Council sets appropriation target for 2008 - $5 million
By Debbie Lowe Staff writer

Carroll County Council met in joint session with commissioners Thursday evening. The meeting was designed to provide an opportunity for both governmental entities to hear, in unison, recommendations from the Indiana Department of Local Government Finance (DLGF) about the county's fiscal outlook.

Council president Nancy S. Cripe wasted no time telling the group that the 2008 appropriation recommended by DLGF was $5 million, approximately $200,000 less than earlier expectations and $1.8 million less than the budget submitted last September. The revised budget is to include the repayment of $675,000 borrowed earlier from the cumulative bridge account.

"The sooner we can get our budget reduced, the better," Cripe advised.

"Basically, we need to do that tomorrow," council member Ann Brown said.

Finance committee report

Chairperson Brown reported the treasurer's office is within $111.31 of balancing the cash sheet with the bank accounts. She said this was "as close as it's going to get" and if the amount remains constant for two months, the Indiana State Board of Accounts will adjust the funds to zero out the difference.

Brown said there continues to be a discrepancy between the amount of money in the bank and the amount the bookkeeping records indicate is in the bank.

Auditor Beth Myers disagreed with the report which suggested errors resulting in the discrepancy have been posting errors done in the auditor's office.

"Now we know the funds are right," Brown said. "The accounts do not balance with the funds. This balancing is important to get completed," she added.

Brown said the county was going to have to borrow money from a lending institution in the near future. She said the county would have to have balanced books and a repayment plan developed in order to make that happen.

"If our county cannot balance 'our books' and have a plan to repay any monies borrowed, we will not be considered for a loan by any financial institution," the report read.

Brown said without a loan, the county would be forced to spend any available funds and would become bankrupt "in a few short months."

Suggestions offered to consider how to address the long-term fix for the county's financial problems included: Generate more income; examine all departmental expenditures focusing on the five which have benefited most from the overspending of the past; develop a budget for the cumulative capital improvement fund for savings; borrow from the Tax Increment Finance District; borrow from a financial institution; increase county fees for services, and revise the personnel policies.

One suggestion, to focus on five departmental budgets which experienced the largest increases in appropriations in the past five years, was implemented immediately. Recommendations were given to department heads for consideration to determine from where decreases will be made.

Commissioners were asked to reduce their budget by $439,000, Emergency Medical Services (EMS) by $465,000, sheriff's department by $133,000, the jail by $174,000 and Carroll Manor by $42,000. All departments were provided items to consider for reductions.

Nine additional departments including coroner, prosecutor, veteran's office, superior and joint courts, Emergency Management Agency, soil and water conservation, and the 4-H building were mentioned as departments that should expect budgetary reductions for 2008.

Commissioner Bill Brown expressed concern about where the commissioners might reduce their budget. The finance committee suggested, in the written report, commissioners reduce paid employee holidays, limit the use of cell phones and scope of overall telephonic services, stop all compensatory time, and limit or eliminate employee overtime as ways to reduce their budget.

"You can't just say 'we can't do this'," Ann Brown told commissioners. "We've got to do it."

Council member Jerry Hendress urged commissioners to revisit increasing fees for all county services.

"We have looked at some," Bill Brown said.

"You need to look again," Hendress replied.

Council members told commissioners it was imperative the personnel policy manual be amended due to vagueness. Areas such as overtime and comp. time, which tend to lead to overspending, must be changed.

Council member Ron Slavens said there is no audit trail or documentation for work time for county employees and suggested there was no control for overspending in that area.

Council member Steve Ashby said it was a problem that no one was in charge of enforcement of the policies.

Take-home vehicles, department credit cards and documentation of work hours were all problems for the county, according to Ann Brown.

Cripe said she did not believe that department heads should earn comp. and overtime.

A committee was established to address the personnel policy issues. Those named to serve were Rob Baker, one commissioner (not named at the meeting), highway superintendent Ron Francis, prosecutor Tricia Thompson, EMS director Mike Durr, and Maj. Tobe Leazenby of the sheriff's department.

A request to discuss an increase in the Economic Development Income Tax was tabled. However, five audience members were allowed to speak about the subject. Four of the five speakers sit on the Carroll County Economic Development Corporation board of directors and spoke in favor of the increase.

Commissioners decided to meet Feb. 26 at 9 a.m. to make reductions in their budget.

Council will meet today, Wednesday, beginning at 8 a.m. to begin the process of 2008 budget reductions. Council members will meet again Friday, Feb. 29, at 8:30 a.m.