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- Commissioners trim county budgets by $400,484
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By Myrna Trauntvein
Times-News Correspondent
With total expected revenue in 2008 of $400,484 less than the $6,349,045 of 2007, Juab County budgets were trimmed for the coming year.
In 2006, budget revenues were $5,620,138 which was $328,423 less than the 2008 expectation but was lower than the revenue for 2007.
“After all the dust has cleared, the general fund must balance,” said Pat Ingram, county clerk/auditor.
Commissioners said the revenues were taking a nose dive largely because the Currant Creek Power Plant, a centrally assessed property, is now beginning to depreciate as far as rules used by the Utah State Tax Commission are concerned.
Centrally assessed properties include railroads, airlines, mines, gas and oil wells, pipelines and utilities. The state’s Property Tax Division puts a value on the centrally assessed properties and the local county treasurer bills and collects the taxes.
Commissioners used some techniques available to them to mitigate the effects of the crunch on county residents. One of those was to freeze the budgets of all county offices and then meet with the officials of those offices to determine the importance of items left unpurchased as of December 2007.
Commissioners then determined to employ the accounting principle of “accelerated spending” to make purchases intended for the 2008 budget year which would be essential to the running of the county payable in the current budget year.
One of two residents who showed up for the hearings was John Reinhard who asked about the areas where funds had shown up in the previous year’s budget but had dashes where the figures were for the coming year.
“We paid those ahead,” said Ingram. “We accelerated the payments and paid this year for next year.”
This required many budget amendments to the 2007 budget to be presented at the public hearing held on Monday.
There were several areas where Ingram and Mike Seely, county administrator, recommended using the accelerated method to prepay needed items for the 2008 budget with money from the 2007 budget.
“We have been several weeks and have had meetings with the elected and appointed officials and have narrowed the budget to the point where we can make it work,” said LuWayne Walker, commissioner.
One special revenue fund, the property tax assessing and collecting (A&C) levy revenues fund was combined into the general fund and, as such, no longer appears under fund #12 but is now found in fund #10, the general fund.
As commissioners were reviewing the budget, Walker found one area where one form, used by insistence of the state tax commission, did not reflect the proper expenditure listed in another area.
“That is just a mistake on the form and can be repaired and a new page printed,” said Seely. “These are forms which come from the state.”
The landfill operations fund shows a projected loss when, in fact, there is none. It is a paper loss and not an actual loss, said Seely.
Citizens of the East Juab County region pay for use of the landfill via a monthly fee charged by each community. A trust fund was set up to collect the money and, as part of an agreement with each community, an amount is paid to cover operation of the facility.
However, the state form requires a line item for depreciation. The trust does not transfer that fee as an expense. Therefore, each year, the depreciation fee shows up as a loss.
“We will have to address that issue so that we meet the requirements of state law,” said Seely.
The general fund revenue expected fro the landfill is $19,632 as an approved budget appropriation for 2008.
The money is collected by the city and half of the fee paid goes to the hauler and one-half goes to the county to pay for operation of the landfill.
“It just looks like a loss on paper,” said Val Jones, commission chairman.
Chad Winn, commissioner, said that while the county was on the subject of the landfill and its operation, he wanted to thank employee, Allen Pay, who operates the landfill for the county.
“He is doing a good job,” he said.
A fund was made, in the past, to contain money set aside to fight for the R.S. 2477 roads in Juab County. That fund looks as though more money is being invested when, in fact, it is not.
“Nothing has been put in and nothing has been taken out,” said Ingram.
She said the increase just reflected the money gained through interest earnings on the investment.
Winagene Eyre, the other citizen attendee, asked if the county no longer helped with projects for the county centennial playhouse, located inside the count building, since no funds were included in the budget on the line item.
There was no longer a budget, it was true, but the commission would still consider a proposal by the Juab County Arts Council if county help is ever needed. The county did help with the purchase of the piano.
Commissioners pointed to the demolition derby held annually as a benefit to the county because it brings in revenue but has no loss or pay out.
“So far, there have only been revenues brought in and nothing has been paid out,” said Jones. “There have been no expenses.”
The derby brought in $43,168 in 2007 and is projected to do the same in 2008.
The Risk Management fund is necessary, said Ingram, to protect the county at times when there is a judgment for a centrally assessed property and the county is required to repay money already spent.
“It is, basically, an insurance to ally any costs if a taxing entity has an appeal and we have to pay them back after the money has been used by the county,” said Ingram.
The county budget of 2007, as amended, was accepted by commissioners by vote. The 2008 projected budget was also adopted for the coming year.
The clerk/auditor’s office is a combination of two statutory offices: clerk functions and auditor functions.
As auditor, Ingram administers the financial functions for the county.
She is the chief budget officer and prepares and administers the county wide budget.
“We need to thank Pat (Ingram) and Mike (Seely) for their work in helping prepare the budget,” said Winn.
Jones said that the two had taken on even more responsibility in that area because they were working to save the county money which used to be paid to an independent auditor.
More of the work is now being done in-house.
All efforts are now complete to be in compliance with Title 17, Chapter 36, Section 15, Utah Code, which states: “On or before the last day of each fiscal period, the governing body by resolution shall adopt the budget which, subject to further amendment, shall thereafter be in effect for the next fiscal period. A copy of the final budget, and of any subsequent amendment thereof, shall be certified by the budget officer and filed with the state auditor not later than 30 days after its adoption. A copy, similarly certified, shall be filed in the office of the budget officer for inspection by the public during business hours.”
Those wishing to see the budget approved by the county commission on Monday, may visit the office of the county clerk and ask to see a copy.
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