Politics & Government

Commissioners Look to Close $3.8 Million Shortfall

In a budget workshop Tuesday, the Oconee Commission considered some options to balance the proposed fiscal year 2012 budget that presently carries an 18 percent projected shortfall.

 

Who: Oconee County Board of Commissioners

What: Budget workshop

Find out what's happening in Oconeewith free, real-time updates from Patch.

When: Tuesday, May 17

Where: Commission Chambers, second floor of

Find out what's happening in Oconeewith free, real-time updates from Patch.

What you need to know:  There is a $3.8 million shortfall (18 percent) in the proposed fiscal year 2012 budget that the Commission must figure out how to resolve in order to balance it, according to Finance Director Jeff Benko.  The $3.8 million translates to $1.8 million requested above the base, he said.

What does it mean?

"To keep it simple, if the board was to adopt the [fiscal year] 2011 budget totals for the department into 2012, we would still have a remaining $1 million shortfall," Benko told commissioners. That might be a starting point, Chairman Melvin Davis said.

A millage rate increase is a potential option that doesn't necessarily translate into an overall tax increase of revenues because the tax digest is going down, Benko said.

Commissioner Jim Luke said property values went down for residential owners, but only by a small amount for most.  "All of us individual taxpayers, let's say, didn't get much of a reduction, " he said. "But land, developed property, lots took huge hits in value," and those owners would benefit the most from that option, Luke said.

There is also the potential to impact service levels, Benko said.

"The Board can set policy to adjust or change hours of operation," he  said.  "It could impact allocation support to the various agencies that look to the Board of Commissioners for funding be it the , Environmental Health...and so on under the joint governmental programs."

But is also some good news, Benko said.

There have been 4-6 percent rises in local option sales tax (LOST) and special local option sales tax (SPLOST) revenues in recent months, he reported. Being in a county that historically has low unemployment, the revenues for LOST and SPLOST have not been affected as hard or significantly as in other counties, Benko said.

"The way we have been positioned going into the recession three years ago has positioned us to weather it," he explained, adding that Oconee County hasn't had to go through some of the extremes that other areas of the state have had to. "Overall I think we are in better than average shape right now," he said. "But that means it's still not any easier.  We still gotta deal with these numbers."

What's next? Commissioners will meet in another budget workshop on Monday, May 23 at 7 p.m. for more discussion.

For more details from Tuesday's called meeting, see Lee Becker's


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