MORRISVILLE — Revenues are up and debt is down, according to an independent audit report that shows Morrisville’s finances are in good shape.
In the fiscal year that ended in June, revenues were up by 5.4 percent over 2012, and Morrisville reduced its debt by $1.6 million, according to the comprehensive annual financial report.
“The (report) offers another indication of the strong financial health of the town of Morrisville,” said Town Councilwoman Liz Johnson. “It’s proof that our consistent approach to conservative budgeting over the years has led to a strong financial position.”
Most audit reports for municipalities include recommendations for upgrades or improvements, according to Joyce and Company, CPA, a Cary accounting firm that conducted the audit.
In Morrisville’s case, auditors found nothing that needed improved.
“This accomplishment has been a goal of mine since I joined the town of Morrisville,” Finance Director Stacy Wachtel said in a statement.
The Park West Village development helped keep Morrisville’s finances in good shape.
The shopping center and new residential development propelled Morrisville years ahead of its goal to repay Cary for upgrades to the water system in 2006, according to town officials.
That’s when Cary took over water and sewer services for Morrisville; Cary charged Morrisville customers higher rates to offset the costs of upgrades.
With debt to Cary paid off, average Morrisville households will save an average of $240 a year, according to the report.
Lower utility rates should offset some of the increases homeowners and businesses will see as a result of the new 39 cent property tax rate.
The typical homeowner will pay about $64 more a year in taxes. The 2.35-cent increase will help pay for road maintenance and the N.C. 54 bypass voter-approved bond project. Design work is expected to begin this year on the bypass.
Property tax revenues grew by 3.7 percent last fiscal year, or $466,852, mostly due to Park West Village, according to the audit.
The town’s revenues also got a financial boost from building permits, which increased 4.5 percent over the previous year. Most new permits were for residential development.
The town also saved about $375,000 in lapsed salaries and health care savings.
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