PILOT MOUNTAIN — While the Pilot Mountain board of commissioners will not be sitting down to look at the budget for the coming fiscal year until June, town Manager Blair Knox delivered news last night of proposed raises for town employees and no changes in the town’s property tax rate.

The town’s board will meet in a budget workshop on June 7 from 6 to 8:30 p.m. to consider Knox’s budget proposal.

Knox proposed a change in health insurance for town employees that will raise deductibles but will lower the limit on out-of-pocket expenses. This measure will save the town $25,000 yearly.

Knox also proposed 2.7 percent cost-of-living pay increase that will cost the town $19,000 in the 2010-11 fiscal year.

The property-tax rate of .56 cents per $100 of assessed value will stay the same.

“Overall this budget proposal is very lean and is based on a generally positive economic outlook. Unexpected events requiring capital expenditures will require additional funds,” Knox said.

He also proposed the town purchase two capital outlay items in 2011. The first is computer monitoring systems for the town’s 19 sewer pumping stations, which have to be manually checked every day. He said this system would save the town money in the long run because each station could be checked once a week, saving the town in manpower costs. The cost of the system is $43,000.

The second proposed capital outlay is the purchase of a new police car at $35,000. Knox said the last new cruiser purchased by the town was in 2004.

The North Carolina League of Municipalities has asked the town if it would be willing to showcase its economic development projects at its next annual conference, Knox said.

The town received grants and awards of $970,000 in funding in fiscal year 2009-10.

“I can find no better proof of success in the area of economic development than being chosen by the NCLM to showcase economic development successes to local government peers across the entire state of North Carolina. We are honored by this opportunity and recognition,” Knox said.

In other action, the board approved an incentive package for Wound About, a rope-making company, that is relocating within city limits. Knox said the company will have to pay its property taxes up front. The company has promised to provide seven jobs and will get 20 percent of the taxes paid back if all of the conditions of the incentive agreement are met. Knox said the incentive comes up to $590. Commissioner Andrew French made the motion to approve the action with Commissioner Sam Rule making the second. All others agreed without opposition.

Contact Mondee Tilley at mtilley@mtairynews.com or at 719-1930.