Officials try to bridge $7.8M gapBy Diane Knich (Contact)
The Post and Courier
Monday, August 25, 2008
If you goCharleston County Council's budget review sessions will be at 4:15 p.m. on Sept. 2 and Sept. 16 in the Lonnie Hamilton III Public Services Building, 4045 Bridge View Drive, North Charleston. Charleston County is facing some financial hard times that could mean cuts to some services and a tax increase for the first time in 13 years. Keith Bustraan, the county's chief financial officer, said the county has to prepare now to cover a $7.8 million projected shortfall in the 2010 budget. The 2010 fiscal year begins July 1, 2009. County staffers asked County Council to form three committees to look at all of the county's departments for places to cut costs and streamline services, he said. "Essentially, we're saying, 'OK County Council, what do you want to do?' " The committees have met once already and will meet two more times in September, Bustraan said. He said also that there are three ways to cover a projected shortfall: cut operating costs, raise taxes or fees or dip into a reserve fund. Councilman Joe McKeown, chairman of one of the committees, said he thinks it's possible to cut the county's budget by $7.8 million without raising taxes. "We can become better at doing what we do and do it more efficiently," he said. A $7.8 million dollar shortfall is a lot of money, he said, but it is only about 2 percent of the county's budget. Councilman Teddie Pryor, chairman of another budget review committee, said county staffers also are making recommendations on what can be cut. "The likelihood of me finding something (to cut) is slim to none," he said. "I'm not an auditor." But, he said, "I will take their recommendations. They run day-to-day operations." The council is trying to avoid a tax increase, he said. "We'll probably squeak by in 2009," he said. But the county might have to increase taxes in 2010 to compensate for increased costs, including those associated with the opening of an expansion to the Charleston County Detention Center. The expansion is expected to open in early 2010. Pryor also said that the county has to be careful not to cut vital services. "Public safety is our number one issue," he said. Bustraan said the expected $7.8 million shortfall comes from increased expenses, including the jail expansion, higher fuel costs, cost-of-living increases for employees and inflation. The county already has cut back its operating costs in the current fiscal year, he said. Staffers made $3 million in budget cuts in the early part of the year, he said. And they likely will have to cut another $2 million before the year is over. So far this year, the county has cut costs by reducing the number of vehicles used by employees, conserving energy and eliminating some positions. The county dipped into its fund balance during the past two years to balance budgets, Bustraan said. But it can't continue to do that. To maintain the best possible bond rating, the county must keep a reserve of about $30.5 million on hand, Bustraan said. That's about two months of operating expenses, he said. "If you use it it says to Wall Street that Charleston County is in trouble," he said Reach Diane Knich at 937-5491 or dknich@post andcourier.com. |
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Comments
This article has 15 comment(s)
Posted by WhoCares on August 25, 2008 at 5:45 a.m. (Suggest removal)
pretty cyncical eh Thomas1776??
Posted by JourneyOn on August 25, 2008 at 7:29 a.m. (Suggest removal)
I tell you what Thomas, a new Charleston County Citizen's Academy is forming. Why don't you sign up and go see for yourself what the County is doing with all those tax dollars? Then come back and let us all know.
County Council has not raised taxes in years and it is now coming back to bite them with the ripple effect of all the fuel cost increases. I don't think there is 2% in the operating budget to cut but there is at least 2% in services that could be cut. What services are we willing to do without in order to avoid a tax increase?
Posted by feb251939 on August 25, 2008 at 7:35 a.m. (Suggest removal)
(cost-of-living increases for employees)
OK, there is the solution for the citizens of Charleston County, just go your boss ask for a cost of living pay increase. s/
Posted by DoaMM on August 25, 2008 at 7:43 a.m. (Suggest removal)
wpc, the number is actually 3%. It's a trickle down effect from the state two weeks ago. Since the state has to cut 3% of their budget, all government agencies below that are taking the hit as well.
Thanks JourneyOn, that's what I was going to suggest to Thomas.
Posted by STREETLAW on August 25, 2008 at 9:17 a.m. (Suggest removal)
Ah, the blind (and often corrupt) leading the blind. Politicians relying on bureaucrats whose primary obligation is to protect their rice bowls.
Why not just do what the Feds do. Print more money.
Posted by drp7773 on August 25, 2008 at 10:03 a.m. (Suggest removal)
But they have 800.000 to loan to another art program, mmmmmm
Posted by mkris on August 25, 2008 at 10:03 a.m. (Suggest removal)
Of course South Carolinaians vote against thier own self interest. Where do you live? Fear works in this state to get elected. Bible thumping is the next best thing to get elected. Most evangelical christians are idiots, more interested in punishing the sinner, than giving someone a hand up. "Taxes are bad. The tax money goes to bad people. The politicians waste the hard earned money. Vote for me I'll help my good friends and punish the sinners."
Posted by guidedbystewart on August 25, 2008 at 10:06 a.m. (Suggest removal)
Great post mkris!
Posted by JDHawg on August 25, 2008 at 10:43 a.m. (Suggest removal)
How much does it cost to have this committee do this study to find what areas to cut?
Posted by coolfreaknbeans on August 25, 2008 at 10:53 a.m. (Suggest removal)
JDHawg-I have often wondered the same thing in many cases.One recently was the A/C problem at a MtP school.Let's hire a team of experts to figure out how/why we screwed up.Stupid waste of taxpayers money as usual.
Posted by DoaMM on August 25, 2008 at 12:25 p.m. (Suggest removal)
"County staffers asked County Council to form three committees..."
Sounds like the committees are formed FROM the council members instead of paying anything extra for an outside agency to form the committee.
If that's the case, it doesn't cost an extra dime to have the committee do a study.
Posted by scienceguy on August 25, 2008 at 12:41 p.m. (Suggest removal)
Did someone say school buses?
http://www.charleston.net/news/2008/may/...
http://charleston.net/news/2008/aug/19/s...
http://www.postandcourier.com/news/2008/...
Posted by Rebel_Yell on August 25, 2008 at 3:57 p.m. (Suggest removal)
drp--you need to figure out that Charleston County Govt is not the City of Charleston Govt. Chas County is not giving a dime to the art program you reference. They give all their $ to the service district that has to fund the so called Town of James Island which refuses to pay for its own priorities (i.e police, fire etc.) like every other town with 5,000 or more people.
Posted by IPFreely on August 25, 2008 at 5:10 p.m. (Suggest removal)
How much would the average tax bill increase if they would raise taxes to cover the shortfall?
Posted by JourneyOn on August 26, 2008 at 7:32 a.m. (Suggest removal)
IPFreely, go to www.charlestoncounty.org and email the question to them. Someone will answer your question in detail.