State impasse snags counties
WAYNESBURG – Greene County commissioners took out a $4 million tax anticipation loan Thursday morning to fund the county’s human services department as it awaits state funding during the 5 1/2-month-long budget impasse.
Of the total amount, $3 million will refund the county’s general fund for money already loaned to human services to cover its costs, county Chief Clerk Jeff Marshall said.
The remaining $1 million will allow the department to continue to operate until a state budget is approved and money begins to flow from the state.
The county has been using Act 13 drilling impact fee money as a stopgap measure for the human services department as the state budget impasse continues. Human Services Director Karen Bennett previously said the department began tightening its spending in August and made only essential purchases during that time.
The county received three proposals, but the commissioners chose Community Bank because it offered the lowest rate of 0.98 percent.
Earlier at their meeting, the commissioners adopted the county’s 2016 budget that includes a slight increase in spending, but no change in the property tax rate.
The $19.76 million general fund budget includes a 3.6 percent increase in spending compared to the current year budget. Property taxes will remain at 7.535 mills.
The largest increases in the budget were attributed to the normal increases in salaries and wages and insurance costs, Marshall said.
The county also will have to spend more for Children and Youth Services next year, he said. Part of the increase, he said, will pay for additional staff to address reporting requirements under changes in the child protective services law brought about by the Jerry Sandusky sexual abuse case.The county “unified budget,” which also includes various human services funds that were to be adopted at the start of the state’s fiscal year on July 1, totals $30 million, about a 3-percent increase from the current year.
The commissioners also voted to renew the county’s tax abatement ordinances for the next five years. Tax abatement has been offered in the county since 1989 and is aimed at spurring residential and commercial growth. The new ordinances are identical to those that expire at the end of the year, Marshall said.
The ordinances provide a five-year abatement on property taxes for the construction of new businesses or improvements on existing commercial, industrial or agricultural properties; and a three-year abatement for home construction and improvements.
One ordinance also provides an additional, four-year, partial abatement for businesses that employ more than 100 people and make improvements worth at least $500,000.
Under that ordinance, a company would receive the initial five-year abatement, during which it would pay no property taxes; it would then pay taxes at a discount: an 80 percent discount in year six, 60 percent in year seven, 40 percent in year eight and 20 percent in the ninth year.
The ordinances must also be adopted by the school districts and municipalities in order for the abatements to apply.
Marshall said he didn’t believe the four-year partial extension for businesses has ever been adopted at the school district or municipal levels and so never has been offered in the county.
During a salary board meeting that followed the commissioners’ meeting, Cheryl Cowan was retained as county solicitor and as a CYS agency attorney at a salary of $105,000.
Attorney Jeff Grimes also was hired as a CYS agency attorney at a salary of $33,000.
The meeting was Chuck Morris’ last meeting as a commissioner. Morris had failed to receive the Democratic nomination in the spring. Morris’ seat will be filled next month by Democrat Dave Coder.
“It’s been a good run,” Morris said, thanked his fellow commissioners, Cowan, Marshall and all the department heads and row officers. “I thank all of you for the kindness and courtesy that you’ve shown to me,” he said.
“Folks in Greene County don’t know how lucky they were to have Chuck Morris as a commissioner,” Commissioner Blair Zimmerman said. “(Morris) brought a lot to the table” and he will be missed, Zimmerman said.