BOARD OF SUPERVISORS’ BUDGET WORK SESSION
Tuesday, April 26, 2011
Present: Mr. Joe Dan Johnson, Mr. Tommy Bruguiere, Mr. Allen Hale, Mr. Tommy Harvey and Ms. Connie Brennan
FY11-12 BUDGET WORK SESSION:
Ms. McCann reviewed the changes made in the previous work session, noting the remaining contingency from recurring revenue of $143,669 and from non-recurring revenue of $159,000.
Ms. McCann then reviewed the Other Fund Budgets as follows:
Debt Service Fund – General Fund total $1,018,658 and include all debt service payments and fees for convenience centers/construction & equipment; and the courthouse judicial center (including a pre-payment of $253,818 to shorten the 40-year debt service to 20 years if continued).
Debt Service related to the School Fund total $2,779,483 and include all debt service payments and fees for bus leases (only one lease remaining); Tye River Elementary; Rockfish River Elementary; VRS refinancing; and NCHS renovations/New Middle School.
Capital Fund contains a remaining available fund balance of approximately $1.1 million which could be used for capital projects.
Courthouse Project Fund anticipates remaining project costs for the second floor connector and the 10% construction retainage being held until project acceptance plus an interest-only payment due in July. Debt service payments also begin in July.
Broadband Project Fund includes grant funding to provide installation of a fiber optic network and towers from the north to the south end of the county. The budget includes network operational expenses of $48,112 for a partial year (3-6 months). The budget also includes the remaining local match of $391,662.
CDBG Fund contains grant funding for the Dental Center grant ($695,000); the Artisan Trail Planning Grant ($3,000) and the Broadband grant ($200,000).
Piney River Water/Sewer Fund with projected receipts of $100,000 and with expenses anticipated to exceed revenues by $92,614.
Mr. Harvey and Ms. Brennan reported on their committee meetings with members of the School Board and Administration. Mr. Harvey said that the committee is trying to identify and understand the issues causing stress, including the way employee insurance contributions are calculated, pay increases for employees and fuel budget estimates. Mr. Harvey said that changing the way the school employees’ insurance contribution is made could conceivably cost a lot of money and suggested leaving that issue alone. He said that the way pay increases are applied could result in some receiving less than 1% and others receiving more than 18%. Ms. Brennan suggested giving the School Board a percentage based on last year’s salaries and letting them decide how to apply it.
Supervisors discussed the budget estimates for fuel costs. Noting the unpredictability of fuel costs, Mr. Harvey suggested that the Supervisors have an agreement with the School Board that the fuel budget is to be used only for fuel, with an accounting every 3-4 months. The use of any remaining budget money in this line item would be decided by both boards.
Supervisors then discussed a salary increase for county staff. Mr. Hale suggested consideration of a one-time cost of living increase for employees. Ms. Brennan said she would agree if the increase resulted in an adjustment to the pay scale. Mr. Harvey agreed with Ms. Brennan, saying that the pay scales need to be adjusted. He said that the Board had previously agreed that when the budget looked better, they would increase salaries. He said that he thinks a 1% increase is the way to go. Mr. Johnson suggested a combination of a one-time and percentage increase.
Supervisors also discussed utilizing the money set aside for TJPDC work on the Comp Plan update to pay for a new Planner position in Planning & Zoning beginning 3-4 months into the budget year.
Supervisors tabled further discussion and decisions on the budget until their April 28th meeting (7:00pm at the Courthouse).
Minutes courtesy of www.ruralnelson.org