Board of Commissioners Approve Tax Rate Cut

FOR IMMEDIATE RELEASE: June 2, 2021
Contact: Kerri Melton, Assistant County Manager
(704) 484-4816
Kerri.melton@clevelandcountync.gov

BOARD OF COMMISSIONERS UNANIMOUSLY APPROVES 3.25 CENT 
TAX RATE CUT AS PART OF 2021-2022 FISCAL YEAR BUDGET

New county fiscal plan couples tax rate decrease with significant investments in public safety, economic development, and capital planning

SHELBY, NC – Following a public hearing at its June 1, 2021 meeting, the Cleveland County Board of Commissioners unanimously adopted the County’s budget for the 2021-2022 fiscal year. The new budget decreases the property tax rate by 3.25 cents while maintaining, and in some cases enhancing, the services and programs available to Cleveland County’s citizens. The tax rate changes includes a 2.25 cent decrease in the County General Tax rate and a 1.00 cent decrease in the County School tax rate.

“Very few local governments are in a position to enact tax rate decreases in the wake of the COVID-19 pandemic,” Chairman Doug Bridges said. “The fact that Cleveland County can do so, while continuing to provide a high level of service to our citizens, is a testament to our team’s fiscal prudence and careful planning.”

The budget process is carried out under the general direction of the Board of Commissioners. With the Board’s guidance, County staff plan for the financial management of over twenty-five County departments. This involves analyzing projected revenues from sources including property and sales taxes, state and federal funds, and grants from partner agencies. Staff then determine how the County can budget the available revenues to provide services and meet policy goals set by the Board of Commissioners.

“When the COVID-19 Pandemic first hit, our team immediately took a 'ReAct/ReBuild/ReThink’ approach to crisis management,” County Manager Brian Epley said. “This involved a total budget reset in March of 2020. After reacting to the immediate crisis and rebuilding over the last year, the 2021-22 budget process has been an opportunity to rethink how our team can do more with less by incorporating the lessons learned during the pandemic to streamline our operations moving forward.”

One example of the County doing more with less has been its focus on lean operations. “We have been intentionally focused on right-sizing county government,” Commissioner Johnny Hutchins said. “This is evidenced by the budget having grown only a little over 6 percent since 2015.”

The 2021-22 budget also continues the trend of providing competitive wages for County 
employees.

“As commissioners we continue to be committed to positioning Cleveland County Government as an employer of choice,” County Commissioner Deb Hardin said. “Competitive wages, minimal turnover, and an improved benefits package ensure the County can recruit and retain the talent necessary to Make Our Community Better.”

Despite a decrease in the County’s property tax rate, the 2021-22 budget includes significant investments in public safety, economic development, and capital planning. The Board of Commissioners’ commitment to public safety is most evident when analyzed over time. Since 2015, the cumulative investment in the Sheriff’s Department, Detention, EMS, Emergency Management, and E-911 Communications has increased by 39 percent to $19,608,050.

Examples of this investment at work in the new budget are the County’s first year of payment for a full fleet replacement of nine ambulances, a system-wide radio replacement for public safety employees, over $700,000 allocated to the replacement of Sheriff’s Department vehicles, and continued support for the County’s newest EMS base in Casar.

“This Board has prioritized ensuring that our public safety professionals have the best available tools at their disposal to protect and serve our community,” Commissioner Kevin Gordon said. “Before Cleveland County can be somewhere that people can live, work, and play, it first must be a place where people feel safe. We will continue to find cost-effective ways to invest in and support the people who look out for us and our families twenty-four hours a day, 365 days a year.”

The new budget also continues the County’s focus on economic development, as the County will again be appropriating funds to the Cleveland County Economic Development Partnership. Working with the Partnership, the County has recently recruited employers including Greenheck Fan Corporation and Benestar Brands. The County, in cooperation with the City of Shelby, is also actively marketing its latest Shell Building Project, which provides an opportunity for yet another major manufacturing employer to set up shop in Cleveland County.

“Economic development has been one of the Board of Commissioners’ highest priorities over the last ten to fifteen years, and we are now seeing the benefits of that,” Commissioner Johnny Hutchins said. “In addition to projects such as Clearwater and Greenheck, we are also excited at the continued development of the Catawba Indian Nation’s Two Kings Casino Resort. Cleveland County is positioned to be one of the leading counties in North Carolina for economic development in the Twenty-First Century. The benefits of our economic development success include job creation and increased tax revenue, which in turn lessens the tax burden on our county residents.”

Cleveland County is also staying the course on its five-year Capital Improvement Plan. Using this plan, the County is preparing for future capital needs at the detention center, courthouse, board of elections, and 911 call center. Staff are further beginning the process of co-locating the Health Department and Social Services Department into one location, which will result in further savings for taxpayers.

“Co-location is very different than operational consolidation,” Epley said. “This is a simple 
calculation that allows the County to avoid constructing a new building while moving DSS staff out of a facility that is nearing the end of its life. An added benefit to co-location is the ability to capitalize on shared operating costs. ”

The County’s overall financial health has been crucial in allowing the Board of Commissioners to continue to identify and pursue strategic priorities while not burdening taxpayers. As recently as 2017, Cleveland County received a bond rating upgrade from S&P/Moody’s and is now AA+ rated.

“This puts us in the top fifteen percent of counties in the State,” Commissioner Ronnie Whetstine said. “We are in a healthy financial position, with limited debt. As to the debt the County does  have, we are positioned to liquidate more than ninety percent over the next ten years.”

The entire 2021-22 Cleveland County Budget, along with budgets for past years, can be viewed at this link. Welcome to Cleveland County, NC
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