 Auditor Helen Barrick from Clifton and Gunderson LLP led off,
pointing out that it was "no surprise" that revenues had
significantly dropped from 2009 to 2010. Essentially, revenues were
budgeted $100,000 less and came in that much down.
However, expenses had been held down by the same amount, "as
anticipated," she said. Barrick complimented the finance committee
for their sound planning and departments for keeping to budgets in
what turned out to be a tough economic year for everyone.
Following the quick summary, Barrick launched into a closer
review of the ups, downs and changes, comparing what was budgeted
with actual revenues and expenditures in 2010, as well as figures
from 2009.
Finance chair Chuck Ruben interjected in the somewhat dismal
opening: "The bright side of this is that in our 2011 budget we
figured that we would transfer in only $474,778. And, what we're
actually going to transfer in is $734,214."
While the $260,000 more than expected is a good and needed
surprise, Ruben said he wished it were more like a half-million
bigger, but he added, "It's better than the other way."
As a government standard, Barrick recommends budgeting so that 30
percent of the general fund expenses are left for transfer into the
next year's budget. For Logan County, that would amount to almost $2
million.
Barrick said the primary reason the surplus fund is needed is
that as in most counties, property taxes do not come in until near
the end of the fiscal year.
Logan County property taxes represent approximately 13 percent of
the general fund revenue and about 25 percent of the revenue going
to all county-funded departments and agencies.
The late-in-year due date of major revenue can put cash flow in a
bind, delay bill payment and threaten payroll.
In order to cover expenses prior to property taxes coming in,
Logan County has been taking out tax anticipation warrants --
$400,000 this year. But those carry interest fees that Ruben said he
would like to get the county away from having to pay.
[to top of second column] |
Next year's budget process is under way, with the fiscal year
beginning on Dec. 1.
Budget hearings begin the morning of Aug. 17 and continue the
afternoon of Aug 18. At the hearings, county departments, supported
agencies and special historic sites will present their requests for
2011.
Currently, as of the end of May, the county was six months into
the fiscal year. Finance committeeman Terry Carlton reported that
expenses were at 52 percent, "right in line where we should be."
As of the end of June, it appeared that revenues were $2,000 less
than projected for the year.
___
Part 2 reviews significant revenues, how they came in and what's
being done to keep improving the county's standing.
Part 3 reviews expenses.
[By
JAN YOUNGQUIST]
Past related articles
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