SNOW HILL — Pushed by the state, Greene County Board of Commissioners have begun putting together a plan to rebuild the county’s saving account. Step one: revise the current budget based on actual revenue.
Commissioners met last week with the new Interim County Manager Richard Hicks to discuss potential revisions to the 2012-2013 budget.
“We’re trying to balance the budget with revenues that are available and cut expenses,” Hicks said in a telephone interview Friday.
Hicks said he doesn’t believe the county’s undesignated fund balance will top 8 percent anytime this fiscal year. That 8 percent mark is the minimum recommended by the state. The county’s undesignated fund balance dropped as low as 2.61 percent.
“Hopefully, when we do next year’s,” he said, “we’ll be setting aside money for the general fund.”
The goal for 2013-2014 will be to get the fund balance up to at least 8 percent, Hicks said.
“The finances didn’t get in this situation overnight,” he said. “This is the worst economic crisis since the ’30s. It’s been tough in all the counties.”
The county also fell on financial hard times because of some magical thinking in compiling the present budget. Revenue increases were projected on money from a quarter-cent sales tax increase and from federal payments to house prisoners in the county jail. The inmate program has not actualized and, though voters approved the tax increase in November, the revenue won’t start until flowing until April, about 90 days before the end of the fiscal year.
The draft budget Hicks presented to commissioners totals $17.5 million, an increase of $300,000 over the current budget. It would increase the fund balance by $218,357.
The board will be looking at it more closely at its Jan. 7 meeting when Hicks has had more time to make potential amendments to it.
On the draft budget, the quarter-cent tax line is being cut by $36,500 from $80,000, leaving $43,500 of revenue. The federal inmate budgeted $100,000 is totally cut.
State inmate dollars are also being cut by $220,000 to reflect the less-than-expected revenue that have been coming in, as well as the expected loss of revenue from Lenoir County inmates when the jail is complete. If the cut is made, that will leave $140,000 in the budget.
“I think you’ve got more competition than you have in the past,” Hicks said about renting space to inmates. “Just about every county is building a jail.”
Ambulance fees may be cut by $90,000, bringing the line item down to $735,000 because other county emergency services have increased their volunteers and are answering more calls.
An increase of $394,000 for Golden LEAF revenues for the Elaney Wood Farmer’s Market is projected sometime in the early part of the year when the project closes out. There are also a number of state and federal funds expected to come in this year for the Department of Social Services and the Senior Center.
Margaret Fisher can be reached at 252-559-1082 or Margaret.Fisher@Kinston.com.