DATE: Wednesday, June 18, 1997              TAG: 9706180552

SECTION: LOCAL                   PAGE: B1   EDITION: NORTH CAROLINA 

SOURCE: BY JEFFREY S. HAMPTON, STAFF WRITER 

                                            LENGTH:  144 lines

ELIZABETH CITY DOES ABOUT-FACE ON TAX HIKE TAXES IN OTHER TOWNS RUN GAMUT FROM 3-CENT CUT TO 7-CENT INCREASE

Counties and cities in northeastern North Carolina have approved 1997-98 budgets with tax rates ranging from a 7-cent increase in Dare County to a 3-cent decrease in Currituck County.

Most of the governing boards sought to put away money for large capital projects, even if it meant a tax increase.

Here is a summary of some local spending plans:

Elizabeth City

In a sudden change of plans, Elizabeth City Council reduced employee pay increases rather than charge a 1-cent tax increase prompting one of its members to call foul. The action came at a Monday public hearing.

Tuesday, Mayor Pro Tempore Anita Hummer accused Mayor Rick Gardner and the rest of council of meeting behind the public's back after it refused for a third time her motion to include a counselor for battered women in this year's budget.

``What took place last night just made me sick,'' said Hummer who believes she is being ostracized by the rest of council because of her hard stance on the $34,000 a year domestic violence coordinator. ``I feel like walking away from this because of what has gone on.''

Gardner denied any secret meetings and said he had no hard feelings toward Hummer.

``I can honestly say I have no knowledge of meeting behind anyone's back,'' Gardner said Tuesday. ``I don't see a personal conspiracy against Mrs. Hummer. She is very strong-willed about things she'd like to see happen, and it's difficult for her when it doesn't happen.''

Hummer said she would announce July 3 whether to run against Gardner for mayor this fall.

On Thursday, the council agreed to a 1-cent tax increase in the 1997-98 budget to begin July 1. The tax would have raised about $48,000 for a capital reserve fund.

But at Monday's meeting, Councilman Lloyd Griffin made the motion to reduce a cost-of-living raise for city employees to 1.3 percent from 2.3 percent. All but Hummer voted for it.

The city will save $58,000 for its capital reserve fund, but it does not provide for next year.

``Next year, we'll have to take whatever action necessary,'' Gardner said. ``The value of some properties will increase, which will take care of some of that.''

City Manager Steven Harrell said 58 employees received a 2.5 percent increase in January to bring them up to the minimum of the market value for their job. Every employee received $250 in December in addition to the normal $125 Christmas bonus. All employees received a 2.4 percent increase when the current budget passed last June.

Harrell said there is a new vision care benefit in the city health care plan at no additional cost.

Before Griffin's motion, Hummer moved to add the domestic violence coordinator to the budget. Working with Harrell on Monday,she found an extra $61,000 in the revenues to pay for the post.

The N.C. Department of Transportation agreed to replace Charles Creek Bridge saving the city $48,000 in Powell Bill money. Hummer used $27,000 of that, a $20,000 surplus from the water and sewer department, and another $14,000 saved by not having to purchase a senior center van.

Hummer presented the plan hopeful of council's approval. The motion died for lack of a second.

Elizabeth City passed a $37.7 million budget, $1 million more than the 1996-97 budget.

Currituck County

The Currituck County Board passed a $20.7 million budget Monday with a 3-cent decrease in the tax rate. The reduction is offset by the increase in land values in most of the county.

Overall the county's land value rose to $1.8 billion from $1.5 billion. The tax rate will be 64 cents per $100 of valuation beginning July 1.

At Monday's meeting, only Commissioner Ernie Bowden voted against the budget. Bowden opposed the tax decrease.

``I think this is an opportunity to build a reserve to fund these capital projects,'' Bowden said.

Dare County

Dare County on June 3 passed a $52.3 budget balanced by a 7-cent tax increase.

The hike helps pay for a 5 percent pay raise for employees, a new EMS station in Southern Shores, and state-mandated teacher pay increases. The tax rate is now 40 cents per $100 valuation. The rate hike takes effect July 1.

The general fund budget jumped from $35.6 million to $39.3 million.

The spending plan passed 4 to 3, following a heated debate along party lines.

Pasquotank County

The Pasquotank County Commissioners avoided the largest tax increase in its history by voting down a recreation tax and a fire tax in its $17.8 million budget for 1997-98.

The county will charge its residents a $95 annual trash disposal fee. The new budget is $1.1 million more than this year. A public hearing will be held June 30.

The trash disposal fee helps pay for a $22 million debt in school construction. The property tax remains at 77 cents per $100 valuation.

Edenton

The Edenton board passed a $13.1 million budget June 10 with no tax increases and no rate increases. The budget is $1.3 million less than last year.

``We finished up a lot of major capital projects this year,'' said Anne-Marie Knighton, Edenton city manager.

The tax rate in Edenton is 39.5 cents per $100 valuation.

Camden County

Camden County Commissioners passed a $5.2 million budget Monday, more than $4 million less than the current budget.

The budget reduction comes after the completion of capital projects, including the social services building, a new courtroom and a water project in South Camden.

The budget included no tax increase on the rate of 75 cents per $100 valuation. County commissioners did raise fees for the Joyce Creek Drainage District to 2 cents from 1 cent per $100 valuation.

Chowan County

Chowan County Commissioners Monday passed a $12.8 million budget with a tax increase of three cents per $100 valuation.

Chowan County's rate is now 80 cents. Last year's budget was $12.2 million. The new rate takes effect July 1.

Commissioners are considering rate increases some time next year on the 60 cents a month telephone user fees. The fees pay for 911 services. They may also increase the fees for emergency calls. The fees are adjusted according to mileage.

Gates County

Gates County commissioners propose a $7 million budget which includes a 2-cent tax increase. The rate will go up to 90 cents per $100 valuation July 1.

Last year's budget was $6.3 million. Much of the increase comes because of a $6 million school construction project. The annual debt service on the project will be $566,000.

County Manager Ed McDuffie said that a 1-cent increase in taxes raises only about $30,000, so to balance the 1997-98 budget, commissioners will have to pull from several other funds including a half cent from sales tax.

The public hearing on the budget will be June 23.

Perquimans County

Perquimans County commissioners passed an $8.3 million budget June 9 that includes no rate or tax increases.

Last year's budget was $7.9 million. The increase comes from the water and sewer fund jumping from $595,000 to just more than $1 million to pay for a new $4.25 million water plant in Bethel. Solid waste funds, industrial development and court facilities funds remained about the same.

The tax rate remains at 78 cents per $100 valuation for the fourth straight year.

Hertford

The City of Hertford passed June 9 a $3.7 million budget with no tax or fee increases.

The budget barely climbs over the $3.6 million budget of last year. The tax rate remains at 47 cents per $100 valuation.

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