City has projected surplus of $70,000 in proposed 2011 budget
Lead Summary
By
Brandy Chandler-brandychandler@gmail.com
The city of Hillsboro will have a carryover of $70,000 into 2012, according to projections from the Hillsboro Auditor and Safety and Service Director.
The finance committee of the Hillsboro City Council met Thursday to discuss the budget and a recommendation to a full council, which meets Feb. 14.
Most departments saw decreases in their budget, while the Hillsboro Life Squad saw an increase of nearly $40,000.
Hillsboro Safety and Service Director Ralph Holt and Hillsboro Auditor Gary Lewis had informed the committee Jan. 18 that the city would have a balanced budget by the February council meeting. Lewis had said in early January that approximately $400,000 would need to be cut from the budget before March in order to balance the budget. Holt said during that meeting that $305,834.50 had been cut from the budget, and that they had more to cut.
For most of 2010 Lewis had reported that the city was facing a potential deficit by the end of 2011.
On Thursday, finance committee members questioned Lewis, Holt and Hillsboro Mayor Dick Zink on the budget.
Council member Bill Alexander asked how much of a carryover the city had from last year's budget, and Lewis said it was approximately $340,000.
"And it's only $70,000 this year?" Alexander asked.
"That is what's projected," Lewis said.
Zink said the city spent $385,000 less than it had appropriated.
Lewis told Alexander that there were several one-time items that led to the increase in the carryover, such as not replacing some retired city employees, funds from the sale of the former safety building and modular, and an increase in the projected estate tax.
Finance committee chairperson Peter Pence asked if committee, or other council members, had questions. Committee member Dave Shoemaker said he was "trying to decipher" copies of the budget distributed during the meeting. Pence asked if the committee wanted to look over the numbers during the weekend and meet again prior to Monday's council meeting.
"Can I ask a question?" Holt asked Pence. "It is my understanding, we were supposed to bring a balanced budget to council. (Pointing to Lewis) That man over there, and (administrative assistant) Kirby (Ellison) and I have worked hard to come up with this budget. We're coming to council with a $70,000 surplus. All we're asking is that council pass this budget for 2011."
Council had passed a temporary appropriations ordinance in December, which carries the city's finances through the end of February.
"Ralph is right," Shoemaker said. "Our job (as a committee) is to recommend a budget, regardless of what happens departmentally."
"What questions do you have about the departments?" Holt asked. "What happens departmentally, where we took funds, is not an issue for council. It's for the administration."
Shoemaker said he agreed with Holt, and that he knew they put a lot of hours into the budget.k
Lewis said that the approach to balancing the budge was different this year than it had been in the past, that he ran numbers and Holt and Ellison ran numbers separately, and they got together and compared them, and found areas to cut.
"The bottom line is, everyone is in agreement," Pence said. "Cut were made in every department, and we need to recognize the department heads."
Holt said that not every department was cut, but significant cuts were made.
"We're coming to you with a budget we're confident with," Lewis said.
"I can't say I'm confident with it," Zink said, "because we can't do things that need to be done. These cuts are not going to be an easy pill to swallow."
Alexander asked what cuts had been made there were going to be difficult to live with. Holt noted the cuts to the police and fire department, and Zink said that the city would not be paying to hire someone to mow the grass at Liberty Park, rather it would be done by city street department employees.
According to the proposed budget, Hillsboro Fire and Rescue was decreased from $1,384,753 in 2010 to $1,361,663 in 2011. The Hillsboro Police Department was decreased from $1,492,383 in 2010 to $1,488,821 in 2011.
The Hillsboro Life Squad saw an increase of $36,426. There was $97,824 in the 2010 life squad budget, and it was increased to $134,250 in 2011.
The total general fund for 2011 is listed as $4,968,540 in the proposed budget. It was $5,049,987 in the 2010 "actual" budget.
Appropriations in 2010 were $5,435,299.
Lewis said that the proposed 2011 budget had funds to replace one police officer that is retiring in 2011. Two officer retired in 2010 and they have not yet been replaced.
Pence said that the replacement of the police officers was in the finance committee, and that they would meet prior to the 7 p.m. council meeting Monday to discuss it.
The finance committee commended Holt, Lewis and Ellison on their work on balancing the budget.
The city of Hillsboro will have a carryover of $70,000 into 2012, according to projections from the Hillsboro Auditor and Safety and Service Director.
The finance committee of the Hillsboro City Council met Thursday to discuss the budget and a recommendation to a full council, which meets Feb. 14.
Most departments saw decreases in their budget, while the Hillsboro Life Squad saw an increase of nearly $40,000.
Hillsboro Safety and Service Director Ralph Holt and Hillsboro Auditor Gary Lewis had informed the committee Jan. 18 that the city would have a balanced budget by the February council meeting. Lewis had said in early January that approximately $400,000 would need to be cut from the budget before March in order to balance the budget. Holt said during that meeting that $305,834.50 had been cut from the budget, and that they had more to cut.
For most of 2010, Lewis had reported that the city was facing a potential deficit by the end of 2011.
On Thursday, finance committee members questioned Lewis, Holt and Hillsboro Mayor Dick Zink on the budget.
Council member Bill Alexander asked how much of a carryover the city had from last year's budget, and Lewis said it was approximately $340,000.
"And it's only $70,000 this year?" Alexander asked.
"That is what's projected," Lewis said.
Zink said the city spent $385,000 less than it had appropriated.
Lewis told Alexander that there were several one-time items that led to the increase in the carryover, such as not replacing some retired city employees, funds from the sale of the former safety building and modular, and an increase in the projected estate tax.
Finance committee chairperson Peter Pence asked if the committee, or other council members, had questions. Committee member Dave Shoemaker said he was "trying to decipher" copies of the budget distributed during the meeting. Pence asked if the committee wanted to look over the numbers during the weekend and meet again prior to Monday's council meeting.
"Can I ask a question?" Holt asked Pence. "It is my understanding, we were supposed to bring a balanced budget to council. (Pointing to Lewis) That man over there, and (administrative assistant) Kirby (Ellison) and I have worked hard to come up with this budget. We're coming to council with a $70,000 surplus. All we're asking is that council pass this budget for 2011."
Council had passed a temporary appropriations ordinance in December, which carries the city's finances through the end of February.
"Ralph is right," Shoemaker said. "Our job (as a committee) is to recommend a budget, regardless of what happens departmentally."
"What questions do you have about the departments?" Holt asked. "What happens departmentally, where we took funds, is not an issue for council. It's for the administration."
Shoemaker said he agreed with Holt, and that he knew they put a lot of hours into the budget.
Lewis said that the approach to balancing the budge was different this year than it had been in the past, that he ran numbers and Holt and Ellison ran numbers separately, and they got together and compared them and found areas to cut.
"The bottom line is, everyone is in agreement," Pence said. "Cuts were made in every department, and we need to recognize the department heads."
Holt said that not every department was cut, but significant cuts were made.
"We're coming to you with a budget we're confident with," Lewis said.
"I can't say I'm confident with it," Zink said, "because we can't do things that need to be done. These cuts are not going to be an easy pill to swallow."
Alexander asked what cuts had been made that were going to be difficult to live with. Holt noted the cuts to the police and fire department, and Zink said that the city would not be paying to hire someone to mow the grass at Liberty Park; rather, it would be done by city street department employees.
According to the proposed budget, Hillsboro Fire and Rescue was decreased from $1,384,753 in 2010 to $1,361,663 in 2011. The Hillsboro Police Department was decreased from $1,492,383 in 2010 to $1,488,821 in 2011.
The Hillsboro Life Squad saw an increase of $36,426. There was $97,824 in the 2010 life squad budget, and it was increased to $134,250 in 2011.
The total general fund for 2011 is listed as $4,968,540 in the proposed budget. It was $5,049,987 in the 2010 "actual" budget.
Appropriations in 2010 were $5,435,299.
Lewis said that the proposed 2011 budget had funds to replace one police officer that is retiring in 2011. Two officers retired in 2010, and they have not yet been replaced.
Pence said that the replacement of the police officers was in the finance committee, and that they would meet prior to the 7 p.m. council meeting Monday to discuss it.
The finance committee commended Holt, Lewis and Ellison on their work on balancing the budget.