Winston-Salem officials are proposing a tight budget for the next fiscal year, citing rising costs driven in part by inflation and higher prices for major equipment.
Construction expenses are up more than 80%, and the price of new fire trucks has nearly doubled. That’s what city manager Pat Pate told council as he presented what he called a “no frills” budget.
“There are not a lot of new initiatives and new programs in here," he said during a meeting on Monday.
Pate says city revenue hasn’t kept pace with inflation, even after the tax increase many property owners saw following last year’s revaluation. This year’s budget includes another hike, but a smaller one — 4.6%.
The proposal also includes a 5% increase in water and sewer rates, along with higher fees for services like park shelter rentals and landfill use.
The plan comes as state lawmakers weigh new limits on how much local governments can raise property taxes, adding another layer of scrutiny for city officials.
“I think we're being watched very carefully by folks in Raleigh," said Council Member Robert Clark. "I don't want to get into what happened last year. But it wasn't our fault, with the average citizen seeing a mighty big number because we followed the plan that the state put together."
Next year’s plan is not yet final. The city will hold three workshops and a public hearing before voting on June 1.