Council spends with caution, eyeing bottom line

When Carroll County Council members hear requests for spending not planned for in 2010, they examine revenue projections for the future and no longer look at the short-term effect of their actions before making spending decisions. Members who were on the council when it was necessary to significantly reduce the general fund budget in 2008, as well as new council members, did not take immediate action when presented with the news that four dump trucks, a pick-up truck and a chipper need to be replaced in the highway department in 2010.

Highway engineer Paul Couts presented a proposed equipment replacement plan for 2010 to 2012 that will cost $429,000, $400,000 and $420,000 respectively for those years if new equipment is purchased. The cost estimate dropped to $150,000 each year if good used equipment is procured.

“This is the best projection of what our needs are for the next three years,” Couts told the council at the Wednesday morning meeting.

“There is still a great need for single axle trucks,” he continued. “And the county cannot afford to go to all tandems.”

Council member Ron Slavens suggested the use of Rainy Day Funds for the 2010 equipment replacement. Auditor Beth Myers reported that she deposited $475,733 from the 2009 budget into the fund as of Dec. 31, which brings the balance to $1,162,597.82.

Other council members disagreed that it was a wise decision to use that fund for replacement of highway equipment.

“I don’t think this is a Rainy Day Fund situation,” Scott Ayres said. “These things need to be worked into the budget.”

Carl Abbott concurred. He said he would not vote to spend money from the fund for non-emergency needs.

Couts said there were reserve funds in the maintenance equipment line item of the budget, but explained that he might need that money in case there are under-budgeted expenses, such as unemployment compensation and insurance premiums.

Council members noted they had the same concerns about using Rainy Day Funds to replace equipment.

“I’m just really concerned about using Rainy Day,” Ann Brown said. “To do that would put us back into crisis management and I don’t want to go there again.”

Brown urged the other council members to “do some homework” and work to find other funding options to use to implement the highway equipment plan. Council member consensus was to discuss the matter in joint session with the commissioners March 15 at 1 p.m.

Burnett’s Creek Arch

Highway funds approved to be encumbered from the 2009 budget include: $121,559 for the Lake Freeman Canal project near the Landings; $32,271 for bridge inspections; and $106,090.27 for a bridge over Paint Creek.

A request to encumber $107,343.70 for the Burnett’s Creek Arch was tabled after Slavens asked about the scope of work to be done on the project.

Couts said the county will have access to the arch on both sides of the road. He recommended the work be done because the structure appears on the National Register of Historic Places. He explained the project is in the engineering phase and that the project’s scope has been reduced to restrict access “as much as possible.”

Slavens said his concern is that funding for the project at this point is 100 percent from the cumulative bridge fund. In a follow-up interview he explained that he would rather those funds be spent to repair more heavily traveled county bridges and culverts.

“This bridge should get simple re- pairs only,” Slavens said Thursday. “It does not merit $1 million being spent on it. We have to work with the state to get more road funds.”

The request was tabled until the March 15 joint session.

Myers reported that all county funds are in balance with the treasurer’s office while giving the financial report. She said the ambulance service 2009 income was $366,284.75, which is the lowest amount since 2006 when it was $211,501.83. 2008 income was $422,254.65 and 2007 was $443,612.59. The monthly comparison, monthly financial statement, monthly and 2009 budget status and the monthly county revenue reports were distributed.

Treasurer Jane Brewington provided a report which indicated bank statements and the daily balance of cash and deposits in her office were in balance at the end of November.

Other business

Louis Nance was appointed to the Local Alcoholic Beverage Board, Janet Smith to the Delphi Public Library Board, and Dale Zinn and Raymond Zink reappointed to the Carroll County Redevelopment Commission.

The finance committee will meet Feb. 16 at 8:30 a.m.

The council and commissioners will meet in joint session March 15 at 1 p.m.

The next council meeting will be Feb. 18 at 8:30 a.m.

It was announced Thursday that the Indiana Department of Local Government Finance (DLGF) approved the Carroll County proposed 2010 budget, except for the materials budget for county highway. That budget was reduced from the requested $250,000 to $215,237 due to projected revenues, which are expected to be insufficient to fund the proposed budget. The highway department received $218,005 in 2008 and $220,469 in 2009, which would make the reduction from last year $5,232 in actually funding received.

“This is not anything to get upset about,” council president Ann Brown told the Comet in a follow-up interview. “We are fortunate that it was not a significant reduction. The money is just not there at the state or federal level.”