Apex town manager Randy Vosburg was matter of fact during his presentation of the proposed budget last week, although town council members may have to make some tough decisions as they face a roughly $6 million gap between revenues and expenses.
Town officials cut about $14 million from the proposed budget before even presentingit to the council in order to avoid a larger funding gap. As Apex struggles to cover growing employee costs, in part because of inflation, Vosburg advised that they pull back on hiring new staff.
The town manager also proposed dipping into the town’s savings to cover some of the costs for FY 2026-27—but that still leaves the town council short of funds to cover everything staff say is needed. With a pressing demand for new equipment and infrastructure, council members may consider raising property taxes and utility fees to cover the difference.
The town’s finance committee is set to meet April 23 and 30 to continue discussing the budget. After that, a town council workshop is scheduled for May 8, followed by a public hearing tentatively scheduled for May 28. But if the town council needs more time to discuss the budget, additional meetings may be scheduled.
1. Like Other Towns, Apex Is Looking at a Property Tax Increase
Property tax bills for Apex homeowners may go up this year as the town considers raising the rate from about 35 cents to 39 cents per $100 of value. The average Apex resident, with a $600,000 home, would pay an additional $212 each year.
The proposed increase would raise money for the town to pay for new police and firefighter positions, new police cars and fire trucks, new infrastructure and ongoing maintenance, and expanding programs at Halle Performing Arts Center and Apex community centers, among other things.
After a property revaluation in 2024, which saw the value of many Apex homes spike, the town decreased its tax rate by nearly 23% to mitigate increases in tax bills. In the years since, however, the town has slowly had to increase its tax rates, according to Vosburg.
The town’s revenues were lower than expected this year, thanks in part to a drop in property tax collection and a recent slowdown of growth in property values, explained Jessica Hoffman, the town’s budget director. Interest rates are also going down, which means the town earned less money than expected on its investments.
2. The Average Apex Homeowner’s Utility Bill May Go Up
In addition to a potential property tax increase, Apex homeowners may see their bills for electric, water, and sewer services provided by the town all rise (along with the fee for yard waste collection). The cost will vary based on how much these utilities are used in each home, but the average resident could see an increase of about $16 per month, according to Vosburg.
The town is proposing a rate hike to cover a gap in its overall budget, as revenues go down and expenses go up. That rate hike will help keep the lights on, the water running, and sewer system working, according to assistant town manager Marty Stone.
The proposed FY26-27 budget includes about $15 million total for the town’s development and operations, including utilities. That money will pay for a long list of things, including:
- $7 million to expand the town’s electric system, including to the new Veridea development, future home of the NC Children’s Hospital
- $2.4 million to upgrade one electric substation and build a new one
- $1.5 million to replace the town’s UV system for water disinfection, and
- $175,000 to stabilize the Capitata Crossing stream to reduce erosion and mitigate flooding
As town council members move forward on the budget, several said they will be considering the impact of these potential cost increases on vulnerable residents, particularly those on a fixed income. Council member Ed Gray mentioned speaking with one resident who didn’t turn on her heat last winter because she was worried about money.
“In the summertime, she doesn’t turn on the air conditioning because she’s that focused on making sure she can maintain a budget,” Gray added. “That’s the person in my mind that I’m trying to make sure we don’t have an impact on.”
3. Inflation Is Hitting Apex
Like other towns, Apex is seeing an increase in expenses thanks to inflation. As the cost of equipment and construction spikes, the price tags for the town’s long-term projects are shooting up.
The Salem Streetscape project, for example, is now expected to cost 57% more than initial estimates, Hoffman said during the budget presentation Thursday. Another project, to convert street lights to LED, is now expected to cost more than double what was initially estimated.
These increasing costs could make it difficult for the town to keep planned projects on track. Last year, the Raleigh City Council scrapped its Six Forks Road project because of ballooning costs.
In Apex, paying for town staff’s wages, retirement benefits, and health insurance is also getting more expensive, in part due to inflation.
“All of these compensation and benefits increases, that’s over $5 million,” said Hoffman. “That takes up all of the natural growth that we are seeing in our revenues before we go to other funding sources.”
4. The Town Is Keeping Things Going with Limited Staff
Throughout town hall, department heads asked for 57 additional staff members to address growing workloads—including new inspectors, technicians, engineers, parks staff, and police officers.
But only about 18 of those positions made the budget proposal. Town staff are making sacrifices across all departments, presenters repeated throughout the meeting. According to the town’s website it employs about 600 people full-time.
“Our focus is balancing service expectations with responsible staffing levels,” said assistant town manager Demetria John. “There are budget realities and trade-offs.”
5. An Outdoor Stage Is on the Horizon
This year’s proposed budget also includes funding for a new outdoor stage near Apex Town Hall to host concerts, performances, and support town events. The good news is that Wake County is paying for half of the approximately $700,000 project—contributing $348,000—leaving Apex with the remaining half.
Plans are for the stage to seat about 1,700 people, with about 1,100 of those on a lawn. The town is also “exploring partnerships to serve as a satellite venue for performing arts organizations including the NC Opera,” according to Wake County.
6. The Town Is Finally Getting a New Fire Truck, Five Years and $1 Million Later
Apex initially planned to replace an aging fire truck in 2021. Since then, the town has spent $1 million in repairs to keep the truck running, according to assistant town manager Demetria John. This year, they plan to finally buy a new truck for $2.3 million, before it gets any more expensive.
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