Budget Committee Recommends No Increase To Property Tax Budget
Monday evening, May 22, 2017 marked the final meeting of budget preparation before the budget proposal for the fiscal year 2017/18 goes before the full Commission body for confirmation. The Budget Committee will present a budget document that show no tax increase for the upcoming fiscal year, despite deep cuts in the Department of Education budget from state contributions and a slight increase in fire department funding. An approximate $350,000 budget deficit will be initially covered by funds accumulating in the hospital reserve account, which increases by around $750,000 annually, though it is expected that, as has happened in the current budget cycle, there will be “roll over” funds that will be used to restore the hospital reserve account. Roll over funds are monies that were budgeted but not spent in the previous fiscal year and “roll over” into fund balance at the start of the next fiscal year. Indications are that roll over funds will exceed or at least cover the $350,000 budgeted deficit.
In a motion by Budget Committee Member Tucker and 2nd by Budget Committee Member McGraw,the committee unanimously approved using the hospital reserve account to cover the $350,000 deficit, saving citizens from a property tax increase for another fiscal year. Tucker and McGraw also offered the motion that will restore the hospital reserve account with roll over funds. That motion also found unanimous favor. The Budget Committee finalized approval on a handful of proposed budgets that had been previously addressed but not yet come for vote. While some members of the Budget Committee expressed concern that a few items might need to be revisited, only one item came around for a second look. Committee Member Carmichael offered a motion to rescind $4,000 that was previously appropriated to Safe Space. Carmichael stated that a Safe Space representative had misrepresented the County funding donation when she appeared before the Budget Committee earlier this budget season. The Budget Committee was informed that the County makes no contribution to the charity but it has since been discovered that, by resolution, the County assigns half of a court tax to be split between Safe Space and Safe Harbor with each receiving around $22,000 in the last fiscal year. Carmichael was 2nd by Committee Member Beeler and the motion failed in a 5-5 split with Committee Members Carmichael, Douglas, Scarlett, Beeler and Eslinger voting in favor.
The Budget Committee entered their final meeting with a $295,000 deficit and ended the night with a $350,000 deficit after increasing fire department funding by $25,000 above the current fiscal year and restoring half of the contribution to Parrot’s Chapel Fire Department which had not been funded in the current budget proposal. The property tax level for Jefferson County, if the Budget Committee recommendation is approved by the full body of the Jefferson County Commission, will remain level at $2.35 for the fiscal year 2017/18.
