OPENPUBLICA · PUBLIC MEETING RECORD
Record of Proceedings

Charlotte City Council Budget Workshop: FY 2025 Adjustments Considered on May 20, 2024

City CouncilMonday, May 20, 2024
BodyCharlotte, North Carolina
SessionCity Council
DateMonday, May 20, 2024
StatusFILED
Video Record

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Transcript — Verbatim
0:00

Good afternoon, Marjorie Molina, District 5.

0:03

Good afternoon, Dante Anderson, Mayor Pro Tum.

0:06

Dimelashmer, Dimple Rajmara at large.

0:11

Marcus Jones, City Manager.

0:13

May Alcal Graham, District 2.

0:15

Ed Dries, District 7.

0:19

Good afternoon, Lawana Mayfield, Councilmember at Large.

0:22

Good afternoon, Victoria Watlington at large.

0:25

Ryan Bergman, budget director.

0:27

Teresa Smith, CFO.

0:29

Thank you very much.

0:34

He has an conflict, but will join us as soon as possible.

0:41

So this meeting is really one of the times that we work on the most important responsibilities that we have as a city council, which is to review and discuss the proposed budget.

0:53

The manager presented his budget, and thank you for all of the hard work of the budget team and the many people that um made this possible for us to be able to begin this discussion.

1:05

He the manager has recommended to us and presented us a proposed budget that is balanced and incorporates the resources towards our strategic priorities that were decided at this council retreat.

1:18

The purpose of this meeting is to think about any potential adjustments that members of the council would choose to have incorporated in the budget before adoption.

1:31

Now we have a process for today's meeting, and it's a little bit different because our budget is a little bit different this year.

1:40

Since the manager is recommending a tax increase this year, as we're talking about what adjustments council members might like to make, we'd like to have a process that would be followed would follow this idea.

1:55

Is that while we have a balanced and structured budget that keeps us in the good graces of our finances of being a triple A and a triple A and a triple A and all of those things, in order to continue that kind of successful financial foundation, we would like for you to suggest if you have a change in the budget, there are a couple of ways to do this.

2:17

That if you have something that requires a cost differential interval, that we can just turn it over to the staff to help for you create something, then that means that kind of cost will come back at our next meeting.

2:34

But I'd also like to have you think about another one, um, is that there are a ways that if we have want to make changes, there's always the opportunity to defer or delay another item in the budget so that we balance to where we were with the manager's recommendation.

2:53

In addition, for those that have changes, and even though the cost may not be exactly correct, we will be adding that to the tax increase of 1.5.

3:05

So if you say I want to do this cost, then we'll say what is it cost to add that to the consideration of the tax increase.

3:14

So there are three options again.

3:15

If you have an adjustment that you would like to have, you can recommend have you could recommend a reduction you or delay or a deferral of another item, or we will add it to the tax increase just to keep us in focus.

3:30

If the staff is going to have to make adjustments to that cost, they will, but we need to kind of get a handle on what we're talking about today so that we can be successful because we do want to adopt this budget on June on June the 10th.

3:46

Thank you.

3:47

All right, so there will be two rounds for each of the discussions coming around, and so we can start off and have each council member um talk about any adjustments that they want to make.

4:00

The staff will keep a running list of changes, and then we can come back.

4:06

Now remember in our process that we have a requirement or have had always had a requirement that if five or more votes at the end of our discussion of everything that we're going to add, that it takes five or more votes of the council members, all of us voting to support any of the changes that have been recommended.

4:28

So for those of you in the room, that's a lot of budgetes, which we're all capable of following, I'm sure.

4:35

So let's um get to it to start off with um our process for today.

4:42

Now, let's why don't we go ahead and start with Ms.

4:45

Watlington and we'll come this way and then on the next round, we'll start with Miss Molina.

4:54

Can you um can you circle back to me last?

4:58

We can come around.

5:00

Miss Mayfield, are you ready?

5:00

I would say that's not a bit that we're around.

5:03

I got hopefully this idea.

5:08

Oh, Miss Molina.

5:12

I don't mean I actually was hoping to go last, so I I agree with the order it's that we need to just get Mayor instead of trying to go around.

5:19

I know some people have some questions they want to ask.

5:22

May I suggest that we just do oh we're just doing the day, just raise our hand if you're ready.

5:28

I think that we're we're first of all, this isn't just for questions, it is to actually ask what changes you would like to have for the budget.

5:36

So let's be more affirmative around what we're trying to accomplish here.

5:40

Um I think we've had a chance for everyone to have um a discussion with the manager or the staff about this, but I do think that Mr.

5:50

Graham has agreed that he would be the first, and we'll go this way and come around.

5:56

Well, all right, Mr.

5:57

Graham.

5:58

So the staff will again just remember it'll be up posted up there the item.

6:03

We we use the word ad, but I'd like to say instead of delete, it could be deferred or delay, and then we'll keep going from there.

6:11

Mr.

6:11

Graham, thank you for starting us off.

6:13

Thank you.

6:14

Thank you, madam mayor and and and members of council.

6:16

I I really don't have much.

6:18

I'll take an opportunity to uh review the budget in its entirety.

6:23

Um the manager's letter uh and uh the executive summary as well as uh thumbing through the the budget.

6:30

Um as many of you have heard me say it before.

6:33

Uh I think that the budget reflects the values of the city, reflects the growing nature of our community.

Discussion Breakdown — Share of Meeting
Budget Equity Analysis███████████████████████████27%
Public Safety█████████████████17%
Public Engagement█████████████13%
Arts And Culture███████████11%
Employee Benefits██████6%
Workforce Development████4%
Public Transit████4%
Fiscal Sustainability████4%
Youth Programs███3%
Summary of Proceedings

Charlotte City Council Budget Workshop: FY 2025 Adjustments Considered on May 20, 2024

The Charlotte City Council held a Budget Workshop to discuss potential adjustments to the City Manager's proposed FY 2025 budget. Mayor Vi Lyles outlined a process where council members could propose changes funded by deferring other items, reducing costs, or being added to the recommended 1.5-cent property tax increase, which generates $33.7 million. Items securing five or more votes would be considered at the May 30 Straw Votes Meeting. City Manager Marcus Jones noted an additional $231,678 in revenue from the county's updated property tax collection rate.

Public Comments & Testimony

No public testimony was taken during this workshop meeting.

Discussion Items

  • Budget Process & Revenue: Mayor Lyles explained the three adjustment options. Manager Jones provided a revenue update showing an additional $231,678 available.
  • Housing & Economic Mobility: Councilmember Anderson proposed a $1 million partnership with CMS for a "Teacher Village" workforce housing initiative. Councilmember Watlington advocated for redirecting a portion of the housing bond toward workforce development and economic mobility, requesting a staff analysis and the exploration of alternative revenue structures (e.g., a commuter tax). Councilmembers Ajmera and Graham requested funding for workforce development programs ($2M) and specific non-profits focused on home repairs and homelessness. Councilmember Driggs expressed concern that the $100M housing trust fund adds significant long-term debt and benefits too few, advocating for more targeted transitional programs.
  • Arts & Culture Funding: Several members (Anderson, Watlington, Mayfield, Ajmera) debated the proposed $9 million arts operating support model. Concerns were raised about the process for selecting the 33 organizations on the annual funding list, with some wanting to decouple the funding model decision from this budget cycle. Specific one-time requests were made for the Charlotte Museum of History ($100k), Arts Plus ($500k), Boom Charlotte ($100k), and the Charlotte Black Film Festival ($287k).
  • Public Safety & Employee Support: Councilmember Bokhari requested active shooter medical kits for patrol cars ($150k), outer carrier vests and ballistic shields ($597.5k), and aligning the CMPD raise calendar with other city employees ($427k one-time). He urged prioritizing these items. Councilmember Johnson raised firefighters' requests for a 5% market adjustment (cost $7M), compensation for Kelly Days ($655k), and fully-funded off-duty training. Councilmember Ajmera proposed extending medical insurance for spouses of city employees killed in the line of duty. Multiple members (Brown, Mayfield, Watlington) stressed the importance of prioritizing city employee wages and benefits.
  • Infrastructure & Environment: Requests included increasing bike funding to $10M in the bond cycle, additional litter cleanup funding (Keep Charlotte Beautiful), tree removal assistance for residents ($500k one-time), and improvements to the animal shelter.
  • City Operations: Councilmember Ajmera proposed adding dedicated support staff for council members ($479k ongoing). Councilmember Molina requested a van for Promise Youth Development, leading to a discussion on developing a surplus property donation policy.
  • Taxation & Fiscal Policy Debate: Councilmember Bokhari made a plea for the council to direct staff to reduce or eliminate the 1.5-cent property tax increase to send a strong message supporting the 1-cent sales tax for transit. He argued the short-term gain jeopardizes a potential $20 billion long-term transit investment. Councilmember Driggs stated the budget is "stressed," exceeding steady-state borrowing capacity by $240 million, and warned of future tax increases.

Key Outcomes

The council voted on which adjustment proposals to advance for refinement and consideration at the May 30 Straw Votes meeting.

Items Receiving 5 or More Votes (Advancing):

  • CMS Teacher Village Partnership ($1M)
  • Charlotte Museum of History ($100k one-time)
  • Home Again Foundation ($100k)
  • Medical Insurance for Line-of-Duty Deaths ($30k estimated)
  • Bike Funding Increase ($10M bond)
  • Workforce Development Fund ($2M for unfunded applicants)
  • Save Our Children Movement ($34k)
  • Keep Charlotte Beautiful / Litter Cleanup (+$250k)
  • Animal Shelter (further analysis)
  • Charlotte Black Film Festival ($287k one-time)
  • Hearts for the Invisible ($100k)
  • Tree Removal Assistance for Residents ($500k one-time)
  • Police Equipment & Training (Active shooter kits, outer carrier vests, ballistic shields, CMPD raise calendar alignment)
  • Boom Charlotte ($100k)
  • Direct Staff to Reduce the Property Tax Increase (to support transit sales tax goal)

Items Failing to Receive 5 Votes:

  • 5% Public Safety Market Adjustment ($7M)
  • Compensation for Mandatory Kelly Days ($655k)
  • Fire Off-Duty Training Funding
  • Additional Council Support Staff ($479k ongoing)
  • Arts Plus Organization Funding ($500k)
  • Adding Charlotte Museum of History to the Annual Operating List
  • People's Budget $25 Minimum Wage Proposal ($12M combined)
  • Additional 401k Contribution for General Employees ($2.2M)

Next Steps: The refined list of approved adjustments will be prepared for the City Council Budget Straw Votes Meeting on May 30, with final Budget Adoption scheduled for June 10.

Meeting Transcript

Good afternoon, Marjorie Molina, District 5. Good afternoon, Dante Anderson, Mayor Pro Tum. Dimelashmer, Dimple Rajmara at large. Marcus Jones, City Manager. May Alcal Graham, District 2. Ed Dries, District 7. Good afternoon, Lawana Mayfield, Councilmember at Large. Good afternoon, Victoria Watlington at large. Ryan Bergman, budget director. Teresa Smith, CFO. Thank you very much. He has an conflict, but will join us as soon as possible. So this meeting is really one of the times that we work on the most important responsibilities that we have as a city council, which is to review and discuss the proposed budget. The manager presented his budget, and thank you for all of the hard work of the budget team and the many people that um made this possible for us to be able to begin this discussion. He the manager has recommended to us and presented us a proposed budget that is balanced and incorporates the resources towards our strategic priorities that were decided at this council retreat. The purpose of this meeting is to think about any potential adjustments that members of the council would choose to have incorporated in the budget before adoption. Now we have a process for today's meeting, and it's a little bit different because our budget is a little bit different this year. Since the manager is recommending a tax increase this year, as we're talking about what adjustments council members might like to make, we'd like to have a process that would be followed would follow this idea. Is that while we have a balanced and structured budget that keeps us in the good graces of our finances of being a triple A and a triple A and a triple A and all of those things, in order to continue that kind of successful financial foundation, we would like for you to suggest if you have a change in the budget, there are a couple of ways to do this. That if you have something that requires a cost differential interval, that we can just turn it over to the staff to help for you create something, then that means that kind of cost will come back at our next meeting. But I'd also like to have you think about another one, um, is that there are a ways that if we have want to make changes, there's always the opportunity to defer or delay another item in the budget so that we balance to where we were with the manager's recommendation. In addition, for those that have changes, and even though the cost may not be exactly correct, we will be adding that to the tax increase of 1.5. So if you say I want to do this cost, then we'll say what is it cost to add that to the consideration of the tax increase. So there are three options again. If you have an adjustment that you would like to have, you can recommend have you could recommend a reduction you or delay or a deferral of another item, or we will add it to the tax increase just to keep us in focus. If the staff is going to have to make adjustments to that cost, they will, but we need to kind of get a handle on what we're talking about today so that we can be successful because we do want to adopt this budget on June on June the 10th. Thank you. All right, so there will be two rounds for each of the discussions coming around, and so we can start off and have each council member um talk about any adjustments that they want to make. The staff will keep a running list of changes, and then we can come back. Now remember in our process that we have a requirement or have had always had a requirement that if five or more votes at the end of our discussion of everything that we're going to add, that it takes five or more votes of the council members, all of us voting to support any of the changes that have been recommended. So for those of you in the room, that's a lot of budgetes, which we're all capable of following, I'm sure. So let's um get to it to start off with um our process for today. Now, let's why don't we go ahead and start with Ms. Watlington and we'll come this way and then on the next round, we'll start with Miss Molina. Can you um can you circle back to me last? We can come around. Miss Mayfield, are you ready? I would say that's not a bit that we're around. I got hopefully this idea. Oh, Miss Molina. I don't mean I actually was hoping to go last, so I I agree with the order it's that we need to just get Mayor instead of trying to go around. I know some people have some questions they want to ask. May I suggest that we just do oh we're just doing the day, just raise our hand if you're ready. I think that we're we're first of all, this isn't just for questions, it is to actually ask what changes you would like to have for the budget. So let's be more affirmative around what we're trying to accomplish here. Um I think we've had a chance for everyone to have um a discussion with the manager or the staff about this, but I do think that Mr. Graham has agreed that he would be the first, and we'll go this way and come around. Well, all right, Mr. Graham. So the staff will again just remember it'll be up posted up there the item.

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