June 26, 2025

Beaufort City Council Passes $73 Million Budget

News Summary

The Beaufort City Council has approved a $73 million budget for the upcoming fiscal year following a close 3-2 vote. Despite proposed cuts, the budget maintains the current tax rate and allocates funds for various community projects and infrastructure improvements. City officials aim to manage the budget effectively while addressing the needs of local residents with a projected increase in revenue. The budget includes measures for employee pay adjustments and maintains garbage collection fees.

Beaufort – The City Council of Beaufort has officially passed a $73 million budget for the fiscal year 2026 following a narrow vote of 3-2. The decision came on June 10 during a meeting that included a contentious last-minute proposal to cut $77,000 from the budget. Despite the cuts proposed by Councilman Josh Scallate, the budget was ultimately approved, maintaining the current tax rate.

The city will not increase its tax rate, keeping the overall millage rate steady at 73.9 mills. However, even with no change to the tax rate, officials expect to collect approximately $370,000 more in taxes due to an increase in the single mill value, which rose by $5,431 to reach a total of $131,885. This projected increase in revenue will help offset the anticipated $7.5 million growth in the budget, which is expected to be balanced by an additional $1.1 million in business license revenue and increases in property taxes.

In addition to maintaining tax rates, residents will see no change to their annual garbage collection fee of $270, despite a $75,000 increase in the city’s contract with its waste hauler. The budget allocates funds for significant infrastructure and community projects, with $28.5 million designated for 15 initiatives in the upcoming year.

Major Allocations in the 2026 Budget

Key allocations in the budget include:

$21 million for addressing stormwater drainage concerns at key intersections and streets, including Charles and Craven Streets, Port Republic and Carteret Streets, and King Street.
$250,000 dedicated to studying the underground infrastructure of Henry C. Chambers Waterfront Park.
$2.2 million set aside for improvements to city parks, including the creation of a new park on Boundary Street that will honor the 1st South Carolina Volunteers.

Employee Adjustments and Future Pay Increases

The new budget also includes a 3% cost-of-living adjustment for city employees, effective July 1, alongside one-time merit bonuses of up to 2.5%. Additionally, the budget provisions include setting aside funding for a potential future pay increase of 2.7%, depending on the results of an upcoming salary compensation study.

Controversial Cuts Proposed

During the budget approval process, Councilman Josh Scallate proposed significant cuts that included $42,000 from the Beaufort County Economic Development Corporation (BCEDC), $30,000 for a downtown master plan, and $5,000 for a statewide nursing retention initiative. Scallate argued these cuts would help redirect funds towards tax alleviation or infrastructure improvements, emphasizing the need for fiscal responsibility.

However, Mayor Phil Cromer expressed support for cutting funds to the BCEDC, voicing concerns about the potential for double taxation since the county also supports the organization. In contrast, Councilmen Mitch Mitchell, Neil Lipsitz, and Mike McFee opposed these cuts, leading to a divided council vote on the budget. Cromer and Scallate ultimately voted against the budget proposal, but the majority support allowed it to pass.

Final Remarks

The approval of Beaufort’s budget for 2026 comes after extensive discussions and highlights the balancing act the City Council must perform between maintaining support for community projects and managing the city’s finances effectively. With the budget set, city officials will now turn their attention to implementing planned improvements while ensuring the fiscal stability of the local government.

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Additional Resources

Author: STAFF HERE BEAUFORT

The HERE Beaufort Staff Writers are a collaborative team of journalists, editors, and local contributors passionate about delivering accurate, timely information to the Beaufort community. As part of the HEREcity.com Network, which powers over 100 U.S. city sites including HEREcolumbia.com, our staff draws on collective experience in South Carolina journalism to cover everything from business sales and real estate developments to dining deals and community initiatives. Our Expertise and Background: Local Roots in Beaufort : Our team includes lifelong Beaufort residents and SC natives with deep knowledge of the area’s history, economy, and culture. We’ve covered key events like the recent sale of the historic Crofts Block Building, Beaufort’s equestrian heritage, and growth in local tech and education sectors (e.g., BeaufortTechnical College programs). Collective Experience: With over 50 combined years in journalism, our staff has backgrounds in print, digital media, and community reporting. We prioritize fact-based stories, drawing from sources like the Beaufort Chamber of Commerce, city government records, and on-the-ground interviews. Commitment to Quality: Every article is a group effort, involving research, editing, and verification to ensure reliability. We adhere to journalistic standards, citing credible sources and updating content as new details emerge.

STAFF HERE BEAUFORT

The HERE Beaufort Staff Writers are a collaborative team of journalists, editors, and local contributors passionate about delivering accurate, timely information to the Beaufort community. As part of the HEREcity.com Network, which powers over 100 U.S. city sites including HEREcolumbia.com, our staff draws on collective experience in South Carolina journalism to cover everything from business sales and real estate developments to dining deals and community initiatives. Our Expertise and Background: Local Roots in Beaufort : Our team includes lifelong Beaufort residents and SC natives with deep knowledge of the area’s history, economy, and culture. We’ve covered key events like the recent sale of the historic Crofts Block Building, Beaufort’s equestrian heritage, and growth in local tech and education sectors (e.g., BeaufortTechnical College programs). Collective Experience: With over 50 combined years in journalism, our staff has backgrounds in print, digital media, and community reporting. We prioritize fact-based stories, drawing from sources like the Beaufort Chamber of Commerce, city government records, and on-the-ground interviews. Commitment to Quality: Every article is a group effort, involving research, editing, and verification to ensure reliability. We adhere to journalistic standards, citing credible sources and updating content as new details emerge.

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