It was to a packed house at Wednesday night’s public hearing that Pat Merritt, the county’s chief finance officer, delivered the proposed budget for Fiscal Year 2011.
Thanks to massive cuts from the state and decreasing revenue the county found itself in a $4.8 million hole going into FY 2011.
“In my tenure, I’ve been here 15 years, we’ve never found ourselves in this much of a deficit,” said Merritt.
To make matters worse only 48 percent of the county’s budget can be cut. The remaining 52 percent is made up of items that, because of the law, can not be reduced, including public education at 41 percent. Of the $45.5 million proposed budget only $22.1 million is available for reductions.
To make ends meet the county reduced salaries by $800,000; reduced benefits by $600,000; reduced operating expenses by $600,000; eliminated its curbside recycling program; eliminated House Keys for Employees and tuition assistance; eliminated 27 positions; combined departments; and froze all capital projects. It also reduced funding to many county services and departments.
“Please understand that those 27 positions are real people,” Commissioner William Pickrum said. “Those are not vacancies.”
Even with all the cuts the county was still facing a $1.6 million deficit. To make up the difference the commissioners increased property taxes and pulled $200,000 out of the rainy day fund, “Which is totally exhausting it, there is no more,” Merritt said.
Property taxes were raised 5.5 cents from .972 cents to $1.027 per $100 of assessed value. The increase should generate $1.4 million.
“I don’t think any of us had any idea how tough it would be going through this budget,” said Commissioner Roy Crow. “The tax increase doesn’t even fill the gap we’re left from the state. It’s the way the state’s operating that is really throwing it back on us.”
Commissioner Ron Fithian said, “Raising taxes in this economic climate I agree is one of the worst things we could do. We have tried to spread the pain out as much as we could do.”
Two departments feeling the pain from a tight budget year are Upper Shore Aging and the health department. Upper Shore Aging saw its budget reduced by 17.8 percent, from $122,687 down to $100,804.
“I’m asking you to restore the funding to Upper Shore Aging. It provides hundreds of services that make aging more comfortable and enjoyable,” said Lorraine Langenfelder. “(With these cuts) Meals on Wheels is going to have to be reduced, the hours at the Amy Lynn Ferris Center will have to be reduced, and building maintenance will have to be reduced. We encourage you to make a respectful and fair investment in our seniors.”
On the chopping block at the health department is the school nursing program. The health department is getting $853,108 in FY 2011 compared to $976,216 in FY 2010.
“Losing that $30,000 means that I’m going to have to lay off a school nurse,” said Dr. Leland Spencer, county health officer. “If a nurse assigned to that school is ever out sick or on vacation then that school may not have a nurse. If there’s any way possible I would really ask that you restore that $30,000 to help the school nurse program.”
Residents also expressed frustration over the tax increase.
Richard Goodall, president of Dixon Valve & Coupling, said that when the company took a 30 percent hit in 2008-2009 it was forced to look at innovative ways on how to save money, including reducing some employees to four days a week and offering early retirements.
“We need to think outside the box and lean out our processes. We care more about our employees than the government ever will, but we have employees who are still working four days a week who will be paying this tax increase,” he said.
Jim McColgin, a landowner and father of five, said, “As I was listening to the information tonight I was thinking about what utility bill I won’t be able to pay, what my family won’t be able to do (because of the tax increase.) This is just one more burden … it’s going to have an impact on this county worse than you know.”
The commissioners will vote on the proposed budget during their next meeting, Tuesday, June 15, at 10:15 a.m.
Carla Massoni says
What is so sad about this situation is that the Governor, his delegates, our congressional delegation, and the White House will tell us how they cut budgets and didn’t raise taxes while throwing the task on local government. The pain of this recession is far from over. I like Mr. Goodall’s approach of trying to find the most innovative means of cutting budgets while saving the jobs of our fellow citizens – even if it means reduced hours. Taxes are going up – we must all share that burden, but not on the backs of the citizens who will suffer the most from these cuts. We have to be realistic about these tax increases – they are not the fault of our local government – but the result of a world wide economic debacle.
tiger says
what is sad is how the school system is spending money like it’s water – hiring more, closing zero buildings and renovating buildings that were renovated last year. The consolidation should stop here!
Troup says
Looks like AFSCME and SEIU could have spared its members the failed Congressional takeover attempts, and truly served its constituents.