July 23, 2014 at 2:10 p.m.

Redkey looks for ways to save money (09/08/06)

Redkey Town Council

By By ROBERT BANSER-

REDKEY - Turning off every other street light in town and trimming police department expenses for equipment and gasoline but not cutting any employees, topped the list of cost-saving measures proposed by council members Thursday night.

Reducing the number of town employees was never given any serious consideration.

Council member Violet Erlenbush said, "I'm definitely not going to vote to cut any employees. ... I'd rather let the state do it." In response former town councilman and audience member Jim Funkhouser cautioned, "I think you'll be really sorry if you let the state come in and do that."

Erlenbush did propose trimming pay for the town council members who each receive $1,200 a year for their duties. However, that idea died for lack of a second.

Faced with a need to trim about $52,000 from the proposed 2007 tax levy figure of $233,833 (down to the estimated maximum allowable amount of $181,600) town council members met in a special session Thursday night to discuss potential cuts, with Erlenbush urging an appeal of the town's assessed value be filed with state officials.

Initially, town council president Dottie Quakenbush said, "We can't really afford to cut anything. I've looked it (the budget proposal) over and looked it over, and I don't know what the answer is."

Council member Darrell Smith initially agreed with Quakenbush, but clerk-treasurer Sandy Kirby pointed out that if the council doesn't decide where to make the required cuts, state officials would do it for them.

Funkhouser said he didn't think that would be a good alternative. He then offered a few suggestions, saying that when he served on the council during the energy crisis of the 1970s, money was saved by turning off street lights and conserving electricity.

Erlenbush proposed filing a protest with the state to increase the maximum tax levy (or amount raised) to $233,833.

This would mean that no cuts would have to be made.

Erlenbush said filing the appeal might force a meeting with state officials so that a compromise might be worked out.

Erlenbush said that the property in the town could be reassessed and the net assessed valuation could be increased from its current $13.8 million level. This would mean individual property owners in the community would be required to pay higher taxes.

"If you make no cuts, then the state will cut it for you," Kirby said.

Erlenbush persisted with her idea of filing a protest and setting up a meeting with state officials. Kirby and Quakenbush said they didn't know how this could be done, and told Erlenbush that she could proceed on her own if she wanted to try to file a protest.

Funkhouser told council members they should consider increasing water and sewer rates to help ease the budget crisis. "You have to get money from somewhere ... no one wants increases ... but everything is increasing," he said.

"I think you should bite the bullet," Funkhouser said, as he proposed increasing the town's water and sewer rates substantially.

Quakenbush said that the idea of increasing water and sewer rates was under consideration.

"I was advised that when you write an ordinance for a rate hike to make it substantial and do it all at once," she said, adding that she was not happy about this prospect - "I have to pay a water bill, too."

Increasing the water and sewer rates could help ease problems in the general fund, as money from the general fund is being used to pay expenses related to water and sewer operations, which are in the red.

For example, money to pay for health insurance benefits for the water and wastewater employees are coming from the general fund.

As Thursday evening's discussion continued, several budget-cutting moves were approved.

Marshal Donnie James said the police department should get rid of its four-wheel drive pickup truck which gets poor gas mileage. He said the department could get by on two standard police cars, noting that he had money in the police department budget to purchase a new squad car if the pickup truck was either sold or traded-in. Currently the department is operating with two standard police cars and the pickup truck. James' plan calls for trading in-or selling the truck as well as one of the squad cars and keeping the best of the two current squad cars, in addition to purchasing a new car. This will leave the department with two standard squad cars.

Quakenbush said another idea would be just to park the pickup truck.

"I don't want to park the truck. I want to get rid of it," James said.

The marshal proposed trimming the police department gasoline budget of $14,400 for 2007 by $5,500 if his recommendation about getting rid of the pickup truck was followed.

Also James pointed out that the police department budget included $3,650 for equipment, but he could cut that to zero.

In addition the marshal said that the proposed budget included $9,450 for health insurance coverage for himself and clerk-treasurer Kirby.

Those funds will not be used as he and Kirby already have health insurance benefits as a result of former jobs and were not signed up for the town's policy. James said that money could be dropped from the 2007 budget proposal.

Kirby said that if either she or James left their positions, a new clerk-treasurer or marshal might want insurance coverage, and there would be no provisions in the budget for it.

Other cost-saving measures included trimming $3,900 from the general fund's office assistance account; cutting the park department budget, which is not included in the general fund, from $6,500 to $3,500; and chopping $10,000 from the electricity and street lighting account by turning off every other street light in the community, including those downtown.

Kirby said this would mean reducing the electricity and street lighting account from $22,500 to $12,500. In addition to the street lights, this amount covers the cost of electricity in the town buildings, too.

The amount of cuts agreed upon for the general fund budget Thursday night totaled $32,500.

Redkey Fire Chief Randy Young raised concerns about safety in connection with turning off street lights, but council members unanimously voted in favor of trimming the $32,500 figure from the 2007 budget proposal.

Town council members agreed to stop making any more cuts at that point and submit the trimmed-down budget to state officials.

Second reading and final passage of the budget is scheduled for the next regular town council meeting at 6:30 p.m. on Thursday, Sept. 21, in town hall.[[In-content Ad]]
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