Raleigh parks staff outline $13 million shortfall, propose modest tax and fee adjustments to balance budget

Parks staff told the Raleigh Parks Board at its May meeting that the city started this budget cycle roughly $13,000,000 short of projections and faces higher costs for insurance, fuel and utilities.

The director (staff speaker) said there was no expected property‑tax growth this year, reversing the 2–3% increases staff normally project, and the manager has recommended a 1.7¢ property‑tax increase that would raise the median household’s bill by about $70 annually. “We actually had a decline,” the director said of taxable value growth.

Board members heard that the manager and department have taken steps to narrow the gap, including eliminating roughly 45 positions and instituting a hiring freeze while departments must justify long‑vacant posts. “We are holding positions frozen right now, so we are in a hiring freeze,” the director said.

Parks staff emphasized the system is continuing capital and operational investments. The parks budget, staff said, was not reduced and includes increases to address higher operational demand at Dix Park after state offices relocated from the campus. Staff cited $11,600,000 in planned capital repairs for parks and said the city and the Dix Park Conservancy together have invested about $185,000,000 in Dix Park over the last 11 years.

The department plans to add 8.75 full‑time positions next fiscal year to support expanded maintenance and operations, and to acquire an additional refuse truck and crew dedicated to park pickup. Staff said the new refuse assets respond to higher visitor levels at playgrounds and plazas and are intended to protect impressions of park quality.

Why it matters: board members were reminded that the city council’s public hearing on the budget will be held in early June and that the board’s input will feed the retreat and subsequent budget discussions. Staff said the manager will circulate additional budget notes and memos at the June 1 budget work session.

What’s next: staff said a fuller retreat presentation on operating and capital budgets will follow and that board members may testify during the council’s public hearing on June 2.