County council and commissioners met in joint session last Tuesday evening for nearly three hours, determined to work together and make progress toward a fix for the ailing county financial status. The meeting was led by council vice president, Carl Abbott, in the absence of president Rob Baker. They discussed suggestions and guidelines provided by the Indiana State Board of Accounts (SBOA) and heard recommendations from the council finance committee.

The result was an agreement, in resolution form, about how to monitor compliance by the auditor and the treasurer to achieve balanced accounts. They entered into a frank discussion about what could and could not be done to alleviate the current general fund financial crisis.

Leaders agreed by consensus to:

• Require accounts between the auditor and treasurer to balance daily;

• Require balanced accounts be reconciled with treasurer's cash sheet daily; and

• Require both offices' balanced records be reconciled with bank statements monthly.

Council finance committee chair Ann Brown reported treasurer Jane Brewington has paid an ex-state board of accounts worker to help reconcile ledgers in her office, but the task has not been completed. It was decided to instruct Brewington to obtain a commitment from the worker to finish the project quickly. Brown said another professional person was scheduled to work in the office to help Brewington sort out the situation.

It was decided that commissioners will receive reports from the auditor and the treasurer identical to those given to the council monthly.

Council member Ron Slavens, who led the financial discussion, said that although the county expects approximately $5.5 million in revenue for 2007 (without the addition of the property tax rebate), a budget of nearly $6.8 million was submitted for approval to the Indiana Department of Local Government Finance in September. He stressed the need to enhance county revenue in the form of increased fees immediately.

"Something isn't going to add up," he said to initiate a discussion about the logical next step to take.

Slavens said the council could borrow funds from the cumulative bridge fund. He said there is an approximate $600,000 in reserve in the account.

Slavens said the cumulative capital improvement fund could be used for capital expenses, such as the purchase of new police cars, furnaces, etc., rather than relying on the general fund. However, he emphasized a budget for that fund must be established to prevent overspending and to track planned spending.

Consensus was for both commissioners and council to work together to develop the budget, which must be completed and advertised prior to submitting the comprehensive county budget to the Department of Local Government Finance in September. Before the 2009 cum cap budget can be developed, the 2008 budget must be returned as approved by DLGF. That action is expected by March.

Commissioners' president Loren Hylton noted the county would have to be "more forward thinking" when making a budget for the cum cap fund.

By consensus, county leaders will receive a list of county-officespecific accounts supported by user fees and their balances. Formerly referred to as "hidden accounts," auditor Beth Myers said she is aware of the accounts and tracks them, however she has not routinely reported account balances to other county leaders for spending considerations.

According to the SBOA, the council is the entity responsible to track account balances and compare them against department spending requests as a tool to aid in granting the requests. Tax Increment Financing Districts

Tax Increment Financing (TIF) districts, their benefits and issues, were discussed at the meeting. According to commissioners' attorney Barry Emerson, a TIF district can be dissolved when the bond for improvements is satisfied. However the county general fund would not realize the additional tax revenue. The revenue previously used to repay the note would result in lower property taxes.

Emerson said the 61-acre Indiana Packers TIF district redevelopment authority has been able to invest some of the tax money collected to repay the loan. Some of those funds could be borrowed to enhance the general fund, with agreement from the TIF board.

It was concluded that the issue to resolve was how to repay the borrowed money. A meeting with the TIF redevelopment authority will be set in March to discuss the matter. Economic Development Income Tax

Carroll County Chamber of Commerce President Dick Bradshaw appeared to talk about the future. He requested the council increase the Economic Development Income Tax from 1.1 to 2.5 percent of gross wages. Bradshaw recommended revenue from the increase be solely dedicated to economic development. He said specific five-year projects would benefit from the increase.

"There are things that need to be done in this county," Bradshaw said. "It takes money to bring and keep new businesses and to diversify the economy."

Bradshaw said to enact the tax increase in 2008 would not produce revenue until 2009.

Council member Steve Ashby said he would not vote to increase any tax until the county budget was balanced. Bradshaw urged the group not to be "short sighted." Comprehensive Land Use Plan

County resident Larry Trapp, who is a member of the steering committee for the comprehensive land use plan currently under development, asked commissioners about progress in finding a replacement for outgoing zoning administrator Dale Huffer. Huffer announced his decision to retire by March 1 to the Carroll County Area Plan Commission in November. APC chose to not meet in December.

Hylton said he recently spoke with APC president Bob McCain about the appointment. Hylton indicated the hiring decision was the responsibility of APC. Emerson concurred with that opinion.

However council member Brown referred to the "Your Indiana Government" book published by the Indiana Chamber of Commerce. That source said the responsibility of the appointment rested with commissioners.

Emerson said he would research the matter for the correct answer.

Trapp emphasized the need to complete a thorough search for the most qualified candidate. He said it was imperative for the county to secure the maximum advantageous outcome for the plan to enhance future growth and development in the county.

Next meeting

Council will meet Dec. 27 at 8:30 a.m. in regular session.