Final Adopted Budget FY23-24

General Fund Revenue Highlights

Revenues: Listed below is a summary chart of the major General Fund revenue estimates.

General Fund Revenue by Major Type Actual

Adopted 2023-24

Budget

Projected

2021-22

2022-23

2024-25

$ 184,164,293 $ 215,711,000 $ 234,109,000 $ 243,169,000

Property Tax

88,422,330 34,465,050 24,802,440 8,880,486 6,666,000 6,534,498

Sales Tax

79,744,749 34,781,495 21,349,114 9,916,873 9,799,468 17,072,478

78,765,000 33,765,365 23,319,691 8,581,115 6,366,000 6,040,943

92,382,210 34,536,550 24,933,537 8,539,826 6,366,000

Intergovernmental Revenue

User Charges Other Revenues Interfund Transfers

Appropriated Fund Balance

6,271,548 Total $ 356,828,470 $ 372,549,114 $ 403,879,804 $ 416,198,671

Property Tax The FY 23-24 General Fund budget is balanced with a 62.75 cent tax rate, a 4 cent increase from the current year. Property tax revenues are budgeted to increase $18.4 million, or 8.5%, to $234.1million. Tax base growth is projected at nearly 1.75% from FY 22-23 based on updated property values from the Guilford County Tax Department. The second year General Fund budget is balanced, with a 1.5 cent increase to the rate adopted in the FY 23-24 budget to 64.25 cents. Sales Tax Sales taxes have remained resilient and are projected to exceed current year budgeted amounts. Sales tax revenue is projected to increase by $9.7 million, 12.3% compared to the current year amended budget. For FY 23-24, sales tax receipts are projected to increase 4% compared to current estimates. Due to the impact of sales tax distribution based on the overall Guilford County tax levy, receipts for FY 23 24 are expected to decrease by approximately $3 million. This occurs when the City changes taxes rates at a lower rate compared to other jurisdictions in the county, primarily the Guilford County tax rate. The result is a projected sales tax growth of almost 7.5%. A portion of the sales tax, $2 million, previously provided to support the Transit Fund, is not included in the FY 23-24 adopted General Fund budget. Intergovernmental Revenue Intergovernmental revenues include those revenues that are collected by the State of North Carolina and returned to local governments, such as the Beer and Wine Tax, Utility Sales Taxes, various cable and satellite service sales taxes (now shared with local governments through the Video Services Competition Act), and portions of the state tax on gasoline. This revenue category also includes contributions from Guilford County for support to the City’s Library System. Intergovernmental revenues are budgeted at approximately $34.5 million, about $700,000, 2% more than the current year budget of $33.8 million. Electric Utility and Piped Natural Gas sales tax revenues are budgeted at $19.5 million, $1.4 million higher than FY 22-23. Telecommunications sales tax is expected to decrease approximately $800,000. This is a continuation of recent trends in decreased revenues as consumers limit satellite, phone, and other at home services. Other state shared revenues are expected to remain largely flat overall. Shared revenues from beer, wine, and the City’s share of the local ABC distribution of sales taxes are projected to remain approximately the same at $6.6 million, with less than 1% growth projected. Recent information shared by the local ABC Board indicates that growth in the distribution may be limited in the coming year due to operational needs.

Adopted 2023-24 Budget

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