County Board Weighs Options Regarding Levy, Revenue Needs

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Published on November 21 2016 10:02 pm
Last Updated on November 21 2016 10:02 pm
Written by Greg Sapp

Effingham County Board members agreed Monday they don't want to raise property tax rates.

They also agree that they need more revenue.

How to reconcile those two things was the subject of some discussion at their monthly meeting.

The Board seemed to favor raising the levy by 4.99%, the maximum allowed without holding a Truth in Taxation hearing. They also seemed to agree not to pay off the bonds a year early that financed construction of the Effingham County Government Center. They also seemed to reach a consensus to borrow from savings to square the budget's income with outgo for the fiscal year that begins December 1.

Nothing was voted on, though; the Board will meet as the Tax and Finance Committee of the Whole Monday to see whether something palatable can be hammered in time for the start of the new fiscal year.

County Board Chairman Jim Niemann made it clear he doesn't want to borrow from reserves to square up the budget; he is hoping to build up the reserve. Niemann reminded other Board members of just a few years ago when the reserves were even lower and how it made operating the County rather dicey.

The option of paying off the bonds financed by the county's public safety tax early is appealing, as it would save the County $20,000 heading into the final year the bonds will be on the books. However, that would involve borrowing from those reserves.

So would raising the levy by 4.99%; the County would still be about $233,000 short of a break-even budget.

The Board remains hopeful that after this year, things will look better. For one thing, having the building bonds paid off will free up another $85,000 a month in County revenues.

The possbility of raising the public safety tax by another 1/4 cent was also discussed. It would mean another $1.1 to $1.2 million in revenue each year. That would take the okay of the voters, though.

There was also discussion of raising revenue through increasing fees for services, but that would only affect certain departments and not the general revenue pool.

Again, the issue will be revisited on Monday night.

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Also Monday, the Board approved two contracts with two Fraternal Order of Police locals representing staffers of the Effingham County Sheriff's Department, and also granted pay increases to non-union County employees.

The Board awarded a liability insurance renewal with CIRMA including a 4.41% premium increase, and accepted Health Alliance's health insurance package with a 4% increase in overall rates.

Board members heard a proposal from David Faller of West and Company for a three-year agreement on audit services, but asked for a similar proposal for auditing the 911 system and the Circuit Clerk's office since it deals with court revenues. Faller promised proposals for a special meeting of the Board to close out the fiscal year on November 30.

Also, the Board named Karen Luchtefeld and Jackie Witges to terms on the County Board of Health and David Campbell as the County's representative to the South Central Illinois Regional Planning and Development Commission. Board members heard that flu vaccine is still available through the Health Department and heard from County Clerk Kerry Hirtzel that voter turnout was almost at 75% in the county for the election earlier this month.