Loading...
HomeMy WebLinkAboutM072810S District No.1 Commissioner: Phil Johnson District No.2 Commissioner: David W. Sullivan District No.3 Commissioner: John Austin County Administrator: Philip Morley Clerk of the Board: Lorna Delaney MINUTES Special Meeting July 28, 2010 Chairman David Sullivan called the meeting to order at 8:00 a.m. Commissioner Phil Johnson and Commissioner John Austin were present as well as the following Jefferson County Elected Officials and Department Directors: Assessor Jack Westerman, Auditor Donna Eldridge, Treasurer Judi Morris, Superior Court Clerk Ruth Gordon, Sheriff Anthony Hernandez, Judge Jill Landes, County Administrator Philip Morley, Clerk of the Board/Human Resource Manager Lorna Delaney, Juvenile Court Administrator Barbara Carr, Public Works Director Frank Gifford, Public Health Director Jean Baldwin and W.S.U. Extension Agent Katherine Baril. County Administrator Philip Morley explained that the purpose of this meeting is to discuss the County's finances and review future budget projections to determine strategies and goals for containing and reducing expenditures including non-labor and labor costs, as well as to discuss how the County can give its citizens a choice of whether to make cuts or to provide additional funds to preserve some services. Budget Consultant Anne Sears reviewed the budget projections for 2010 to 2015. In 2011 revenues are projected to increase approximately 1% while expenditures at current levels are expected to increase 3.4%. County Administrator Philip Morley reported that General Fund Revenue and Expenditure projections for 2011 thro 2015 are as follows: Revenue E nditures Balance 2012 $15379840 $16742408 $1 362568 He is negotiating with the labor unions to reduce employee labor costs which are approximately 55% of the General Fund budget. Employees are the most valuable aspect of the General Fund, because without staff the County is unable to provide any service. But, there are labor agreements that have minimum cost of living allowances, even at a time when inflation is arguably negative. There are also step increases that are automatic for each year of service until the top of the scale is reached. At a time when the County is facing significant budget cuts and layoffs, he thinks it makes sense to be looking at trying to contain labor costs. As part of the budget goals and objectives adopted by the Board this week the County will suspend salary increases next year for certain Elected Officials and exempt salaried positions. Ifhe is able to negotiate a suspension of employee cost of living adjustments and pay increases for 2011 with the labor unions, he expects the County will save approximately $350,000. Even with that savings there is still a significant budget gap. Page 1 Commissioners Special Meeting Minutes: July 28, 2010 Two revenue options that can be decided on by citizen choice include: 1) Public Safety Sales Tax of.3% (thirty cents on a $100 purchase) 2) Property Tax Levy Lid Lift He noted that if the Board decides to proceed with taking one of these options to a vote of the people, the deadline for submitting a ballot measure to the Jefferson County Auditor to be included in the November General Election is August 10,2010. Therefore, a decision will need to made by August 9, 2010 which is the last regularly scheduled Board of County Commissioner's meeting prior to that deadline. Or a Special Meeting on this issue could be held the morning of August 10,2010. Chairman Sullivan added that a Public Safety Sales Tax ballot measure can only be voted on in a Primary or General Election, so if the Board decides not to do it the next General Election held in November, then the next opportunity would be in the Primary Election next year. A Property Levy Lid Lift can be done in any election, however, the County levy rates must be set by the end of November, therefore, in order to have it go into effect for next year it can only be done in the November General Election, otherwise, it would have to be done next year for the following year. Additionally, a sales tax requires notification of the State 75 days before the quarter in which the sales tax takes effect. That means if it is approved in the November General Election, then the tax would not go into effect until the second quarter of20l1. A Public Safety Sales Tax would be split 60% to the County and 40% to the City of Port Townsend. It is projected that the tax would generate approximately $675,000 (slightly less for 2011 because it would not go into effect until April 2011) for the County and approximately $450,000 for the City. At least 1/3 of the tax must be used for criminal justice or public safety purposes. The City may be willing to temporarily assist with County programs within the City such as Memorial Field and the Port Townsend Recreation Center, in return for this additional funding. Additionally, state law was amended this year to eliminate any restrictions on supplanting or replacing revenues for existing programs and services. This means any revenue generated from the new sales tax can be spent to replace funding for existing programs and does not have to be used for new programs only. A proposed property tax levy lid lift increase of 12% per $1,000 of property value would raise approximately $622,000. An increase of 15% would raise approximately $777,000. A twelve cent increase per $1,000 for a property valued at $250,000 would result in a property tax increase of approximately $30.00 per year. After discussion of the options and how they may compete with similar ballot measures for other agencies, County Administrator Philip Morley polled the Elected Officials and Department Directors on which option they prefer. There was general consensus that a public safety sales tax would be preferred over a property tax levy lid lift because it would apply to all citizens and visitors Countywide rather than only affecting property owners. Page 2 Commissioners Special Meeting Minutes: July 28,2010 ~~"'.. ~ ,.'<- ~~: ,0 Discussion ensued regarding potential cuts for each department and how they will be impacted. After reviewing the "Operating Transfers Out" and "Non-Departmental" funds, County Administrator Philip Morley stated that he will prepare some goals regarding programs the County will ask the voters to support with a new tax which will give the public a clear choice about what they are voting for. The target is to identifY programs and services that will total $675,000. It was noted that the title "Public Safety Sales Tax" may be misleading to voters because a portion of the tax can be used for other purposes. Calling it an "Infrastructure" or "Special Purpose" "and Public Safety Sales Tax" may better reflect its usage. Each Elected Official and Department Director was asked to provide the County Administrator with their recommended permanent budget cuts for a ballot measure by 5 p.m., Friday, July 30, 2010. NOTICE OF ADJOURNMENT: Chairman Sullivan adjourned the meeting at 10:10 a.m. until the next regular Monday meeting at 9:00 a.m. or special meeting as properly noticed pursuant to RCW 42.30.080. ~Jj ,I .-~--~ ... h.>v Jo Austin, Member Page 3