Lake Lure Regular Town Council Meeting Summary - May 13, 2025

Thank you to all those who joined the Town of Lake Lure for their Regular Town Council Meeting on Tuesday, May 13, 2025, at 5:00 p.m. 

The meeting was held at The Lakeside Terrace at Rumbling Bald on Lake Lure at 153 Mountains Blvd. Lake Lure, NC 28746. 

• The public was invited to attend the meeting. 

• The following is a summary of the meeting for those who were unable to attend. 

• You may download the meeting packet here.

• You may review the monthly Departmental Reports here. 

• This summary is not considered formal minutes which will be included in the following month's Town Council Meeting Packet.

I.     Call to Order

Mayor Carol Pritchett called the meeting to order.

II.     Agenda Adoption

The meeting agenda was approved as posted. 

III.     Mayor’s Communication

Mayor Pritchett thanked everyone for their attendance at the meeting, especially given the rain.  She also thanked Rumbling Bald for allowing the Town to continue to use the Terrace for these meetings. This is truly appreciated! 

Mayor Pritchett also thanked Town Manager, Olivia Stewman and all town staff for all they do.

IV.      Town Manager's Communication

A.  Monthly Report: Town Manager Olivia Stewman provided the following summary.

• Schnabl Engineer, the Town's Dam Engineer is working with Town Leaders to begin updating the Town's Emergency Action Plan.
• The Reservoir Drain Valve project has been completed and the valve has been tested.  The valve is fully operable.
• Schnabel Engineering is also overseeing the Field Testing which will include drilling and packer testing for the Dam replacement project. 
• FY 25-26 Budget Message overview was provided to be reviewed on June 10^th.
• Thank you to all Town staff and visitors that came out to the Arbor Day celebration and Ribbon Cutting Ceremony for Morse Park.
• Please be aware of the following upcoming events: 

B.  FY 25-26 Budget Message: Ms. Stewman shared a copy of the following Budget Message and Proposed Budget for Fiscal Year 2025-2026

• It is my pleasure to submit for your consideration the proposed balanced Town of Lake Lure Budget for Fiscal Year 2025-2026 commencing July 1 st , 2025, and ending June 30th , 2026.
• This budget is based on careful analysis of departmental operating budgets, capital requests, and prioritized needs identified by department heads through one-on-one meetings.
• The general fund budget is proposed as balanced at $8,112,177. No appropriated fund balance for non-recurring capital costs and projects has been calculated to be included in revenues.
• The Town of Lake Lure’s revenue neutral rate was calculated with allowable growth at $0.3570 per $100 of property value.
• This Fiscal Year budget as presented is balanced at this same recommended tax rate of $0.3570 per $100 of property value.
• Thus, the following tax rate factors continue into this fiscal year as well:
  • a 15.7 cent rate for municipal services,
  • 7.3 cent rate for fire protection services and
  • a 12.70 cent rate for dam capital reserve fund.
• The total net taxable revenue is $1,357,430,935 from the most recent county annual property evaluation.
• This should generate $4,570,000.00 in tax revenue on real, personal, and utility property, assuming the current collection rate by Rutherford County of 99.06% or a slight decrease in collection rate.
• The Water and Sewer Fund is proposed as balanced at $1,237,770 with no recommended changes for Water/Sewer Rates.

Provision of Services

• The budget anticipates Police, Public Services, Administration, Communications, Community Development, Parks/Recreation & Lake, and Utilities to continue at current service levels.
• Fire services will be expanded and enhanced as a result of the consolidation of resources with the former Fairfield Mountain Volunteer Fire Department.
• Many new initiatives that were previously anticipated were postponed and are not a part of this budget due to the anticipated impacts to revenues resulting directly from Tropical Storm Helene.
• As a result, this budget was reduced significantly from FY 24- 25 and focuses have shifted towards recovery and maintaining day-to-day operations.

Capital Infrastructure Projects

• Outside of our regular operations, this budget also provides support to crucial major infrastructure projects such as the Replacement Dam project, the replacement of our subaqueous sewer system, and our wastewater treatment plant.
• All of which are major multiyear projects.
• There are two capital reserves that are dedicated to the replacement of the Dam.
• The first capital reserve is the previously mentioned North Carolina General Assembly appropriation, which currently contains $11 million.
• The second reserve has a balance of approximately $4.8 million and is funded by an annual contribution from the general fund of $1.6 million.
• Lake Lure’s infrastructure projects for the replacement sewer system, as well as the replacement wastewater sewer plant, are both supported by funds from the American Rescue Plan (ARPA) with $2.5 million remaining and State Revolving Loans from the State of North Carolina for $20 million.
• The Town is also working with FEMA and state agencies to obtain funding for these areas because much of the Town’s infrastructure was decimated by Tropical Storm Helene and as of current the Town has only implemented short term repairs to these temporary systems.

Personnel

• The budget as proposed supports 43 full-time equivalent (FTE) positions. Of these fulltime positions, 41 are in the General Fund, 2 full-time equivalent positions are in the Utility Fund.
• This includes one additional position that are recommended for inclusion in the Community Development Department.
• The Town provides a full benefits package including medical, dental, vision, retirement, and 401(k) match of up to 5%.
• In addition, Lake Lure provides a postretirement benefit to provide health insurance to retirees with at least 5 years of consecutive service to the Town of Lake Lure.
• A cost of living adjustment is being recommended at 3% to adjust the Town’s annual compensation for employees.
• An undetermined percentage increase is expected for health insurance through the State Health Plan.
• In previous years, the Town has partnered with the North Carolina League of Municipalities to offer dental and vision insurance.
• However, in February the NCLM Risk Management Services Board of Trustees voted to close the Health Benefits Trust, also known as the Municipal Insurance Trust, and wind down its operations effective June 30, 2025.
• Thus, the Town will work through an alternative provider and there will be a nominal increase for dental and vision plans.

Conclusion

• While this budget does not address every need, want, preference, desire, project, program, or requested capital item, it will provide for the continuation of the municipal services currently provided and at the level expected by our residents while ensuring that we are maintaining the assets we have, setting the stage to make significant strategic investments in infrastructure, and working towards long term recovery and resilience.
• The Town Council has met as necessary to conduct reviews of this budget as proposed for Fiscal Year 2025-2026.
• A public hearing for the Budget for Fiscal Year 2025-2026 is scheduled for June 10th , 2025, at 5:00 pm.
• Prior to the hearing, staff will convert the budget message to an ordinance to prepare for adoption.
• Following the public hearing, the budget should be adopted thereafter at the Town Council’s pleasure.
• I wish to recognize the monumental efforts of staff in the formulation of this budget, specifically Mr. Stephen Ford, Finance Director, and our professional department heads and their staff.
• Without their tireless efforts, it would not have been possible for this budget to be prepared and presented to you.
• Lastly, I wish to acknowledge the support of the Town Council. On behalf of the staff, thank you for the efforts that you put forth every day for the Town of Lake Lure.
• Your guidance has been essential in our ability to develop and put forth this proposed budget for your consideration.

V.      Council Liaison Reports and Comments

• ABC Board: Commissioner Scott Doster reported that the ABC Board met with discussion about advertising on social media. Hours are changing Memorial Day weekend to Monday- Thursday 12:00pm to 7:00pm and Friday-Saturday 10:00am to 7:00pm.

• Board of Adjustment (BOA):  Commissioner Dave DiOrio reported that the BOA is getting back to a normal schedule.  They are seeing an increased in work being done. The BOA reviewed the plans for the new 14 slip marina on Memorial Highway.  The new marina was approved through the BOA and will continue onto the permitting stage.

• Lake Advisory Board (LAB): Commissioner DiOrio reported that the LAB met and they continue to monitor the health of the Lake.  He shared that we are seeing the wildlife returning to the Lake and the surrounding area. LAB will be reviewing boat regulations with the new boats and changes that are being made to newer boat models. He explained that people will be buying new boats and the Lake Advisory Board is working to update Lake Lure's regulations to ensure they are current. 

• Parks and Recreation Board: Commissioner Jim Proctor stated that Parks and Rec Board met last Thursday. There was a lot of discussion about storm recovery and the new comprehensive plan that will be updated this summer. He advised that last month there were well over 1,000 volunteer hours. 

• Short-Term Rental Advisory Board: Commissioner Patrick Bryant advised that the Short-Term Rental Advisory Board will hopefully start meeting at the end of the month once the membership is confirmed

• Zoning and Planning Board: Commissioner Doster reported that the Zoning and Planning Board met on April 22, 2025. Several matters were reviewed including a utility building that was approved unanimously. He also advised that the proposed marina located on Memorial Hwy was approved with a 4-1 vote.

VI.      Consent Agenda

A.   Approval of April 2025 Minutes

The minutes were approved.

VII.     Unfinished Business

There was no Unfinished Business.

VIII.     New Business

A.   Resolution  No.  25-05-13  Setting  Public  Hearing  for  June  10,  2025  to  Receive comments regarding the proposed Fiscal Year 2025-2026 Budget.

Town Council approved Resolution  No.  25-05-13 as written below. 

RESOLUTION BY THE TOWN OF LAKE LURE TOWN COUNCIL SETTING PUBLIC HEARING FOR JUNE 10, 2025 TO RECEIVE COMMENTS REGARDING PROPOSED FISCAL YEAR 2025-2026 BUDGET

WHEREAS, the Town is required to adopt an annual budget ordinance prior to July 1st in accordance with North Carolina General Statutes; and

WHEREAS, North Carolina General Statute § 159-12 mandates that the Town must hold a public hearing prior to adopting the budget ordinance.

NOW, THEREFORE BE IT RESOLVED, that the Town of Lake Lure will hold a public hearing, in accordance with North Carolina General Statues, during its regular meeting on June 10, 2025 beginning at 5:00 p.m. or shortly thereafter at Legends at Rumbling Bald to receive comments in regard to Fiscal Year 2025-2026 Budget.

B.    Budget Amendment

Finance Director Stephen Ford reviewed Budget Amendment # 376 and request that Council approved amendment in order to fund accounts that have negative funding posted through April 30, 2025

This will be the first of at least three budget amendments as the fiscal year for the Town closes on June 30. This particular amendment utilizes available funds from other approved budget line items.

This prevents the use of fund balance and allows to prioritize spending for the remainder of the fiscal year. A second budget amendment at a future work session will recognize revenue that has been obtained from various sources.

This will allow for the overall budget to remain in balance between revenues and expenditures.

A third budget amendment will be used to prioritize available year funding correlated with determined needed expenses and formal obligations.

Town Council approved Budget Amendment #376.  

C. Consider Approval of LaBella Task 26 for Post-Helene Structural Inspections

Town Manager, Olivia Stewman is working to complete FEMA site inspections. Structural reports should also be provided to support the actual cost involved in repairs. This structural report provides specific information on the repairs needed and what is required to complete the repairs fully. The cost is $6,500.00.

LaBella Task 26 for Post-Helene Structural Inspections was approved. 

D. Meeting Schedule. 

The Town Council Work Session and Action meeting is scheduled for May 28, 2025. A request was made to change this meeting to May 29, 2025 at 8:30am as the previous date interferes with other  meetings that cannot be rescheduled.

The revised meeting schedule was approved. 

C.   Storm Recovery Updates: 

• The US Army Corps of Engineers is taking a short break for a few days from the removal of sub surface debris due to weather. They will pick back up and continue their work once the rain stops.
• The West End Sewer System project is still moving forward and is on schedule. The project is expected to be completed by July 10, 2025 if not sooner.
• The Proctor Road landslide project began this week and the contractor hopes to have this completed in 5-6 weeks.
• The Task Order with LaBella Associates was approved to design the Boys Camp Road Project. 
• FEMA has obligated 6 projects estimated at  $3.3 million. The Town has received $1.7 Million as of this meeting. We have several more projects that should be obligated soon.
• Site inspections are almost completed and we will continue to work on them till there done.
• Roads have been a concern with all the large trucks passing over daily. The Town will continue to make repairs to Town Roads as issues arise.  The NC Department of Transportation will also be working on repairs to their roads. This will be an ongoing project for the Town. We have a line item submitted for road repairs with FEMA. 
• For anyone that applied for the Mountain Biz Rebuild Grant, they are running behind but should be able to announce grant awards by May 16, 2025.

IX.     Public Comment

The public was invited to speak. Mayor Pritchett reminded attendees to keep comments limited to three minutes or less.  Comments may also be submitted in writing to the town clerk, kmartin@townoflakelure.com at least one hour prior to the meeting.

1. Bob Washburn (Washburn Rd, Lake Lure): Mr. Washburn spoke about the historical perspective of the Lake and the Town. He expressed his disapproval of the new marina that has been presented recently.

2. Richard Pressley (Lake Lure): Mr. Pressley stated that he differed his time to either Bob Washburn or Barbara Searcy as he was going to speak about the disapproval of the new marina being presented.

3. Mary Ann Silvey: (Property owner - Tryon Bay Circle, Lake Lure): Mrs. Silvey explained that she came to Lake Lure in 1947 and is appalled by some of the things the Town has allowed to happen. She read a letter that was sent to Michael Williams in Community Development Department and was also read at the Board of Adjustments meeting. He letter expressed her disapproval of the new marina that has been presented.

4. Mike and Jamie Wood: (172 Winding Creek Ct., Lake Lure): Mr. Wood stated that he and his wife wanted to thank the Town for keeping the road repaired on Boys Camp Road. He stated that the Town and the Public Works Department was doing a wonderful job.

5.  Thomasina & Cory Coile (2400 Memorial Hwy): Mrs. Coile advised that she and her husband recently purchased the old Train museum on Memorial Highway.  They wanted to let the public know that they will be opening and operating 3 new business here in Lake Lure including a  Candy store, an escape room, and an axe throwing area. They are hoping to provide fun, family oriented entertainment for the community. They are hopeful that the escape room could possibly be open by Memorial Day weekend or by July 1, 2025.  They hope that the candy store and axe throwing options will begin in the early fall.

6.  Barbara Searcy (Havnaers Point, Lake Lure): Ms. Searcy spoke on her disapproval of the proposed marina. She stated that she would like to see a moratorium placed on the private marina project until public can be involved through the comprehensive planning process.

Commissioner Doster clarified some of her statements. 

7. Tara Sheehan (1104 Memorial Hwy, Lake Lure):  Mrs. Sheehan expressed her concerns regarding the proposed marina that is directly across from her property. She advised that she was worried about parking with there being 14 slips in an already a high traffic area. She noted other concerns with the potential for gas leaking into the water, skiing, safety of renters while wadding in water, and boats backing up close to their property. She also questions any impacts the marina might have on fishing, their views, and the value of their home.

Commissioner Doster noted opportunities the public has had to participate in the meetings that were held to review plans for the marina.  He advised that all of these meetings were posted and that many who had spoken this evening attended these meetings.  

8. Mike Sheehan (1104 Memorial Hwy., Lake Lure):  Mr. Sheehan stated that he shared the concerns his wife raised. 

9. Shae Marie: Ms. Marie asked who would benefit from the new marina?

Some discussion continued on the marina. Commissioner DiOrio advised again that the marina project had gone through many steps with Board and Town Council meetings which were all open to the public and were well attended.  He explained that the marina project was a permitted use project.

Mayor Pritchett thanked everyone for their comments.

IX.         Adjournment

The meeting was adjourned.