Rachel Hoskins - rhoskins@thefranklinpress.com
Following a positive annual audit report by auditing firm Martin Starnes and Associates, members of the Franklin Town Council voted on a budget amendment that will put some extra cash in the pockets of town employees just in time for the holidays.
Franklin Town Manager Amie Owens presented council members with the proposal for granting town employees a $1,000 bonus at the council’s Nov. 4 meeting.
Owens told council members that the town is financially performing well, keeping expenditures within budget constraints, and is moving multi-year projects forward.
“We are continuing to find ways to show efficiency and effectiveness and it’s my recommendation that the employees be rewarded for their diligence and commitment by offering a $1,000 holiday bonus,” Owens told council. The total budget amendment to cover the bonus would be $32,991.45.
The motion to approve the bonus pay was unanimously approved.
Audit report
Lutchia Johnson, senior staff accountant with the auditing firm Martin, Starnes and Associates presented the Town Council with their annual audit report.
Johnson said that the town has received a clean, unmodified opinion, “which is the best opinion and means that we found the financial statements to be fairly presented.”
Johnson said that over a three-year comparison, and in the current year, the town’s fund balance has increased $2.6 million, or 33% mainly due to property taxes, unrestricted intergovernmental revenues, as well as investment earnings. Franklin currently has a fund balance of $10,873,006.
“During the past year the available fund balance as a percentage of general fund expenditures increased approximately 37% from prior year,” said Johnson. “Typically, 8% equals one month of supplies of expenditure on hand. So, at 184%, the town has roughly 23 months of expenditures on hand. The increase is around $627,000 for 23%, and the increase is mainly due to an increase in collections and credits in the current year.
The town’s local option sales tax in 2023 was $1.3 million and in 2024 it was $1.5 million.
Included in other taxes and licenses are fire tax and vehicle rental tax. The overall increase is around $57,000, or 5%, which is due to an increase in fire tax revenue of a prior year. General government expenditures decreased from prior year around $164,000, or 11% due to the town’s expenditures for a feasibility study that occurred last year.
Public safety expenditures increased from prior year around $54,000, or 2%, due to an increase in salaries and benefits for this department.
Transportation expenses increased around $263,000, or 62%, due to the increase in capital outlay expenditures over the prior year for the beautification and landscaping around the town.
Water and sewer comparisons: operating revenues increased $215,000 while operating expenditures increased $689,000.
The town’s debt service remained comparable with an overall increase of $21,000 while operating income on June 30, 2024, was $933,000.
Statewide Mutual Aid Agreement
Town Council members approved a statewide mutual aid agreement. Mayor Horton said without an agreement in place, if the Town of Franklin assisted other municipalities or governments in the event of a disaster, they would not be paid for their time.
“We would be volunteering our time,” said Horton. “We were very fortunate here in Franklin not to have had any more damage than we actually ended up with [from Hurricane Helene]. We are very fortunate. We may have some folks who are able to lend a hand to our neighboring municipalities. If we have folks that we can allow to go and work with them, by passing this [mutual aid agreement] then we would be eligible for reimbursement from FEMA. Otherwise, it would just be a donation. I think it’s a win-win situation.”
A motion was made by councilman Joe Collins and passed unanimously to approve the agreement.
Closures and meetings
Town offices will be closed on Thursday, Nov. 28 and Friday, Nov. 29 for Thanksgiving holiday.
The next town council meeting will be Dec. 2 at 5:30 p.m.
Winter Wonderland will take place in downtown Franklin on Nov. 20 and Dec. 7 from 5 to 8 p.m.