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November 21, 2007
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County leaders meet to hash out money mess
By Debbie Lowe Staff writer

County leaders including commissioners, council members, county auditor and department heads met to discuss how to cope with the county's money crisis at an evening meeting Nov. 14. Council president Rob Baker told the audience the goal of the meeting was to "sit down with the commissioners to make sure we understand each other."

However, the council's finance committee report was placed in the bottom third of the agenda. After lengthy discussions with department heads and audience members about the future of the museum, Deer Creek Park, sale of county-owned property, veterans' burial benefits, fees for eight departments, a senior citizen's contract, local income tax options and the consolidation of all county police departments under one jurisdiction did finance committee chair Ann Brown present a report from the Indiana State Board of Accounts.

"The finance committee, in discussions with the SBOA (State Board of Accounts), has learned Carroll County is currently operating illegally," the document read. "That statement is based on the fact that we continue to issue checks paying for claims from a general fund with a deficit balance." ... "We have been informed that Carroll County MUST have a general fund with a positive balance by the end of the year.

"There was a problem ... created when E-911 funds (which were intended for future purchase of equipment) failed to get transferred into the E-911 account - from the general fund. That error, repeated for at least four years (with some correction for 2006), has created a shortage in the E-911 account, resulting in a forced financing of equipment that needs to be replaced in 2008. Without the funds available to cover the expiring contract, forced financing will cost a projected additional amount of $30,000 (with possible additional costs for installation) over and above the original proposal of $470,000 paid over three payments.

"With a like problem, but different circumstances, Area Plan presents another lack of funding, specifically for the new comprehensive land use plan and the proposed new zoning ordinance plan. The question of how to accumulate funds appropriated and to be saved for future specific use...must be addressed...

"A very important restriction we must observe... we must operate within the law."

"The key is controlling expenses (to match income)," Ron Slavens, a finance committee member, said. "We have to limit our loss this year."

"The commissioners will have to look at the claims and realize what we're up against," he added.

"It's real tough," finance committee member Steve Ashby said. "It's not a popular thing. We are in the red big time. We need to generate money and we don't have years to make this better."

As an example, Ashby said the county owes approximately 3,300 hours of compensatory time to various employees. If an employee leaves their position, the county is obligated to pay for any time accrued over 240 hours.

It was noted museum director Phyllis Moore, who will leave the paid position Dec. 31, has accrued approximately 840 hours.

Baker said Moore was urged to reduce that number two months ago. Moore said she has attempted to use some of the accrued hours, but she could not leave volunteers in charge of the museum.

County resident Shirley Inman said she wanted council members to stop paying life and health benefits to part-time employees, such as themselves, the commissioners and the coroner.

"It's a matter of priorities," she said.

Carl Abbott responded saying the part-time salary for council members was lower than other counties and the insurance helped to make up for that. He added that the job was more than part-time.

Discussion about the museum concerned the length of any agreement for use of courthouse space. Commissioners' attorney Barry Emerson advised that it would be illegal to sign a lease agreement with the historical society for the space and charge less than fair market value for more than one year at a time.

"I can't see anything happening for less than two years," commissioner George Mears said. "This was too much, too quick."

Commissioner Bill Brown expressed disappointment with the funding change and urged the other commissioners "to give them a window."

County parks board president Bob Burton presented a proposal to allow the current caretakers, who are compensated and reside onsite at Deer Creek Park, to provide the same level of care-taking in exchange for staying in their current residence. Burton said the caretakers would continue to rent the community center and handle the money.

He said they would use county-owned equipment to mow both facilities. Burton said he developed a plan with highway superintendent Ron Francis to repair the mowing equipment that he said was "no cost to the county." He further reported park board members are soliciting volunteers to help with tasks at the two county-owned parks.

Noting that the possible sale of Deer Creek Park or any county-owned property "won't bail us out of anything," consensus was county leaders should consider the sale of "any property that could turn a buck."

It was decided that auditor Beth Myers, Brown and commissioner Loren Hylton will develop a county credit card policy.

Slavens said he wanted to ensure the Carroll County Economic Development Corporation was spending EDIT money correctly and expected an expense budget for any further appropriations from the county.

Baker thanked audience members for attending the work session. He said he would like to see quarterly joint meetings.

Business owner Dick Bradshaw provided the following conclusive insight, "There are only five words you need to know to understand economics. 'There ain't no free lunch.'"