Council gives nod to $1.6 million budget; keeps same tax rate

The Sparta Town Council last week unanimously approved its 2002-03 budget. The budget was much the same as the preliminary budget Town Manager Tom Douglas presented last month. It allocates $150,000 from the unappropriated fund balance to help offset the state potentially withholding franchise tax reimbursements to local governments. In a separate but closely-related vote, council kept the town's property tax rate at 20 cents per $100 valuation and continued the policy of allowing a 2 percent discount on taxes paid in July and August. Garbage fees will increase from $4 to $5.

Council did not receive any comments during the public hearing held on the budget, just before it passed the budget during its June 4 meeting.

Douglas said an error was found and corrected, and thus $50,000 was added to the general fund. With that amendment, the total budget is $1,628,641, including $972,461 in the general fund and $656,180 in water and sewer. Each total represents about a one-half percent decrease from 2001-02. "I think it's a good budget," said Mayor John H. Miller. "The last thing we want to do is raise our town taxes, and we won't have to do that this year."

Gov. Mike Easley had previously announced plans to withhold the reimbursements. Douglas said that in the proposed budget Easley sent to the N.C. House of Representatives, the franchise tax reimbursements are not withheld.

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