$666,303 Found But Not Fully Utilized – Committee Sits on $2.35 Property Tax

The Jefferson County Budget Committee held a meeting on Thursday, June 26, 2014 in the Historic Jefferson County Courthouse.  The meeting was Called to Order by Chairman Griffith. Absent from Roll Call were Committee Members Blevins and Cureton (Turner).  Following a Motion from Committee Member Carmichael and 2nd from Committee Member Akard, the Minutes were Approved.

Jefferson County Finance Director Helton presented several budget amendments for consideration. With a Motion from Committee Member Dockery and 2nd from Carmichael, the Committee Approved amendments to the County General Fund with a fund balance impact of $48,630. Carmichael made a successful Motion to Approve additional amendments (no fund balance impact) for various line items for the County departments and was 2nd by Akard. The Highway Department also had a request for an amendment and it was Approved with a Motion from Akard and 2nd from Carmichael.

Jefferson County Schools brought amendments from General Fund, Federal Fund and Student Nutrition. The General Fund request involved a fund balance impact of $227,692 in utilities. Director of Schools Edmonds stated that it is likely that the costs associated with utilities for the Patriot Academy were not included in the 2013-2014 budget. The Federal Programs and Student Nutrition amendments were Approved with Motions from Maples/Akard and Carmichael/ Maples respectively. The General Fund amendment was Approved with a Motion from Akard and 2nd from Carmichael with Maples voting No.

The Budget Committee was recessed until the completion of the County Commission meeting, when the meeting was reconvened. Finance Director Helton informed the Committee that $666,303 had been assigned in the County General Fund Balance over several years of unclear accounting in regard to the Hotel/Motel tax. He stated that the Commission had been carrying the $666,303 as a part of funds that could not be spent, however that was in error and the funds could be moved into the regular fund balance for use. He also said that he could find no resolution that deemed that Hotel/Motel tax must be used for economic development and if that is the desire of the County Commission then a resolution will need to be passed to that end.

Committee Member Mills questioned if the funds could be moved without resolution. Mills made a Motion to fund the Chamber of Commerce and EDOC from new Hotel/Motel tax revenue and the remaining amount not covered by the Hotel/Motel tax to be funded out of the $666,303 that was found assigned in the fund balance. The amount coming from the $666,303 is $115,000 leaving the assigned fund with $535,000 to be considered at a later date. Mills was 2nd by Carmichael and the Motion Passed.

Helton presented several department requests for funding in the 2014-2015. The Committee determined with a 5-3 vote (Turner, Griffith and Beeler No-Dockery absent) and Motions from Carmichael and Baxley to stay with the amount of funding approved at the last 2014-2014 budget committee meeting, with no County departmental increases. The tax rate will go to full County Commission for approval at $2.35 and a use of $749,890 from County Fund Balance to balance the budget.