After Helene, reduced revenues result in Buncombe County hiring freeze

After Helene, reduced revenues result in Buncombe County hiring freeze

ASHEVILLE – Citing reduced revenues in the aftermath of Tropical Storm Helene, Buncombe County has implemented a hiring freeze affecting more than 80 vacant positions across all county departments, except those in its 911 and public safety communications department.

The hiring freeze, if it remains in effect through the remainder of the fiscal year, which ends in June, is slated to save the county $2 million, county spokesperson Lillian Govus told the Citizen Times in a Jan. 13 email.

Any requests to fill staff vacancies moving forward will be reviewed on a case-by-case basis, Govus said.

The county announced the hiring freeze in a Jan. 10 news release related to the scheduled re-opening of the Swannanoa Library and the modified schedule six of the county’s 12 libraries are adopting due to staff shortages and the county’s budget restrictions.

Some locations, like branches in Oakley and Weaverville, will have their operating schedules reduced by one or two days per week, the release said. Other branches that see more use, like Pack Memorial Library in downtown Asheville and the West Asheville Library on Haywood Road, will continue with their current operating schedules, according to the county.

“As Buncombe County shifts priorities from emergency response to recovery, it is vitally important to maintain our cultural assets while balancing fiscal responsibility,” Assistant County Manager Tim Love said in the release. “While we don’t have a projected timeframe for this new schedule, this is not intended to be a permanent change to operations but will help us get through this period of budget and staffing strain.”

Govus said that Helene’s budgetary impact will inform the county’s financial decisions for the remainder of the fiscal year.

While some library system staff will have to work at more than one location, all employees will retain current scheduled hours and compensation, the county said.

The library system’s budget for the 2024-25 fiscal year is $9.2 million, a more than 5% increase from the previous year.

Helene’s budgetary impact still unclear

More than 60% of county’s main operating funds come from property tax revenue. At 51.76 cents per $100 of assessed valuation, the county’s property tax is expected to generate more than $276 million in revenue for the county this fiscal year.

While the Citizen Times previously reported that Helene damaged more than 9,000 residential units in the county along with other properties, the damage sustained shouldn’t affect the amount the county is expecting to collect from 2024 property tax payments. State law doesn’t allow property tax waivers due to natural disasters, even if a home is destroyed. The final day to pay property taxes before becoming delinquent was Jan. 6.

It’s still unclear how much a financial hit the county will take next fiscal year, with expected lower valuations for damaged and destroyed properties. New property valuations, which were previously scheduled for 2025, have been delayed at least a year, to 2026, though the county’s tax department began assessing damaged properties for revaluation soon after the storm swept through the region Sept. 27.

The county could make up any future budgetary shortfall through a property tax increase that would go into effect next fiscal year. The Buncombe County Board of Commissioners, who set the rate, are holding a budget retreat Jan. 16, where Helene’s impact on the county’s finances will likely be discussed. Property tax rates are typically set in June.

Also unclear is the effect Helene has had, and will have, on sales tax revenue, which accounts for more than $46 million, or 11% of the county’s general fund balance. Helene hit during what’s typically a busy time of year for businesses serving the tourist industry, which generates $3 billion annually and accounts for 20% of the local economy.

In November, Buncombe County’s Tourism Development Authority estimated that the county would see a 70% decline in tourism in the last quarter of 2024. For businesses, that could mean a $584 million loss in revenue, the Citizen Times previously reported.

Jacob Biba is the county watchdog reporter at the Asheville Citizen Times, part of the USA TODAY Network. Email him at [email protected].

By admin

Leave a Reply

Your email address will not be published. Required fields are marked *