Local Politics

Proposed Raleigh budget calls for tax increase to catch up on needs

Posted May 20, 2014

Downtown Raleigh skyline

— City Manager Ruffin Hall on Tuesday called for a tax increase to help Raleigh catch up on needs that were put off during the long recession.

Hall unveiled his proposed $750.6 million budget for 2014-15, and the City Council must approve a final spending plan by July 1.

The budget would require a 1-cent increase to the city tax rate. Combined with a 1.12-cent increase that voters approved last fall in a transportation bond referendum, Raleigh's new tax rate would be 40.38 cents per $100 valuation. The increases would add $42.40 to the tax bill of a $200,000 house.

The extra money would add nine police officers and building inspectors, expand street paving services, fund new parks and open a fire station on Leesville Road and a satellite operations center in northeast Raleigh.

“Population and service demand growth have rebounded since the Great Recession," Hall said in a statement. "Raleigh is investing additional operating and significant capital revenues in the highest return for our community."

His budget also proposes increasing the Solid Waste Services fee by $1 per month for residential customers to help pay for deferred equipment maintenance and replacement.

The City Council already has given preliminary approval to a 4.4 percent increase in sewer rates, along with an infrastructure replacement charge based on meter size to help replace aging infrastructure of the water distribution and wastewater systems. The increase would mean an extra $4.27 per month for the average single-family residential customer.

A public hearing on the proposed budget will be held at 7 p.m. June 3 in the council chamber of the Avery C. Upchurch Government Complex, at 222 W. Hargett St. The City Council will conduct budget deliberation sessions on June 2, June 9, June 16, June 23 and June 30, if needed. All sessions will be held at 4 p.m. in the council chamber.

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  • PanthersFan45 May 20, 7:26 p.m.

    Catch up on needs ? I didn't know we were behind.

  • rlwieland May 20, 6:49 p.m.

    Here we go with the tax increases. Ruffin says things have re-bounded, well I am sure the tax money the city taxes in has also rebounded so on top of that they get more money to spend. Raleigh has been good at managing its budget in the past, but this is a lot of tax increases coming down the pipe. I am sure with the new tax money coming in from the rebound you have enough without having to do this. Come on Council!