HomeMy WebLinkAboutJune 29, 2026 Special Session MeetingAGENDA
Lillington Board of Commissioners
Special Meeting
Lillington Town Hall
102 East Front Street
Lillington, North Carolina 27546
June 29, 2026 8:30am
PUBLIC HEARING Item #1 Public Hearing for Consideration of Approval of Proposed Fiscal Year (FY) 2026-2027
Town of Lillington Annual Budget per § 159-13.
Joseph Jeffries, Town Manager
Item #1A Consideration of Approval of FY2026-2027 Budget Ordinance. Joseph Jeffries, Town Manager
NEW BUSINESS Item #2 Discussion and Consideration of a Resolution Adopting a Town of Lillington Fire Protection Tax Rate Allocation Policy Joseph Jeffries, Town Manager
Item #3 Discussion of Bids for Golden Leaf Project
Alicia Adams, Assistant Town Manager
Item #4 Consideration of Approval of FY25-26 Budget Amendment #7 Lisa Young, Deputy Town Manager
ADJOURNMENT
AGENDA ITEM SUMMARY
Date of Meeting: June 29, 2026
Staff Work By: Joseph Jeffries, Town Manager
Lisa Young, Assistant Town Manager
AGENDA ITEM
Public Hearing for Consideration of Approval of Proposed Fiscal Year (FY) 2026-2027 Town of
Lillington Annual Budget per § 159-13.
TYPE OF PUBLIC HEARING Legislative
ITEM SUMMARY
Consideration of adoption of the annual budget for the upcoming fiscal year as defined by § 159-8:
§ 159-8. Annual balanced budget ordinance.
(a)Each local government and public authority shall operate under an annual balanced
budget ordinance adopted and administered in accordance with this Article. A budget ordinance
is balanced when the sum of estimated net revenues and appropriated fund balances is equal to
appropriations. Appropriated fund balance in any fund shall not exceed the sum of cash and
investments minus the sum of liabilities, encumbrances, and deferred revenues arising from cash
receipts, as those figures stand at the close of the fiscal year next proceeding the budget year. It is
the intent of this Article that, except for moneys expended pursuant to a project ordinance or
accounted for in an intragovernmental service fund or a trust and agency fund excluded from the
budget ordinance under G.S. 159-13(a), all moneys received and expended by a local
government or public authority should be included in the budget ordinance. Therefore,
notwithstanding any other provision of law, no local government or public authority may expend
any moneys, regardless of their source (including moneys derived from bond proceeds, federal,
state, or private grants or loans, or special assessments), except in accordance with a budget
ordinance or project ordinance adopted under this Article or through an intragovernmental
service fund or trust and agency fund properly excluded from the budget ordinance.
(b)The budget ordinance of a unit of local government shall cover a fiscal year
beginning July 1 and ending June 30. The budget ordinance of a public authority shall cover a
fiscal year beginning July 1 and ending June 30, except that the Local Government Commission,
AGENDA ITEM #1-1A
if it determines that a different fiscal year would facilitate the authority's financial operations,
may enter an order permitting an authority to operate under a fiscal year other than from July 1 to
June 30. If the Commission does permit an authority to operate under an altered fiscal year, the
Commission's order shall also modify the budget calendar set forth in G.S. 159-10 through
159-13 so as to provide a new budget calendar for the altered fiscal year that will clearly enable
the authority to comply with the intent of this Part. (1971, c. 780, s. 1; 1973, c. 474, s. 5; 1975, c.
514, s. 3; 1979, c. 402, s. 1; 1981, c. 685, s. 2.)
RECOMMENDED ACTION
Approve FY2026-2027 Town of Lillington Budget as submitted by staff.
TOWN OF LILLINGTON
102 East Front Street ● P.O. Box 296 ● Lillington, North Carolina 27546 Phone: (910) 893-2654 ● Fax (910) 893-3693 ● www.lillingtonnc.org
ORDINANCE FY2026-23
BUDGET ORDINANCE FOR FISCAL YEAR (FY) 2026-2027
BE IT ORDAINED by the Board of Commissioners of the Town of Lillington, North Carolina,
in accordance with G.S. 159-13 of the North Carolina General Statutes, that:
Section 1. General Fund
The following amounts are hereby appropriated in the General Fund for the operation of the
town government and its activities for the fiscal year beginning July 1, 2026, and ending June 30,
2027, in accordance with the chart of accounts heretofore established for the Town:
Governing Body $ 1,384,600
Administration 640,900
Planning 574,550
Inspections 585,400
Finance 726,800
Engineering & Public Works 1,606,100
Police 2,416,050
Fire 1,364,950
Flatwoods Fire District 224,150
Recreation 1,049,450
Debt Service 671,000
Total Expenditures $ 11,243,950
It is estimated that the following revenues will be available in the General Fund for the fiscal
year beginning July 1, 2026, and ending June 30, 2027:
Property Taxes $ 6,010,000
Motor Vehicles 450,000
Prior Year’s Property Tax 8,000
Tax Penalties & Interest 11,000
Inspection Fees/Permits 590,000
Flatwoods Fire District 224,150
Other Revenues 3,950,800
Total Revenues $ 11,243,950
Town of Lillington FY26-27 Budget | 2
102 East Front Street ● P.O. Box 296 ● Lillington, North Carolina 27546 Phone: (910) 893-2654 ● Fax (910) 893-3693 ● www.lillingtonnc.org
Section 2. Powell Bill Fund
The following amounts are hereby appropriated in the Powell Bill Fund for the fiscal year
beginning July 1, 2026, and ending June 30, 2027, in accordance with the chart of accounts
heretofore established for the Town:
Total Expenditures $ 177,000
It is estimated that the following revenues will be available in the Powell Bill Fund for the fiscal
year beginning July 1, 2026, and ending June 30, 2027:
Total Revenues $ 177,000
Section 3. Water/Sewer Fund
The following amounts are hereby appropriated in the Water/Sewer Fund for the fiscal year
beginning July 1, 2026, and ending June 30, 2027, in accordance with the chart of accounts
heretofore established for the Town
Total Expenditures $ 3,452,000
It is estimated that the following revenues will be available in the Water/Sewer Fund for the
fiscal year beginning July 1, 2026, and ending June 30, 2027:
Water Sales $ 1,765,000
Sewer Sales 1,505,000
Other Revenue 182,000
Total Revenue $ 3,452,000
Section 4. Stormwater Fund
The following amounts are hereby appropriated in the Stormwater Fund for the fiscal year
beginning July 1, 2026, and ending June 30, 2027, in accordance with the chart of accounts
heretofore established for the Town
Total Expenditures $ 442,500
It is estimated that the following revenues will be available in the Stormwater Fund for the fiscal
year beginning July 1, 2026, and ending June 30, 2027:
Total Revenue $ 442,500
Town of Lillington FY26-27 Budget | 3
102 East Front Street ● P.O. Box 296 ● Lillington, North Carolina 27546 Phone: (910) 893-2654 ● Fax (910) 893-3693 ● www.lillingtonnc.org
Section 5. Board of Commissioners
The following is the salary schedule for the Town of Lillington Board of Commissioners for the
fiscal year beginning July 1, 2026 and ending June 30, 2027:
Mayor $ 2,633
Commissioners $ 1,757
In addition, the Board will receive an insurance stipend at the rate of $1,020.00 per month for FY
2026-2027.
Section 6. Tax Levy
There is hereby levied a tax at a rate of $0.58 (fifty-eight cents) per $100 valuation of property
listed as of January 1, 2026, for the purpose of raising revenues listed as Ad Valorem Tax which
includes Current Year for Property and Motor Vehicle in the General Fund in Section 1 of this
ordinance. The rate of tax, for the purpose of taxation is based upon an estimated valuation of
property $1,044,034,395 a projected levy of $6,055,399 and an estimated collection rate of
99.43%. Motor vehicles estimated valuation of $78,561,176, a projected levy of $455,654 and
an estimated collection rate of 100%. The revenue-neutral tax rate, as defined by G.S. 159-11(e),
is the rate estimated to produce revenue for the next fiscal year equal to the revenue that would
have been produced for the next fiscal year by the current tax rate if no reappraisal had occurred.
The tax rate that would produce the same levy as the current tax rate on the new valuation is
40.13 cents.
Section 7. Insurance
The Board of Commissioners has authorized the Fiscal Year 2026-2027 Budget to include the
following cost sharing for insurance based on the employee’s full-time equivalency (part time
employees will not be eligible).
Employee Only - Health: $ 1,020.03
Dental: $ 35.86
Vision: $ 5.49
Section 8. Fees
The Board of Commissioners hereby declares that all fees that the Town has authority to charge
on July 1, 2026 to be in effect during Fiscal Year 2026-2027 as set forth in Attachment A.
Town of Lillington FY26-27 Budget | 4
102 East Front Street ● P.O. Box 296 ● Lillington, North Carolina 27546 Phone: (910) 893-2654 ● Fax (910) 893-3693 ● www.lillingtonnc.org
Section 9. Special Authorization – Budget Officer
A.The Town Manager shall serve as Budget Officer
B.The Budget Officer is authorized to effect interdepartmental and intradepartmental
transfers of $1,500 or less. Notification of all transfers shall be made to the Board of
Commissioners at the next regular meeting following the transfer.
Section 10. Document Availability
Copies of this Budget Ordinance shall be furnished to the Budget Officer, Clerk to the Board of
Commissioners and the Finance Officer to be kept on file by them for their direction in the
disbursement of funds.
Adopted this 29th day of June, 2026
_____________________________
Glenn McFadden, Mayor
Attest:
____________________________
Lindsey B. Lucas, Town Clerk
AGENDA ITEM SUMMARY
Date of Meeting: June 29, 2026
Staff Work By: Joseph Jeffries, Town Manager
AGENDA ITEM
Discussion and Consideration of a Resolution Adopting a Town of Lillington Fire Protection Tax Rate Allocation Policy
ITEM SUMMARY
Attached for your consideration is a Resolution Adopting a Town of Lillington Fire Protection
Tax Rate Allocation Policy
RECOMMENDED ACTION
Approve Resolution Adopting a Town of Lillington Fire Protection Tax Rate Allocation Policy
AGENDA ITEM #2
TOWN OF LILLINGTON
RESOLUTION FY 2026-22
TOWN OF LILLINGTON FIRE PROTECTION TAX RATE ALLOCATION POLICY WHEREAS, the Town of Lillington Board of Commissioners recognizes that fire protection services are among the most critical public services provided to the citizens, businesses, and visitors of the Town; and
WHEREAS, the Board of Commissioners desires to provide transparency regarding the funding
of fire protection services and to educate taxpayers on the use of municipal property tax revenues; and WHEREAS, the Board recognizes the significant annual costs associated with providing fire
protection services, including personnel, equipment, apparatus, facilities, training, emergency
response, and long-term capital needs; and WHEREAS, the Board desires to establish a policy identifying a portion of the annual property tax rate that is intended to support fire protection services;
NOW, THEREFORE, BE IT RESOLVED BY THE TOWN OF LILLINGTON BOARD OF COMMISSIONERS THAT THE FOLLOWING FIRE PROTECTION TAX RATE ALLOCATION POLICY BE ESTABLISHED.
Section 1. – Purpose
The purpose of this policy is to provide transparency regarding the funding of fire protection services and to communicate the Board of Commissioners' commitment to maintaining a high level of fire protection for the citizens of Lillington.
This policy is intended as a budgeting and financial planning guideline and shall not create a legally restricted fund, dedicated revenue source, or obligation upon future Boards of Commissioners.
Section 2. – Policy
For the annual budget adopted for Fiscal Year ________, the Town property tax rate is established at fifty-eight cents ($0.58) per one hundred dollars ($100) of assessed valuation.
The Town of Lillington Board of Commissioners hereby establishes a policy that approximately fifteen cents ($0.15) of the adopted property tax rate be allocated within the annual budget to
support fire protection services.
Fire protection expenditures may include, but are not limited to:
• Fire department personnel and staffing costs;• Fire suppression and emergency response operations;
• Fire apparatus, vehicles, and equipment purchases and replacement;
• Fire station facilities, maintenance, and improvements;• Training, certification, and professional development;• Debt service related to fire department capital projects; and• Other fire protection purposes as determined by the Board of Commissioners.
Section 3. – Taxpayer Education
The Board of Commissioners recognizes the importance of providing taxpayers with information regarding the effective use of the Town's property tax rate.
For educational and budgetary planning purposes, approximately fifteen cents ($0.15) of the Town's fifty-eight-cent ($0.58) property tax rate is intended to support fire protection services. This allocation demonstrates the Board's commitment to public safety and the protection of life and property within the Town of Lillington.
Section 4. – Annual Review
This policy shall be reviewed annually during the budget development process. The allocation identified herein is a statement of the current Board's fiscal priorities and may be
modified, suspended, or repealed by the Board of Commissioners at any time.
Nothing contained in this policy shall bind future Boards of Commissioners or require the continuation of any specific tax allocation in future fiscal years.
This policy shall remain in effect until amended by the Board of Commissioners.
Adopted this 29th day of June, 2026.
___________________________________
Glenn McFadden, Mayor
Attest:
____________________________ Lindsey B. Lucas, Town Clerk
AGENDA ITEM SUMMARY
Date of Meeting: 06/29/2026
Staff Work By: Alicia Adams, Assistant Town Manager
AGENDA ITEM
Discussion of Bids for Golden Leaf Project
ITEM SUMMARY Discussion of Bids for Golden Leaf Project
ACTION REQUIRED
No Action Required.
AGENDA ITEM #3
AGENDA ITEM SUMMARY
Date of Meeting: June 29, 2026
Staff Work By: Lisa Young, Deputy Town Manager
AGENDA ITEM
Consideration and Approval of FY25-26 Budget Amendment #7
ITEM SUMMARY
The purpose of this agenda item is to approve a budget amendment to budget funds for year-end adjustments
RECOMMENDED ACTION
Approve FY25-26 Budget Amendment #7.
AGENDA ITEM #4
TOWN OF LILLINGTON
102 East Front Street ● P.O. Box 296 ● Lillington, North Carolina 27546 Phone: (910) 893-2654 ● Fax (910) 893-3693 ● www.lillingtonnc.org
ORDINANCE FY2026-24
BUDGET ORDINANCE AMENDMENT
FISCAL YEAR 2025-2026
#7
BE IT ORDAINED, by the Governing Board of the Town of Lillington, North Carolina, that the
following amendment is made to the budget ordinance for the period ending June 30, 2026:
Section 1. To amend the General, Powell and Water/Sewer Funds, the revenues and
expenditures are to be changed as follows:
Account Number Description Increase Decrease
10-00-410-5700 Miscellaneous $ 12,400
10-00-421-0200 Salaries & Wages $ 25,000
10-00-411-0200 Salaries & Wages $ 18,000
10-80-620-0200 Salaries & Wages $ 33,000
10-00-470-0200 Salaries & Wages $ 10,000
10-10-510-0200 Salaries & Wages $ 100,000
10-10-530-0200 Salaries & Wages $ 100,000
10-00-411-1400 Training & Travel $ 5,000
10-00-410-1400 Training & Travel $ 11,600
Town of Lillington | 2
102 East Front Street ● P.O. Box 296 ● Lillington, North Carolina 27546 Phone: (910) 893-2654 ● Fax (910) 893-3693 ● www.lillingtonnc.org
10-00-411-0700 Retirement $ 10,000
10-20-500-4500 Contracted Services $ 140,000
10-00-410-5900 Special Events $ 5,000
10-10-530-7400 Capital Outlay $ 75,000
10-10-530-5700 Miscellaneous $ 11,000
10-00-345-0000 Sales & Use Tax $ 350,000
10-00-355-1900 Engineering Fees $ 60,000
10-00-336-0000 Recreation Fees $ 20,000
10-00-326-0000 Sanitation Fees $ 60,000
60-90-720-3310 Water Purchases $ 60,000
60-91-371-1000 Sewer Revenue $ 60,000
To budget funds for salary adjustments, emergency repair to fire truck, year-end adjustments.
Section 2. Copies of this budget amendment shall be furnished to the Governing Body,
Budget Officer, Clerk and the Finance Director for their direction.
Adopted this 29th day of June, 2026
__________________________ Glenn McFadden, Mayor Attest:
__________________________
Lindsey B. Lucas, Town Clerk