Lake Lure Town Council Work Session and Action Meeting Summary - May 27, 2026

Town Council Work Session-Action Meeting Summary Sign

The Town Council Work Session and Action Meeting was held ion Wednesday, May 27, 2026 at 8:30 a.m.  

  • The meeting was held at The Landings at 920 Buffalo Creek Road, 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. These are not formal minutes which will be posted in the following month's meeting packet. 

  • For additional information, you may download the meeting packet. 

 

I. Call to Order

 

Mayor Carol Pritchett called the meeting to order. Se remarked about how wonderful the past weeks have been as the lake was reopened.  She stated that the community was so much a part of this effort and we have appreciated everyone's patience and support during these past months. 

 

II. Agenda Adoption

 

The agenda was approved as posted. 

 

III. Review Proposed FY26-27 Budget Information

 

Town Manager Olivia Stewman presented the following Ordinance Number 26-06-09A, adopting the FY 2026-2027 Budget for the Town.

  • She mentioned that the increased fire tax by 4% and decreased by 2% to offset the increased cost with an overall budget of $10,479,848 with thefollowing fund balances:
    • General Fund of $8,829,487.
    • Water and Sewer Fund: $1,650,360
    • Hydroelectric Fund active but it is an enterprise fund and we must keep it active so there is $1 and incorporates the salary recommendations. 
  • The budget reflects a balanced tax structure designed to address public safety priorities while minimizing the overall tax burden on residents:

  • Mayor Pritchett remarked about the importance of supporting the Fire Department.

  • Ms. Steman noted that the Town would apply for the Safer Grant to help support the full cost of 4 new firefighters, then the annual support decreases each year. 
  • To order the Fire Truck, we will put a down payment on the new Fire apperatus. 
  • Fire Department costs more than the Fire tax provides.  As the FIre Tax goes up but the General Fund Tax goes down to offset the increase. 
    • Fire Tax: Increased 4 cents per $100 valuation. 

    • Municipal Service Tax: Decreased 2 cents per $100 valuation. This will offset adjustment and maintain fiscal responsibility while prioritizing fire department funding

    • The budget incorporates employee compensation enhancements, including: Cost of Living Adjustment (COLA): 2.8% across all departments. Salary Adjustments based on comprehensive market rate study conducted during the fiscal year

    • Increased fire department funding supports the following priorities: Enhanced staffing levels. Improved compensation to support recruitment and retention. Debt service for new fire engine procurement (18-month procurement timeline). Grant funding support for new public safety facility development

      The Town provides fire protection services to Chimney Rock State Park, which attracts approximately 400,000 annual visitors. As a state-owned facility, Chimney Rock State Park generates no tax revenue to offset the cost of these emergency services. This consideration underscores the importance of adequate fire department funding to serve both the resident population of approximately 1,400 and the significant seasonal visitor population. The Town plans to apply for the Staffing for Adequate Fire and Emergency Response (SAFER) Grant to support the hiring of four additional firefighters. Grant provisions include Year 1: Full coverage of staffing costs

      Subsequent Years: Decreasing percentage coverage

      Budget Impact: Accounted for in current fiscal year projections

 

AN ORDINANCE ADOPTING THE FISCAL YEAR 2026-2027 BUDGET FOR THE TOWN

OF LAKE LURE, NORTH CAROLINA

SECTION 1. In accordance with G.S. 159-13 (a), the Town Council of the Town of Lake Lure adopts this ordinance entitled Town of Lake Lure 2026-2027 Budget.

SECTION 2. This ordinance includes revenues and expenditures in the General Fund, Water/Sewer Fund and Electric Fund. Revenues and expenditures in those funds are as follows:

REVENUES

I. GENERAL FUND

  • Ad Valorem and Vehicle Taxes $5,091,055
  • State Shared Revenues & Grants $2,332,315
  • Land Use Fees $66,500
  • Cultural and Recreation $1,234,617
  • Miscellaneous Revenues $105,000
  • Transfer from Capital Reserve -
  • Installment Agreement Proceeds -

TOTAL GENERAL  $8,829,487

 

II. WATER/SEWER FUND

  • TOTAL WATER/SEWER $1,650,360

 

III. ELECTRIC FUND

  • TOTAL ELECTRIC 1

GRAND TOTAL - ALL FUNDS $10,479,848

 

EXPENDITURES

I. GENERAL FUND

  • Governing Board $38,750
  • Administration $1,149,588
  • IT/Telecommunications $135,490
  • Police $1,181,834
  • Fire $1,334,701
  • Sanitation $240,000
  • Public Works $952,929
  • Economic Development 116,687
  • Community Development $310,483
  • Beach & Marina $17,399
  • Dam/Watershed Protection $25,000
  • Non-Governmental $220,000
  • Capital Outlay & Projects $1,185,226
  • Debt Service $321,400

Transfer to Dam Capital Reserve Fund $1,600,000

TOTAL GENERAL 8,829,487

 

II. WATER/SEWER FUND

  • Water Operations $386,200
  • Sewer Operations $598,800
  • Capital Outlay and Bonus $145,415
  • Debt Service $119,945
  • Transfer to Fund Balance (Equity) $400,000

TOTAL WATER/SEWER $1,650,360

 

III. ELECTRIC FUND

Operations 1

Capital Outlay -

 

TOTAL HYDRO-ELECTRIC FUND 1

GRAND TOTAL – ALL FUNDS 10,479,848

 

SECTION 3. To achieve this budget program, the Town Council of the Town of Lake Lure, in accordance with G.S. 159-13(c), the tax rate shall be 0.377 per $100.00 of property valuation (municipal services at 0.137 per $100.00, dam capital at 0.127 per $100.00, and fire district tax at 0.113 per $100.00 of property valuation).

SECTION 4. Pursuant to the authority set forth in Article 20, Chapter 160A of the North Carolina General Statutes, the Town of Lake Lure and Rutherford County have entered into a contractual agreement to provide for centralized and systemized billing and collection of property taxes in Rutherford County. Under this agreement the County will perform for itself and the Town all of the tax collection functions prescribed in Subchapter 50 of Chapter 105 of the North Carolina General Statutes (often referred to as the Machinery Act). This joint tax collection system shall commence with the tax levy for the fiscal year beginning July 1, 2026.

In accordance with section V. of this agreement, the Town of Lake Lure hereby adopts the same tax discount schedule as the County for the Town's tax levy for the fiscal year commencing July 1, 2026.

 

IV. Resolution No. 26-05-27 Setting Public Hearing for June 9, 2026 to Receive Comments Regarding Proposed Fiscal Year 2026-2027 Budget

 

The Public Hearing for 6/6/26 to Receive Comments Regarding Proposed Fiscal Year 2026-2027 Budget was approved.  

 

V. Discuss 2026-2027 Drawdown Schedule

 

The Town is returning to regular operational practices, which includes implementing lake drawdowns when necessary to support maintenance, repair, and capital
improvement activities that cannot be completed under normal lake levels.

  • Staff is requesting Council discussion and direction regarding a short drawdown during the upcoming off-season to allow for several planned and anticipated projects.
  • These projects include completion of a deep-water access ramp, concrete work to repair public boat ramps, access for contractors to complete seawall repairs, mechanical dredging operations, and any sewer infrastructure repairs that may be identified during the drawdown period.
  • Staff is recommending a drawdown period of approximately 2–3 months.
  • The majority of the identified work can be completed with a drawdown of approximately 12–15 feet; however, the deep-water access ramp project would require a maximum drawdown of up to 20 feet but we are uncertain if the design will be completed by the time 
  • Potential timing for the drawdown will depend on Council direction; however, the recommendation is that it take place during the off-season to minimize impacts on lake use.
  • Based on Council discussion and input, staff will develop a proposed drawdown schedule for Council consideration in June.
  • Council discussed lowering the lake 1/1/27 for mechanical dredging to maintain the improvements made by the US Army Corps of Engineers.  We are applying for an individual permit which would allow the Town to dredge a larger area beyond the main channel of the lake. 
  • The Hydraulic Dredging equipment needs to be moved. 
  • LaBella Engineering is working on the design for the 
  • Drawdown will always be in the winter months if at all possible. 

The timeline and map for the projects will be presented at the next Regular Town Council Meeting.

 

VI. Permission for Encroachment into the Town Right of Way (ROW) along Tryon Bay Circle

 

Mr. Rick Carpenter, Development and Environmental Review Specialist presented an overview of the plans Mr. Peyton Peters has developed for phase 2 construction along Tryon Bay Circle.

  • This portion of their project would require the construction of a soil nail wall with nails extending underneath the town roadway.
  • The depth of the wall from the edge of the ROW is 24’.
  • Per the applicant, the road will be left partially open throughout the day during work time (11ft of travel way) and fully opened at the end of the workday.
  • The applicant has stated that short term road closures may be required.
  • Staff do not have a timeline for possible road closures.
  • Applicant has proposed using plastic barricades as a safety barrier while the wall is being constructed.
  • Concrete barricades have been proposed after the wall is constructed and will be removed once the houses are constructed.
  • Eleven (11 ) feet is the current road width at Tryon Bay Circle.
  • Per Emergency Services Chief Waycaster, 20 feet is the new code for Emergency Vehicle access.
  • Would need to close the road from a Monday to a Friday to get the repairs completed. 

Town Council did not approve the proposal and permission was denied.

 

VII. Request for Injunctive Relief Against Parcels 1611501 and 1600457 for Failure to Follow Approved Plans and Abate Code Violations

 

There are two abutting properties located along Mintwood Ct. (parcels 1611501 & 1600457). The property owner obtained permits to construct two dwellings in 2025. However, the owner deviated from the approved plans and the general contractor, and financially responsible party (FRP), left the project.

  • The permits were revoked after the deviation & the FRP leaving the project.
  • The plan deviation consisted of tree removal that exceeded the approved plans.
  • The deviation is something that the town can work around if there is a re-planting plan following house construction.
  • However, the property owner has failed to provide updated plans that illustrate the deviation and re-planting plans.
  • The property owner has obtained a new land disturbance permit, with a new FRP, to remove the downed trees on 05/06/2026.
  • However, the property owner has indicated they do not know when they will begin work.
  • The downed trees may constitute a fire hazard, but staff do not believe they rise to the level of a nuisance code violation as written.

Per the Nuisance ordinance:

Sec. 18-2. Certain conditions declared as public nuisances. The following enumerated and described conditions, or any combination thereof, are hereby found, deemed, and declared to constitute a detriment, danger and hazard to the health, safety, morals and general welfare of the inhabitants of the town and are found, deemed and declared to be public nuisances wherever the conditions may exist and the creation, maintenance or failure to abate any nuisances is hereby declared unlawful:

o (1) Any weeds or other vegetation having an overall height of more than 24 inches above the surrounding ground, provided that the following shall not be considered to be a part of this condition: trees and ornamental shrubs; cultured plants; natural vegetation on undeveloped property that is not a threat to the character of surrounding properties; and flowers and growing and producing vegetable plants.

o (15) A collection place for tree limbs, dried brush, dead vegetation, stumps or other decayed wood and materials or other similar rubbish that is offensive by virtue of odors or vapors or by the inhabitance therein of rats, mice, snakes, or vermin of any kind which is or may be dangerous or prejudicial to the public health.

Per the Land Disturbance Ordinance:

Sec. 22-37. Injunctive relief. (a) Whenever the town council has reasonable cause to believe that any person is violating or threatening to violate this article or any rule or order adopted or issued pursuant to this article, or any term, condition, or provision of an approved erosion control plan, it may, either before or after the institution of any other action or proceeding authorized by this article, institute a civil action in the name of the town for injunctive relief to restrain the violation or threatened violation. The action shall be brought in the superior court of the county.

(b) Upon determination by a court that an alleged violation is occurring or is threatened, the court shall enter any order or judgment that is necessary to abate the violation, to ensure that restoration is performed, or to prevent the threatened violation. The institution of an action for injunctive relief under this section shall not relieve any party to the proceedings from any civil or criminal penalty prescribed for violations of this article.

Mr. Freerkson has 30 days from today to clean up the property. His permit was issued 5/6/26.  Mr Carpenter will provide oversight of the project and report back at the next month's meeting. 

Town Council voted to approve the request for Injunctive Relief Against Parcel 1611501 and 1600457 for failure to Follow Approved Plans and Abate Code Violations if no actionable progress within 30 days. 

 

VIII. Failed Seawall at 0 Conroy Ct. (Parcel 1636292) Request to condemn the Seawall and Remediate the Hazard

 

Mr. Carpenter presented an overview of the seawall project that failed post Helene due to erosive collapse.

  • The seawall has failed here in the past (not as severe) due to erosion issues.
  • The boathouse adjacent suffered significant damage due to the collapsed block.
  • Due to the hazard, the community development department issued a notice of violation on February 12th 2026.
  • The boathouse was demolished, without permit, sometime between February & March.
  • However, the failed seawall was not removed.
  • Steel cables were attached to the sections of failed wall without permit(s).

Staff are concerned that the hanging blocks may rupture a sewer line directly below, or the anchors may fail taking shoreline into the water.

  • Staff have been communicating with the property owner throughout the process but have been unable to obtain a timeline for removal.
  • Staff recommend a  motion to condemn the structure and require the removal of the collapsed wall and the installation of riprap to stabilize the shoreline.
  • Failure to repair or remove the structure within 90 days will result in the town removing the structure at the property owner’s expense.

Town Council approved the recommendation to condemn the Seawall and Remediate the Hazard in 90 days.

 

IX. Resolution No. 26-05-27A Setting Public Hearing for June 9, 2026 to Receive Comments Regarding Proposed Text Amendment to Chapter 36 Zoning Regarding Accessory Buildings in Residential Districts

 

Town staff and the Zoning and Planning Board have provided the Town Council with recommended text amendments to Code of Ordinances Chapter 6 (“Lake
Structure Regulations”) and Chapter 36 (“Zoning”);

  • See recommended edits on Pages 45-54 of the Meeting Packet. 

Town Council approved approve Resolution No. 26-05-27A Setting Public Hearing for June 9, 2026 to Receive Comments Regarding Proposed Text Amendment to Chapter 36 Zoning Regarding Accessory Buildings in Residential Districts.  

 

X. Budget Amendment #382 for Fire Station 2 Remodel

 

Budget Amendment 382 provides funding adjustments for the Fire Station 2 Renovation Project.

  • The amendment transfers $150,000 from fund balance to begin project implementation.
  • It also records committed external revenues totaling $335,000, including $185,000 from the Rutherford County TDA Back to Beautiful Fund, $100,000 from the remaining Fairfield Volunteer Department contribution, and $50,000 from the Office of the State Fire Marshal.
  • Additional funding needed to fully complete the project will be addressed in the upcoming fiscal year.
  • This amendment is being brought forward prior to the new fiscal year in order to allow the project to begin promptly, as an ISO inspection is scheduled for this summer and timely progress is necessary to support compliance and rating considerations.

Town Council approved the Budget Amendment #382 for the Fire Station 2 Remodel.

 

XI. Hager Strategic Solutions Updates

 

Mike Hager from Hager Solutions provided the following updates. 

  • Mike Hager provided updates from locate and state level legislation. General Assembly budget chairs finalizing FY budget. Member Money Allocation: Expected to be very low ranging from $250,000-$500,000 per member. Example: Rep. Paul Scott (covering Cleveland and Rutherford counties) likely to receive closer to $250,000. Senators have slightly more due to fewer positions. Legislators' Requests: Senator Moffatt reported ~$1 billion in requests; likely to receive less than $500,000
  • Medicaid Managed Care Organization (MCO) Merger VIA and Partners merged this week. Creates largest MCO in western North Carolina. Merger effective October 2026. Rutherford County previously had VIA, switched to Partners, now has Partners/VIA. Expected to result in another lean bill
  • State Parks Fee for Emergency Services discussion ongoing about state parks paying fees for emergency services. Precedent exists in state, mostly for equipment (not salaries). Could provide predictable annual budget allocation. Potential for concessions revenue-sharing arrangement.
  • Four lobbyists indicted in 2024 for taking principal money and filing through C4 organizations to benefit legislators. This violates lobbying regulations. SBI and NC Attorney General investigating; expect more indictments
  • Congressman Edwards' Under indictment for sexual harassment and ethics violations. If he leaves office, creates domino effect of political movements. Potential impact: Moffitt could move to Congressional seat; this would trigger state senate appointment process. Three Republican parties (Henderson, Polk, Rutherford counties) would vote based on proportional representation. Could result in new House and Senate representatives
  • Fraudulent therapy companies provide services to autistic children. State added $319 million in rebase funding. Much going toward autism services. LME/MCOs are responsible for detecting fraud and determining if it's fraud, waste, or mismanagement. States giving more tools; moving to closed network model where not all providers automatically accepted
  • Property tax issue on November ballot statewide. Rutherford County commissioners recently raised taxes 2 cents. Town is sensitive to tax increases. No anticipated move for state-level property tax increase expected
  • Rutherford County is moving to hire county manager. RFP issued; applications being received. Town representatives opposed hiring before new commissioners take office.

 

XII. Town Manager/Project Updates

 

Town Manager Olivia Stewman will provide Council with project and any other updates: 

  • Comprehensive Plan Update: Ms. Stewman advised that draft plan under review by steering committee.

    • The steering committee mett yesterday to review draft. Edits, and additions are being made.

    • The next meeting of the steering committee will be June 16 to finalize the draft plan.

    • The next step will be for the Parks & Recreation Board to review the plan at their next regular meeting in July.

    • Then the Zoning and Planning Board will review the plan.

    • A Public Hearing wil be held at Town Council and if all goes well, adoption consideration will be presented at the regular meeting.

    • We will need early input from the Parks & Rec Board on plan content. May need special session if Parks & Rec can't wait until July.

  • Lake Maintenance Program:Now that the Army Corps and SMART program work is completed, the town will have a debris pickup schedule.   
  • Washburn Marina Updates: Decking Materials have been delayed but delivery  issues have been resolved and will materials arriving at the end of next week.
    • Contractor will proceed immediately upon receipt of the materials.
    • The target for completion is still set for Mid-June for the floating docks (revised from mid-July for some components).
    • The floating dock completion is estimated for July 18, 2026 (with daily penalty clause if missed).
    • The fuel tank manufacturer has experienced a delay, but the concrete slabs have already been poured for the fuel tank.
    • We cannot proceed with fuel pump installation without fuel tank delivery. Staff have called the contractor four times and we are pushing for the delivery date. No alternative fuel tank supplier can be obtained without rebidding process (cost implications).
    • The hot dock and courtesy docks are also in process. Materials are arriving next week and assembly will follow.
    • The Pool Creek Picnic Park dock materials are arriving next week.
  • Public Works Building: Groundbreaking began on 5/24/26. Grading and survey work have been completed. Construction activity sis cheduled to begin this week but was delayed due to weather. Materials have been ordered and more are coming soon.
  • Morse Park: We have recieved a second quote for grading. One additional quote is pending. Notice to proceed to the low bidder is targeted for the end of the week.
    • The back access road, parking area, and non-motorized  Ramp and not included in the current bid.
    • Will investigate FEMA funding for the road which may be covered. the ramp funding status is unclear.

 

XIII. Public Comment

  • Eric Edwards (241 Garden Lane): Mr. Edwards incquired about the new cell tower.  He suggested tow officials reach out to the cell tower vendors about Wi-Fi network for visitors.
    • It was noted that the Town previously had Wi-Fi through Pangea with an average cost of $35,000, however the project was discontinued years ago.
    • The Town may investigate other avenues if technology does not support improved access. .

 

XIV. Closed Session in Accordance with G.S. 143-318.11(a) (5) for the Purpose of Discussing Property Acquisition.

 

Town Council entered into a Closed Sesion. 

 

XV. Adjournment

 

The meeting was adjourned.