Local News
Fiscal court taps occupational tax fund to cover budget
Penny pinching from a few years back is now paying dividends, as indicated in the Laurel County Fiscal Court’s proposed $16.5 million budget. Though costs have increased and revenues are predicted to lessen because of the economy, the county has enough surplus from this year to roll over the difference to next year.
“I think we’ve done all right on it,” Laurel County Judge-Executive Lawrence Kuhl said of the proposed budget, which passed its first reading last week. “We’re trying to be very conservative on our spending. Our revenues are not going to be like they were in years past.”
To pay for expenses, $7.8 million needs to be injected from the occupational tax fund into the general, road, jail and forestry funds.
Lower revenues are expected in many major areas of collection, including motor vehicle taxes, deed transfer taxes and truck license taxes. The analysis shows the county expects a whopping $234,600 less in county clerk excess fees, money that is given to the county after Clerk Dean Johnson has covered his office’s expenses.
The county will also receive $260,000 less in funding this year for the beleaguered Laurel County Detention Center; due to overcrowding, the jail no longer houses as many federal prisoners — and so will not be reimbursed in kind.
County employee benefits and utilities are two areas in which the court is seeing increases in cost.
As per Kentucky statute, fiscal courts have been asked to contribute more to fringe benefits than in past years, a move that is costing the county $53,000 more this year.
The Fiscal Court is also facing higher utility bills.
“We’re still trying to be very conservative on all the utilities, not only for the buildings but also for fuel costs for operating vehicles,” Kuhl said.
Still, despite the increases, the county is in better shape than in years past.
In 2007, the county was forced to cut 14 county jobs, a move that was expected to save nearly $650,000, as well as drastically slash contributions made to local charities and organizations, including Come-Unity Cooperative Care, the London-Laurel County Optimist Club, the Laurel County Industrial Authority, Keavy DAV and American Red Cross.
The Fiscal Court has resumed contributing to some of these organizations, some of which will receive even more than last year.
For example, more than $66,000, $21,000 more than last year, will go toward the Laurel County Fair Grounds, the Optimist Club, London-Laurel County Chamber of Commerce and Keavy DAV this year. London-Laurel Industrial Development Authority support will be $150,000, $64,000 more than last year.
“We’ve helped them along, not to the magnitude we have in the past, but I feel good about trying to help them,” Kuhl said. “I wish we had money to help more. These are the ones we felt we had to help a little bit.”
Kuhl said the cutbacks, as well as a move to have county employees help contribute to their own health insurance, have both helped in stabilizing the fiscal outlook.
Still, Kuhl is cautious.
“We don’t know what we’re going to end up with after this month,” he said. “We don’t know what the ultimate expense is going to be at the jail.”
Staff writer Tara Kaprowy can be reached by e-mail at tkaprowy@sentinel-echo.com.
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