Roanoke Rapids City Manager Joseph Scherer will present to council next Tuesday a proposed budget that contains no projected tax increase, retains services at current levels and proposes no layoffs.

There is concern, however, that proposed state legislation in Raleigh could significantly impact city revenue streams, the city manager said during evening’s council work session.

Tax reform stands to eliminate five different revenue sources, Scherer told council, and legislators are proposing an option to expand sales tax in lieu of the losses.

The problem, he said, “Is there is no hold harmless provision where the state will make up any shortfall.”

Scherer has sent state Senator Angela Bryant a letter requesting a hold harmless provision in the package.

Passage of all the measures would mean a $1 million revenue loss for the city, Scherer said.

“They’re not being very community friendly,” Councilwoman Suetta Scarbrough said.

“It’s like they’re trying to use a club to kill ants,” Scherer said.

The city manager said following the work session, “We will have a budget. At this point there are no cuts in service or workforce reductions.”

Preparing the proposed budget, which will be presented to council at its regular meeting next Tuesday at 7 p.m., was relatively easy, Scherer said. “We’re trying to prioritize capital needs against personnel costs. We’re trying to put together a three to five year capital improvement plan to look ahead.”

A public hearing on the proposed financial plan is scheduled for May 14.