Wednesday, November 21, 2012
BENTONVILLE — Benton County’s Budget Committee approved a 2013 budget Tuesday that leaves about $20,000 in projected revenue unspent.
The committee voted to send the budget to the Finance Committee for its Dec. 4 meeting. The budget will then move to the Committee of 13 on Dec. 11 and to the Quorum Court for final approval Dec. 20.
Budget Numbers
Sarah Daniels, Benton County comptroller, gave the county’s justices of the peace a budget proposal that matched the $40,841,935 estimated revenue against $40,180,051 in operating expenditures, leaving a net operating income of $661,884. By shifting some Sheriff’s Office jobs from the general fund, the county had about $1,246,000 available for cost-of-living increases, personnel and capital equipment requests.
Source: Staff Report
“That’s how our calendar unfolds,” Justice of the Peace Tom Allen said.
The budget tentatively approved by the Budget Committee includes 2 percent raises. Beyond that, the committee approved some personnel and capital requests and rejected others.
Among the items left unfunded is a request from the Sheriff’s Office for 10 patrol units, and a request for four vehicles for the Benton County Jail. A new prisoner transport for the jail was approved.
The Road Department had $356,500 in capital requests, for new equipment and vehicles, approved for inclusion in the 2013 budget. The department already cut its initial request by half and the committee took no time debating whether to approve the remaining items.
“The Road Department has already cut more than any other department,” Justice of the Peace Dan Douglas said.
The justices of the peace did spend time discussing use of its reserve money. Sarah Daniels, county’s comptroller, told the committee there are two “reserve” funds. Daniels said the county has about $15.5 million in unrestricted reserve and another $550,000 in capital reserve.
The county has in the past dedicated as much as $625,000 in a budget year to building up the capital reserve, which has been used to pay for larger projects.
The committee voted to pay for two repair projects, one to replace the roof on the County Administration Building and the second for exterior work on the Health Department building in Siloam Springs. The source of money for those projects was designated as the capital reserve, rather than 2013 operating revenue.
Justice of the Peace Frank Winscott said he was concerned about depleting the reserve instead of taking projects such as the building repairs out of annual operating revenue.
“At some point, this group has got to face balancing revenues with expenditures.” Winscott said.
Several justices of the peace argued the roof repair, with an expected 15- to 20-year life span, and the building work in Siloam Springs, which should last at least 10 years according to maintenance supervisor John Sudduth, were capital projects.
“We do have capital reserves and that’s where we need to take this out of,” Douglas said. “We are in what I think will be a temporary downturn in our revenues. That’s what we’ve got reserves for, to get us through the lean times.”
Justice of the Peace Kurt Moore said the county has a minimum reserve amount — roughly 10 percent of the annual budget — mandated by state law and the Quorum Court has adopted a practice of keeping a larger amount in reserve.
“$10 million in unallocated reserves, that’s been our line in the sand,” Moore said.