County finances good entering next budget process

 

[June 11, 2020] 

As the Logan County Board's Finance Committee gets ready for next year’s budget, Committee Chairman Chuck Ruben had some good news about the current budget.

The current budget was showing a $1.4 million deficit without the fund balance. After Ruben figured in the audited balance at just over $2,050,000, it brought the current budget to a positive balance of around $650,000. This is before getting anything back from anybody.

Some departments must be prepared for unpredictable major expenses. Last year there was $2 M returned not spent or saved last year.

Currently, the replacement tax is at 54 percent and income tax is at 50 percent, which Ruben said is right where they should be at mid-year.

The sales tax and public safety tax are both running a bit behind at 45 percent. However, Ruben said sales tax generally runs a month behind. He is hoping the sales tax numbers will start increasing as more places open back up.

A Cannabis Use Tax has started coming in and Ruben said it has already brought in $2,103 this year. This tax revenue was not put in last year’s budget, but will be added in for next year.

Almost all expenses, except health insurance, are at 50 percent or less.

Logan County Circuit Clerk Mary Kelley’s department expenses are above 50 percent, but Ruben said she spent quite a bit of money up front on computers at the beginning of this year. Those expense percentages will go down as the year progresses.

Committee member David Hepler said if Apex’s upcoming solar project is approved, they would like to begin the permitting process prior to the end of the next fiscal year. Hepler said that would potentially bring in another $208,000 of revenue to the county next year.

Ruben said there may also be some money coming in from the CARES (Corona Aid, Relief, Economic Security) Act, but the state has not written their rules yet. Ruben’s understanding is that those funds are supposed to be distributed by population. He is not sure when that funding would be received.

Once the bond is in place, it will bring in additional revenue. At some point, Ruben the airport budget will need to be repaid for what was taken out for the stained glass in the courthouse. The major criminal case fund balance will also need to be built back up.

Ruben said there should be an extra 25 percent of the sales tax that could be used to pay off some of the amounts in future years.

Committee member Dave Blankenship asked whether it had to be done all at once.

Ruben said these could be paid in smaller percentages.

Next month, Ruben said worksheets for the 2020-2021 budget will be sent to the county offices. Each committee will also start working on their budgets.

[Angela Reiners]