RUTHERFORDTON — In a year marked by rising costs and growing community needs, the Rutherford County Board of Commissioners approved a $87.7 million general fund budget for Fiscal Year 2025-26 in a vote on Thursday, up from $80.8 million the previous year. While tax rates held steady at $0.454 per $100 of assessed property value, the new budget reflects deeper investments in emergency services, education, and infrastructure.
Commissioners expand funding for schools, EMS, and capital projects while raising tipping fees and recycling costs.
In a budget meeting that went undocumented by county cameras and was only livestreamed by this reporter, Rutherford County Commissioners unanimously passed a spending plan for the 2025–26 fiscal year. Emotional public appeals, last-minute resolutions, and deep fiscal deliberations marked the Thursday night session. Here are the top ten takeaways from this consequential meeting:
1. Budget Adopted
The newly adopted budget totals $118,057,672, representing nearly 10% growth over the previous year. The General Fund alone accounts for $87.7 million.
2. SRO Deal Struck
In a surprise move following quiet coordination with the Rutherford County Board of Education, an agreement was made to ensure that every school has a School Resource Officer. The contract is made between the Sheriff’s Office and the schools.
3. Reserve Fund Usage Raises Eyebrows
The county will draw $6.1 million from its fund balance to meet budget needs. County Manager Steve Garrison, while confident in the county’s financial health, cautioned that continued reliance on reserves could lead to instability in future years.
4. COLA Boost for County Staff
Employees will receive a 4% cost-of-living raise—a move applauded by several commissioners who referenced rising consumer prices and the workforce’s sacrifices during COVID-19.
5. Five Fire Districts Increase Taxes
Bills Creek, Cherry Mountain, Chimney Rock, Cliffside, and Ellenboro all received approval to raise their local fire tax rates, citing increased service demands and equipment needs.
6. Economic Growth: Jobs vs. Incentives Debate
Rutherford County has added 325 new jobs and $81 million in private investment since 2022. Still, commissioners clarified that the $4 million in economic development incentives are performance-based and tied to new revenue, not drawn from existing taxpayers.
7. Public School Funding Gets a Nearly 10% Bump
The school system will receive $27.5 million from the county, including $1.48 million in teacher supplements. Commissioners said this could mean an extra $2,000 per teacher for classroom needs.
8. ICC’s County Support Jumps 29%
Isothermal Community College will get $5.4 million in funding, up nearly 30% from last year. The funds cover both operational and capital costs and reflect the commissioners’ commitment to local workforce development.
9. Convenience Centers to Reopen on Wednesdays
After years of advocacy by solid waste committee members, county-operated trash and recycling centers will once again be open on Wednesdays. The change was made possible by slight fee increases. No re-opening date has been announced.
10. Budget Built Around Storm Recovery
The financial blueprint was heavily influenced by the response to Hurricane Helene. The storm, which county leaders described as a “1,000-year event,” disrupted infrastructure and prompted a new cash flow strategy to avoid premature repayment before FEMA reimbursements are received.
Looking Ahead
While the county’s financial footing remains solid for now, leaders acknowledged that long-term costs—including school safety, workforce housing, and disaster preparedness—will require close monitoring and proactive planning. Garrison urged vigilance: “This budget is balanced, but it’s also bold. It assumes we will do our part to be accountable stewards for what’s next.”
Editor’s Note:
This reporter was the only journalist present at the meeting and livestreamed the proceedings
Rutherford County's Budget Evolution: What Changed Between FY24-25 and FY25-26 and What Stayed the Same
Both budgets preserved many core functions of county government. The property tax rate remained unchanged, and so did the general framework for fund administration. In both years, the county manager retained authority for budget transfers under $50,000 and certain project-related decisions. Many department-level appropriations, such as for Legal, Veterans Services, and Mental Health, remained nearly flat year-over-year.
What Changed: Revenue and Fund Balance
The FY25-26 budget increased total general fund revenues by nearly $6.9 million. That growth came from:
An increase in current-year ad valorem tax collections ($50.2M in FY25-26 vs. $49.0M in FY24-25)
A $4 million jump in fund balance appropriated ($6.1M vs. $2.4M)
Higher investment earnings ($2.0M vs. $1.5M)
A bump in sales and service revenue ($6.9M vs. $6.3M)
These additions reflect both higher expectations for revenue collections and a willingness to tap savings.
Added in FY25-26, But Not Funded in FY24-25
Public Schools: Local Teacher Supplements received $1.48 million in FY25-26, a new line item not present the year prior.
Capital Outlay Increase: Public School capital expenses jumped from $1M to $1.82M, and Isothermal Community College's capital funds grew from $700K to $1.7M.
EMS and Emergency Services: Emergency Services saw a $1 million increase, totaling $7.4M in FY25-26 versus $6.4M the year prior.
College and School Security: Funding rose significantly from $1.3M to $1.8M.
Sheriff's Department: Appropriation increased to $7.96M from $7.49M.
Solid Waste Enterprise Fund: Revenues and appropriations increased to $7.77M, up from $5.95M. This was accompanied by significant fee hikes, including:
Recycling fee: $45 (up from $13)
Household convenience fee: $190 (up from $160)
Fund Balance Allocation for Capital Maintenance: An additional $265,357 was earmarked for HVAC and roof replacement projects, up from $113,851 the previous year.
Debt Service: Payments increased by over $1.4M ($7.2M vs. $5.7M).
Public Health: Received a boost to $1.01M (up from $964K).
Service District Funding: Total revenue and appropriations rose to $8.4M from $7.99M, reflecting increased fire district tax rates in several areas.
Cut or Reduced in FY25-26
Social Services Program Funds were cut by about $200K ($3.25M vs. $3.45M).
Special Appropriations decreased slightly from $336,990 to $306,825.
Court Facilities funding dropped to $193,291 from $224,750.
Grant Fund Appropriations were not listed with a firm dollar figure in FY25-26, unlike FY24-25.
Contingency Funds increased to $1 million, suggesting other areas were slimmed to build reserves.
Policy and Fee Schedule Adjustments
EMS Rates increased across the board. For example, BLS Emergency rose from $638.58 to $654.00.
Re-inspection Fees increased to $100 from $75.
Solid Waste Tipping Fees rose for demolition and industrial materials.
Administrative Changes
The FY25-26 ordinance contains more detailed legal language around lease agreements and aircraft parking fees at the county airport. New protocols require renters to maintain up-to-date leases or face removal and penalty charges.
Looking Ahead
With major commitments to education, law enforcement, and infrastructure, the FY25-26 budget signals a shift toward long-term investment, despite public concern over fee hikes and fund balance use. The county continues to operate without a full-time Public Information Officer, relying on other staff for communications.
As Rutherford County grows, future budget cycles will likely revisit unresolved questions about transparency, service equity, and capital planning. For now, commissioners appear to have prioritized schools, safety, and solid waste, and funded them accordingly.
Share this post