Johnston County Board of Commissioners Adopts FY 2025-2026 Budget and Significantly Reduces Property Tax Rate

For Immediate Release: June 16, 2025

Smithfield, N.C. - The Johnston County Board of Commissioners has adopted the Fiscal Year 2025–2026 budget with a strong focus on reducing the tax burden for residents while continuing to invest in infrastructure, core services, public education, and strategic community needs. As part of the approved budget, the Board voted to reduce the County property tax rate to 52 cents per $100 of assessed value, which represents a 15-cent tax rate reduction and one of the largest property tax rate cuts in County history.

“This budget reflects the Board’s commitment to fiscal responsibility, while we continue to meet the needs of a growing County,” said Board Chairman Butch Lawter. “Throughout this process we've been mindful of the growing financial pressures many of our residents are facing, which is why this historic tax rate reduction is critical to ensuring families and businesses can thrive here without being overburdened by rising costs."

Vice Chairman Patrick Harris also underscored the importance of the newly adopted budget, "It's imperative we continue to maintain strong support for our schools, emergency services, and long-term planning efforts. Our population is expanding rapidly, and this budget helps position Johnston County for smart growth without overburdening our taxpayers," Harris said.

The Countywide fire tax rate was reduced to 11.5 cents per $100 of assessed value. At the recommendation of the Johnston County Fire Commission, the Board adopted the FY 2025- 2026 Fire Funding Matrix to ensure continued support for fire protection services across the County.

Highlights of the adopted budget include:

Behavioral Health: Up to $500,000 will be allocated for the development of a new behavioral health urgent care facility to expand local access to mental health services.
Employee Compensation: A 3% pay adjustment for county employees will take effect July 1, with the potential for an additional 2% performance-based increase in October.
Education Funding:

Johnston County Public Schools will receive $110 million in supplemental current expense funding and $3.5 million for capital outlay.
Johnston Community College will receive $9,290,303 in current expense funding and $4,507,504 for capital outlay.

Nonprofit and Community Investments:

$325,000 will be allocated to Harbor, Inc.
$100,000 will support site improvements at the Public Library of Johnston County and Smithfield.
$100,000 will be allocated to Johnston-Lee-Harnett Community Action.
$100,000 is earmarked for a Transit-Oriented Development (TOD) study to explore growth and mobility opportunities near current and future transit infrastructure.

Conservation and Land Preservation: The Board approved an allocation of $1.395 million to Triangle Land Conservancy for farmland and open space preservation.
Special Taxing Districts:

Based on recommendations from the respective boards, the Research Training Zone will be taxed at 8 cents per $100 of value, and the Moccasin Creek Service District at 2.5 cents per $100 of value.

“We’re grateful for the Board’s leadership in reducing the tax rate and investing in services that directly benefit our residents,” added County Manager Rick Hester. “This budget demonstrates that it’s possible to deliver meaningful tax relief and still meet the demands of a growing County. We look forward to continuing building a strong foundation for Johnston County's future."

The adopted budget will go into effect July 1, 2025. For more information, visit www.johnstonnc.gov/budget or to view tonight's Board meeting, visit our the Johnston County YouTube channel.