Marion Budget Committee Reviews FY27
The Town of Marion’s Budget Committee reviewed the FY27 draft budget this week, with officials reporting that the town can balance the budget without raising real estate taxes. Mayor Avery Cornett noted that surrounding localities may increase rates and said Marion should monitor regional trends, while Councilman Jim Gates emphasized raising taxes only when necessary.
Town Manager Andrew Keen highlighted a 3% raise for all employees, major capital purchases including $660,000 for snow‑removal equipment, and two new police vehicles. The budget preserves remaining ARPA funds and pays down several loans.
Revenue
Real estate revenue remains flat. Personal property taxes rise slightly, tobacco taxes continue to decline, and meals taxes increase from 1.9% to 1.95%. Sales tax and bank stock tax show modest growth, while lodging and communications taxes decrease. The town locked in a 3.35% interest rate with Bank of Marion.
Callan Drive Park includes a $500,000 match toward Phase I. Other revenues include court fines, Housing Authority payments, equipment sales, pool revenue, and CIRP loan payments. Water and sewer revenue reflects actual collections and a 5% rate increase.
Expenses
Insurance premiums rise 11%, though the town continues covering 85–86% of employee health costs. The assistant town manager’s salary shifts from Public Works, and the Town Attorney budget includes ordinance updates and outside counsel. Police supplies drop from $90,000 to $70,000. Fire capital includes $1.2 million for a new truck and $46,000 for extraction tools.
IT spending increases for ADA‑required website upgrades. Public Works decreases due to retirements and staffing shifts. Refuse collection drops after eliminating a fourth position. Tipping fees rise 10%.
The town plans to pay off four loans, improving long‑term service capacity. The fire truck loan will be funded by redirecting the existing $65,000 annual fire truck allocation.
Looking Ahead
The committee also discussed the possibility of Marion taking on additional EMS responsibilities from Smyth County. The Town Manager’s formal recommended budget will be presented at the second May meeting.
