Recently the Kannapolis City Council met over two weekends to review expected budgeted revenues and expenditures, priority projects and services of the City, for the next fiscal year and beyond. After presentations and discussions, City Council concluded that its priority was to renew their focus on core operations and services for the upcoming fiscal year. Discussion centered on several key areas including public safety, employee retention and recruitment and fiscal responsibility. Some projects and initiatives that had been previously discussed as part of the Imagine Kannapolis Strategic Plan are being temporarily postponed due to the impacts of inflation, lower than expected revenues, and a renewed focus by City Council to provide the essential services that benefit our citizens and customers the most.

“The retreat was an opportunity for the mayor and council to reestablish its vision for the City through a long-range strategic planning process that focused on transparency, financial efficiency and service to our citizens said Kannapolis City Manager Wilmer Melton.

“All municipalities are facing budget pressures due to limited revenue streams, while inflation continues to drive up the cost of everything required for daily city operations. For example, a ladder fire truck that used to cost $1.2 million a few years ago now is $2.3 million. During the retreat City Council was able to talk about the impacts this and other factors will have on our future budgets and what will be the new focus moving forward,” Melton continued.

City Council heard from staff members who presented topics such as public transportation, public safety, parks and recreation, economic development and other core operations and services. Using a straw voting process, Council Members ultimately decided to focus on fundamental services, committing to ensure residents continue to receive high quality services delivered by experienced staff, from emergency services to garbage and recycling collection, as well as the quality-of-life amenities the City is known for. Council reiterated their support of staff by moving forward with proposed benefit and compensation evaluation as part of the upcoming budget.

Some projects and services will be further reviewed and potentially delayed to determine if cost savings or revaluating project scope are a possibility.

A list of the projects/services that were determined by City Council to continue as is, continue with changes or begin as a new program/service subject to the budgetary process include:

• Public Transit (CK Rider): Kannapolis staff are exploring options with the City of Concord to reduce costs in providing this service as well as exploring other future service delivery options. Some of these decisions will be made in the next 30 days.
• Curbside Recycling: No change in service.
• Capital Outlay: This initiative focuses on the replacement of aged vehicles and equipment to provide the necessary level of service to residents.
• Street paving and sidewalk maintenance: Allocation of additional funding in the upcoming budget, up to $1 million for rehabilitation of our streets and sidewalk infrastructure.
• Employee Retention and Recruitment initiatives: Continues Council’s support of the employees who serve our residents and customers.  
• Fire Station for the Western Side of the City: Continue to explore ways to provide this service in partnership with the Odell Volunteer Fire District but also proceed in planning for the construction of a new fire station to serve citizens within this area of the City.
• Fire Adaptive Response Program: Utilization of smaller vehicles for medical calls and hiring additional fire staff. This program will reduce the wear and tear on the City’s larger fire apparatus while still providing critical medical assistance to our citizens.
• Western Cabarrus Transmission Tower (911 communications), Fire Department Training Tower (replacement) and Fire Department Logistics Building: Proceed with all three projects to enhance first responder communication and operational readiness.
• Summer Concert Series: Continue to provide this quality-of-life benefit to the community but at a reduced annual expense that will balance affordability and quality of the events.
• Gem and Swanee Theatres: Continue operations of these significant entertainment and quality of life venues to the community but explore opportunities to reduce operational costs as well as exploring various programing options.
• Historic Preservation Program: Proceed with establishing a Historic Preservation Advisory Board to offer input on projects such as developing historic markers, digital historic maps, creation of a driving/walking tour, developing an inventory of historic assets and updating and reprinting the City’s History Book.
• History Museum/Cultural Arts Facility/Downtown Visitors Center: Proceed with exploring the renovation of the former Wells Fargo Building on West Avenue utilizing dedicated cash reserves, grants and private funds. The project will serve as welcome center and museum to share, showcasing our community’s rich history and its impact on the global economy, while also providing a meeting space for the community.
• Bakers Creek Park Replacement Building: Proceed using a combination of State grant funds and one-time reserves. The current building is 45 years old and in need of upfits to enhance its use and benefit the community.
• Downtown Business Support Plan: Proceed with the evaluation for the potential establishment of a Municipal Service District (MSD) Tax that will create a new funding stream exclusively paid for by the downtown property owners. The use of the funds is intended to provide a cohesive marketing and promotional effort to help downtown continue to thrive. The decision to move forward (or not) with the MSD will likely rest with the downtown property owners.
• Midlake Avenue Sidewalk: Proceed using an already received $4.7 million State Transportation Block Grant from NCDOT and $1.1 million in one-time reserves. This project builds upon Council’s focus on key quality of life initiatives to benefit residents.

Previous projects, not listed above are not being eliminated from future consideration; rather, they are being temporarily postponed to prioritize funding for critical core services and to allow City staff and Council time to reevaluate project scope and explore alternative funding approaches.

“Critical needs of our community will be met in the next fiscal year. Kannapolis continues to be in a fortunate position as our revitalization momentum progresses. Businesses continue to bring jobs and investment to Kannapolis, and we look forward to welcoming them to our City,” Melton said.

The FY 2027 budget is expected to be presented to the Kannapolis City Council in May.