By Miles Layton

COLUMBIA — Tyrrell County commissioners spent the better part of Friday’s meeting dissecting a proposed $11.5 million budget that holds the line on taxes and utility rates, while also tangling over questions about the county’s ABC store finances and the future of its water system.

The proposed spending plan for fiscal year 2026-27 totals more than $11.5 million across general and utility funds. The proposed general fund budget stands at $9,591,410, up from $9,463,361 last year, while the utility fund is proposed at $1,927,444. The tax rate would remain at 87 cents per $100 of valuation. The budget allows for an employee salary increase of 2 percent. The county’s total assessed valuation has grown to $554,780,889 — up more than $34 million from the prior year. One cent on the tax rate generates approximately $57,000 in revenue.

Before diving into the budget, let’s start with school funding. County Manager David Clegg recommended fully funding the Board of Education’s current expense request at $526,265, the amount required by law, while declining other requests.

Chairman Jordan Davis moved quickly to address what he said had been public confusion about teacher pay. “The 526,265 includes the teacher supplements, so they are funded,” Davis said. “We will be funding the teacher supplements. I did confirm that. That’s how they’ve been requesting in the past.”

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A $500,000 request to purchase land for a new school was deemed a matter requiring separate formal action by the board under state statute. Clegg outlined a potential funding structure using lottery funds and restricted sales tax revenue, and noted that a Needs-Based grant attached to the project carried no local match requirement.

Commissioners passed a unanimous motion directing that the board recommend the school system build any new facilities on property it already owns — or actively seek land outside the town of Columbia — and that the school board consider leasing current school properties to the county for one dollar.

The board cleared housekeeping items. Clegg presented budget amendments for the sewer fund and water fund — each moving money into the appropriate accounts at the close of the fiscal year. Commissioners approved all three unanimously.

ABC Store Finances Draw Sharp Questions

Like a record player on repeat, the meeting’s sharpest exchanges centered on the county’s ABC store, where Commissioner Rob Thompson pressed for a full accounting of the store’s finances and questioned discrepancies he said he had identified in its reported revenues.

“The budget anticipated a net income of $239,760, which will be reinvested in store improvements and reserve funds,” Thompson said, reading from a document. “Where is the money in the reserve funds? It’s not a hard question.”

Thompson argued that the store’s accountant had reported net income of $239,000, while only $86,000 had been reported as net income in another filing — a gap he said demanded an explanation. He also noted that the store appeared to be carrying roughly $250,000 in inventory, a figure he said represented about a quarter of the store’s annual sales.

“You’re looking at four or five cents down there,” Thompson said, referring to potential tax-rate implications if the money were returned to the county’s general fund. “We don’t even know how much money they actually got.”

Thompson made a motion directing the board to send a formal letter to the ABC board requesting a full accounting of all reserve and operating funds. The motion passed 3-2. Davis and another commissioner said they abstained from the vote; Thompson asked why any commissioner would oppose knowing the store’s financial position.

“Jordan, we are all county commissioners,” Thompson said. “There is money down there that ought to be used in the general fund. That’s our job collectively to fix it, not just mine.”

Davis said the proper next step would be at the ABC board’s reauthorization, expected within the next twelve months. “Whenever the anniversary date that we have to renew — let them keep the money — I would be okay with having that discussion as to whether we’re going to continue to do that or we’re going to take the money from them,” Davis said.

Water Rates, Consultant Costs Questioned

Thompson also pressed the board on the county’s water system, arguing that water rates should come down given the volume the county is now selling. He noted that the cost to produce a thousand gallons of water — including personnel, maintenance, and all related expenses — was roughly $3.25, while customers were being charged $9.25 per thousand gallons above the base rate.

“When you tell people you are raising them because you aren’t selling enough water, when you start selling enough water, you should start lowering it,” Thompson said.

Clegg acknowledged discussions with Creswell, a large water customer, about their future service. Davis noted he had been working with a neighboring commission on related issues and expressed optimism the customer would remain. “I think they’ll be back,” Clegg said.

Thompson also questioned whether the county still needed to pay a water system consultant approximately $1,920 a month, arguing that the county’s own water operator, Jeremy, had been working toward the certifications needed to run the system independently. Commissioners agreed to seek a status report on how close the operator was to obtaining the necessary credentials.

Drainage, Hotline, and Other Adjustments

The board voted unanimously to transfer $54,088 toward drainage — combining $19,088 from a lock replacement project that came in under budget and $5,000 from the Sheriff’s Office undercover operations fund, along with additional funds Clegg identified elsewhere. Whatever remains in the current drainage account after pending bills are paid would roll into that total.

Commissioners also voted unanimously to move $2,500 from the Sheriff’s Office fuel budget to the county’s domestic violence hotline, bringing the hotline’s allocation to $7,500.

On the utility side, Clegg confirmed that water and sewer rates would not increase. The water fund includes $67,000 for a new truck and $125,000 for a Snell Road membrane system replacement. The sewer fund includes $47,766 for lift station improvements.

Commissioners also approved a grant project ordinance for a $255,000 water system asset inventory — fully grant-funded. “We received grant funds to have a water system asset inventory and assessment, which has become a very important tool now in order to get grant funding,” Clegg said. “That’s the first question they ask — if you have that.”

A public hearing on the proposed budget is set for 1 p.m. June 2, coinciding with the board’s regular monthly meeting.