources, and provides all proposed departmental expenditures. The review and adoption of the annual operating budget is one of the most important responsibilities of the Mayor and Board of Commissioners.

Budget Format & Purpose

The Recommended Budget is intended to provide guidance to management in carrying out the operations of the Town in support of the priorities established by the Mayor and Board of Commissioners. The May 1, 2024 Budget Presentation includes graphical representations of funds, revenues, and related data. In addition, the full line-item budget and the proposed fee schedule, including updates, are also included.

In preparation of a new fiscal year budget, the Finance Department regularly monitors estimated and actual revenues and expenditures to ensure each is verifiable to its intended service or project. The Finance Department has also used resources provided by the North Carolina League of Municipalities and Dare County Finance Department in determining projected revenues for Fiscal Year 2024-2025

Per North Carolina General Statutes, the Town Manager is the designated Budget Officer. The Recommended Budget includes Departmental requests that have been reviewed and recommended by the Town Manager for your review and consideration for Fiscal Year 2024-2025.

Fiscal Year 2024-2025 General Fund Revenue Summary

The Fiscal Year 2024-2025 General Fund Recommended Budget totals $6,690,975.

The Recommended Budget was prepared using an ad valorem tax rate of $0.3455 cents per $100 valuation of assessed property. Property tax revenues are estimated at $2,301,625 using a collection rate of 99.70%. Each cent on the tax rate is estimated to generate revenue of $66,485. Projected property and personal property valuation for Fiscal Year 2024-2025 is $664,856,724. Revenues including sales tax, occupancy tax and land transfer tax, are distributed based on the Town of Manteo’s ad valorem tax levy and are estimated at $2,246,793 based on actual revenues from Fiscal Year 2023-2024 and guidance recommendations from the North Carolina League of Municipalities.

The North Carolina Local Government Commission recommends that local governments maintain a minimum unassigned fund balance of no less than eight percent of expenditures. The Town of Manteo adopted a policy on November 20, 2013 establishing a goal of maintaining a fund balance for the General Fund of 75% of expenditures. Annual financial statements show the Town has consistently maintained an unassigned general fund balance well over 100% of expenditures for the past 5 years. Our fund balance is healthy and gives us an adequate reserve to meet unanticipated needs.

The Recommended Budget takes into account projections for decreased revenues for the upcoming fiscal year, thus many expenditure line items have been slashed in order to better balance the budget.

The Board of Commissioners, Town Manager and Finance Director worked diligently to make cuts to spending in order to lower the fund balance allocation in this proposed budget. The Fiscal Year 2024-2025 Recommended Budget includes an appropriation of fund balance in the amount of $858,314 to balance the General Fund, which is a decrease of 56% from the prior fiscal year.

No tax increase is proposed in the Town of Manteo’s Fiscal Year 2024-2025 Recommended Budget.

Highlights of General Fund Fiscal Year 2024-2025 Expenditures

• The Recommended Budget was prepared taking into account a 5% employee cost of living adjustment for Town employees. The Town Manager and Finance Director have made this recommendation after considering cost of living adjustments from the most previous fiscal years, inflation rates, as well as staying competitive with other towns in Dare County.

• The Administration Department professional services line item includes funds to develop a Strategic Plan and funds for lobbying services for the Town at the General Assembly. There are also funds provided to purchase a vehicle to be used for travel to trainings and conferences.

• The Community and Economic Development Department budget provides funding for the Town’s participation in the North Carolina Mainstreet program, including the special events sponsored annually by the Town.

• The Information Technology budget includes replacement of three laptops in the Police Department. There is $30,000 appropriated to the upgrade the system used to record the Board of Commissioner meetings and various other meetings held by the Town.

• The Finance Department budget has additional training dollars included for finance staff to continue working towards their certifications Additional dollars were added to the audit contract due to having a capital project (the UV Disinfection and Resiliency Project) included in the upcoming fiscal year.

• Public Buildings includes funding for Cartwright Park planning and improvements with the intention of matching Town funding with possible grant resources. There are additional dollars programmed for increased utility costs. Included in the Waterfront line item are required matching dollars totaling $35,000 for a North Carolina Public Beach and Waterfront Access Program Grant. Staff have submitted a pre-application and will learn in May 2024 if we are invited to submit an application later in the year.

• The Police Department budget includes the addition of one police officer position and the outfitting costs associated with adding a new officer to our Police Force. We have increased repair and maintenance dollars as a number of police vehicles are getting older and it is anticipated that they will require additional maintenance. Funding for 2 new police vehicles is included

• The Fire Protection contract cost of $269,100 being recommended is increased at the request of the Roanoke Island Volunteer Fire Department (RIVFD). RIVFD has seen a huge growth in membership and has increased costs associated with outfitting new volunteers.

• The Museum and Waterfront Marina budget includes an increase in the utility line item for expected increased utility costs. Funds are also included for replacement gutters and wooden rain barrels at the net shed. The Waterfront Condo Owners Fee did not increase this year.

• Public Works Department budget includes anticipated increased fuel costs. The capital outlay equipment line is increased this year to include the purchase of a new air compressor, utility trailer and a mulch dump attachment for the multi-force stand-on mower.

• The Planning Departmental budget includes continued funding for updates to the Town’s ordinances. Funding is also continued for the Land Use Plan as approval by the Coastal Resources Commission, which is still pending as well as dollars to have copies of the updated

Land Use Plan printed.

• The Stormwater budget includes engineering and professional services dollars to plan a future stormwater project. No construction dollars are programmed as we do not have a project that is shovel ready.

Fiscal Year 2024-2025 Cemetery Fund Revenue and Expenditure Summary

The Recommended Budget includes $51,600 in revenues and was prepared as an operational budget. Expenses for the maintenance of the Cemetery are funded through the Public Works Department. A Fund Balance Appropriation of $7,797 will be allocated from the Cemetery Fund Balance to fund cemetery projects.

Fiscal Year 2024-2025 Water and Sewer Fund Revenue and Expenditure Summary

The Water and Sewer revenues are meeting obligations for an operational budget. A Fund Balance in the amount of $410,505 is recommended to fund projects and improvements included in the Departmental Budget request. The proposed budget does not include an increase in Water and Sewer Rates.

Last year, the Board of Commissioners adopted a 10-year capital improvement plan. This capital improvement plan prioritizes projects for water and sewer infrastructure improvements. The long-term goal is to address challenges to help reduce annual costs required to maintain and operate aged portions of the Town's water distribution system, sewer collection system and wastewater treatment plant. The Town has contracted with The Timmons Group for professional services to develop plans for items included in the Water and Sewer Capital Improvement Plan. Grant dollars will be sought for many of the projects included in the plan.

The budget as presented meets operational needs. It is the goal of the Water and Sewer Administrative Staff to continue to provide the best customer service possible.

Conclusion

I would like to offer my deepest appreciation to the Mayor and Board of Commissioners for their guidance and encouragement as we worked together to draft a budget that would provide ample resources in a very challenging upcoming budget year.

In addition, I am grateful to the members of the community who have come forward to share their thoughts and bright ideas.

This Recommended Budget could not have been prepared without the hard work of our incredible Finance Team led by Finance Director

Heather Doughtie.

All Town Department Heads have worked diligently to provide reasonable Departmental Budgets. They have been responsive and understanding to my request for “bare bones” budget requests

Finally, I would like to thank the entire staff at the Town for their hard work and dedication in serving the people of the Town of Manteo. It is such an absolute honor to work alongside dedicated public servants who truly are family.

Thank you for your consideration of the Fiscal Year 2024-2025 Recommended Budget.

Respectfully Submitted,

Melissa M. Dickerson Town Manager

Recommended Fiscal Year 2024-2025 Budget Ordinance

TOWN OF MANTEO BUDGET ORDINANCE

FISCAL YEAR 2024-2025

BE IT ORDAINED by the Governing Board of the Town of Manteo, North Carolina, that the following fund revenues and departmental expenditures together with certain restrictions and authorizations are adopted for operation of the Town of Manteo for the fiscal year beginning July 1, 2024 and ending June 30, 2025.

Section 1. GENERAL FUND The following amounts are hereby appropriated in the General Fund for the operation of the town government and its activities for the fiscal year beginning July 1, 2024 and ending June 30, 2025, in accordance with the chart of accounts heretofore established for this Town:

Section 1 Continued: It is estimated that the following revenues will be available in the General Fund for the fiscal year beginning July 1, 2024 and ending June 30, 2025:

Section 2. CEMETERY FUND The following amounts are hereby appropriated in the Cemetery Fund for the fiscal year beginning July 1, 2024 and ending June 30, 2025, in accordance with the chart of accounts heretofore established for this Town:

It is estimated that the following revenue will be available in the Cemetery Fund for the fiscal year beginning July 1, 2024, and ending June 30, 2025:

Section 3. WATER AND SEWER FUND The following amounts are hereby appropriated in the Water and Sewer Fund for the fiscal year beginning July 1, 2024 and ending June 30, 2025 in accordance with the chart of accounts heretofore established for this Town:

Total Appropriations $ 2,704,406

It is estimated that the following revenues will be available in the Water and Sewer Fund for the fiscal year beginning July 1, 2024 and ending June 30, 2025:

Total Estimated Revenues $ 2,704,406

Section 4. A tax rate of thirty-four and fifty-five hundredths of a cent ($0.3455) per one hundred dollars ($100) is hereby levied on property in the Town of Manteo as listed for taxes as of January 1, 2025, for the purpose of raising the revenue described as “Current Year Property Taxes” in the General Fund in Section 1 of this ordinance. This rate is based on a total estimated valuation of property

for the purposes of taxation rounded to $664,856,724 using an estimated rate of collection of ninety-nine percent (99.7%). The Town Manager shall have the authority to determine needs and to make transfers within departments and within funds to meet obligations and provide funding included in the adopted budget not to exceed total allocations. Transfers between funds or from fund balance shall require approval by the Board of Commissioners.

Section 5. This Budget Ordinance and the Budget Document shall be the basis of the financial plan for the Town of Manteo, North Carolina for the 2024-2025 fiscal year. The Budget Officer shall administer the Budget and shall ensure that Department Heads are provided guidance and sufficient detail to implement their applicable portion of the budget. The Finance Department shall maintain records in accordance with this Budget Ordinance, the Budget Document, and the applicable Statutes of the State of North Carolina.

ADOPTED this the day of ______________, 2024

Jamie Whitley, Town Clerk Sherry Butcher Wickstrom, Mayor

Recommended Fiscal Year 2024-2025 Fee Schedule

Quarterly Water Account Deposit

TOWN

Fee Schedule referenced in Codified Ordinance Article II Sec. 14-63 and adopted by the BOC during Budget approval every year

Water and Sewer Department

Quarterly Sr. Citizen Water Deposit $100

Monthly Water Account Deposit $100

Monthly Sr. Citizen Water Deposit

After Business Hours Service Call for reconnection by non-payment

Reconnection Fee for non-payment

Account Transfer

¾” Water Tap $4700

1” Water Tap

1 ½” Water Tap

2” Water Tap $7500

Deposit for 2” Tap $2500

Greater than 2” Tap Actual cost + 15%

¾” non-sequential water only meter within 15 feet of service connection

Disconnect Service Fee Water (Sec. 50-42)

Meter Size Reduction from 1” to ¾” (Sec. 50-36)

Increase in Meter Size

Relocation of water meter requiring a boring underneath driveway or sidewalk

Relocation of water meter requiring use of heavy equipment plus $200 and labor at $200 per hour

Bad Debt Collection Fee (Sec. 50-44)

of new tap fee

plus $400 per hour

Payment Penalty (Sec. 50-44) 10% bill amount after 21 days from date of billing

Sewer Department User Fee (Sec. 50-140)

$8 per gallon per day according to approved design flows

Fee Schedule referenced in Codified Ordinance Article II Sec. 14-63 and adopted by the BOC during Budget approval every year

Administrative Services

Returned Check Charge $25

Copy of Agenda Package

Black & White copy (8.5x11) (first 5 pages free)

Color Pages (8.5x11)

$0.15 per page

$0.20 per page

Black & White (11x17) $0.30 per page

Color Pages (11x17) $0.40 per page

CD Copy

Copy of Code of Ordinances

Copy of Zoning Ordinances

Copy of CAMA Land Use Plan

Copy of Plan Update

Copy of Manteo Way of Building

Copy of Roanoke Transportation Plan

Copy of Zoning Map (22” x 34”)

Copy of Budget Document

Copy of Audit Document

Banner Placement on Highway

Peddlers License (Article III Sec. 14-91/14-98)

(or can supply own)

Available online at Town of Manteo website or for purchase from Municode at 1-850-576-3171

Available online at Town of Manteo website or for purchase from Municode at 1-850-576-3171

Other Administrative Fees may be charged for Special Events, Facility Use Agreements, Weddings, etc.

Police Department

False Alarm Charges for Security Systems 1st-5th occurrence (after 5th $100)

Parking Tickets

Handicap Parking Violations

911 Hang-Up Response Charge

Golf Cart Registration Permit Fee

$0 (after 5th $100)

$25 Annually

Fee Schedule referenced in Codified Ordinance Article II Sec. 14-63 and adopted by the BOC during Budget approval every year

Cemetery Rates

Town Resident Gravesite

Town Resident Cremation Site

Out of Town County Resident Gravesite

Out of Town County Resident Cremation Site

Out of County Resident Gravesite

Out of County Resident Cremation Site

Internment Fee (Burial and Cremation)

$800 (per site)

$350 (per site)

$1000 (per site)

$500 (per site)

$1600 (per site)

$850 (per site)

$150

Sites 1-16 in new section of cemetery are for single lot sales only See above prices

Deed Recording Fee

$50

Marina Rates

Live Aboard

per Month + Utility Charge of: $125/Month

As per the slip rental agreement, slip fees not paid by the tenth of the month are past due and no boat shall be released if payment is late. All unpaid slip fees due to the Town of Manteo shall bear interest at the rate of 1.5% per month prorated for all days the rental is late.

COMMERCIAL RATE: In-Season (April 1st-October 31st): $660.00 per month Off-Season: (November 1st – March 31st): $470/Month

Fee Schedule referenced in Codified Ordinance Article II Sec. 14-63 and adopted by the BOC during Budget approval every year

Planning Department

Development Review Fees

Residential Site Plan Review-New Construction

Residential Site Plan Review-Additions, Out Buildings, Renovations & Pools

Commercial Site Plan Review-Additions, Out Buildings, Renovations & Pools

Multifamily Dwellings, Duplexes, Condominiums, Townhouses, Apartments

All other development not included elsewhere in fee schedule (This fee is to be calculated based on the footprint of proposed development.)

Lots in a Subdivision

Building Permits Fees

Residential New Construction and Additions

Multifamily, Condominiums, Hotels, Motels

Commercial New Construction and Additions

Re-inspection Fee (Building and Fire Inspections)

$100

$50

$100

$150 per dwelling unit

$0.50/sq. ft.

$100 per lot

$0.50/sq. ft. heated space

$0.25/sq. ft. unheated space

$100.00 per unit plus $0.60/sq. ft. heated

$.0.45/sq. ft unheated

$0.60/sq. ft. heated

$0.45/sq. ft unheated

$50

Proceeding Work without a Permit 2 x permit cost

Alterations and Repairs

Decks/Pergola

Storage Areas

Garages

Utility Rooms

Elevators

Boat Lifts

Mobile Homes

House Moving

Signs

Commercial Parking Lots

Swimming Pools

$10 per $1,000 based on cost

$10 per $1,000 based on cost

$10 per $1,000 based on cost

$10 per $1,000 based on cost

$10 per $1,000 based on cost

$10 per $1,000 based on cost

$150

$0.50/sq. ft. of heated space

$250

$50 per sign

$15 per space

$300

TOWN OF MANTEO FEE SCHEDULE

Fee Schedule referenced in Codified Ordinance Article II Sec. 14-63 and adopted by the BOC during Budget approval every year

Gas Pumps

Fuel Tanks

Bulkheads/Piers

Electrical Permits Fees

New Construction-Residential

Remodel and Alteration

Review Fee (plus applicable fees below)

Service Change or Additional Service

Each additional circuit installed by an electrician

EV Charging Station (fee per site plan, not per charger)

Mechanical Permits Fees

New Construction-Residential

Remodel and Alteration

Fee (plus applicable fees below)

Plumbing Permits Fees

New Construction-Residential

Other Planning and Zoning Review and Application Fees

Text Amendment Request

per pump

per tank

per $1,000 based on cost

in building permit

per circuit

in building permit

in building permit

TOWN OF MANTEO FEE SCHEDULE

Fee Schedule referenced in Codified Ordinance Article II Sec. 14-63 and adopted by the BOC during Budget approval every year

Rezoning Request

Change of Use Permit if no site plan change is required

Change of Use Permit requiring submittal of a new site plan

Conditional Use Permit

Zoning Permit for Home Occupation

Zoning Permit

Board of Adjustment Variance Request

Combination Use Application

Combination Use Amendment Fee

Exempt Plat Review

Special Meeting Request by Applicant

Annexation Request

*Site plan approvals expire 12 months after the date of approval by the Planning and Zoning Board. After the expiration date of an approved site plan, a charge of 50% of initial review fee shall be paid for a re-submittal when the following conditions are met:

• A review fee has been paid

• Site Plan approval has expired

• No changes are being proposed in the re-submitted site plan

Recommended Fiscal Year 2024-2025

General Fund Revenues and Expenditures

GOVERNING BOARD

PLANNING BOARD

ADMINISTRATION

COMMUNITY & ECONOMIC DEVELOPMENT

TECHNOLOGY

PUBLIC BUILDINGS

Fiscal Year 2024-2025 Proposed Budget General Fund

FIRE PROTECTION SERVICES

POWELL BILL

MUSEUM/WATERFRONT OPERATIONS

PLANNING/ZONING

NON-DEPARTMENTAL

Fiscal Year 2024-2025 Proposed Budget

Fund

Budget Presentation Recommended Fiscal Year 2024-2025 Cemetery Fund Revenues and Expenditures

REVENUES

Recommended Fiscal Year 2024-2025

Budget Presentation

Water and Sewer Fund Revenues and Expenditures

ADMINISTRATION

WATER OPERATIONS

SEWER OPERATIONS

NON-DEPARTMENTAL