County is slashing its budget

SEBRING --

If Highlands County commissioners agree with Administrator Michael Wright, $19 million will be cut from next year's budget, but that's not the bottom line.

"The budget is out of balance with tentative expenditures exceeding anticipated revenues by $8.8 million," Wright wrote to commissioners in a June 30 letter.

In other words, Wright has already cut almost 12 percent from the current $164 million budget; now the five commissioners need to tell Wright where and how to cut another 5 percent: cut more expenses, raise taxes or spend part of the $13 million currently in reserves.

"We're looking for input from the board," said June Fisher, community services division director. Wright left town after the budget was released, and wasn't available for comment on Thursday.

An implicit signal from the 2009-10 budget is that the value of houses continues to slip, said Barbara Stewart, who chairs the county commission. Two months ago, Property Appraiser Raymond McIntyre told the commissioners that agriculture and commercial property was holding steady, but he warned that in 2010, their worth may decline as well.

"We need to be very careful in using reserves," Stewart pointed out. If the recession deepens, the 2011-12 budget may be even more troublesome than FY 2010.

Stewart also vowed to vote against a property tax increase from 7.1 to 8 mills, an option mentioned by Wright: "The county commission could levy a rollback rate... resulting in almost $5 million more in revenues."

As department heads submitted their budgets, Wright and his team went through the suggestions, line by line, and asked, "Is it something we need to do, or something that's nice to do?"

"What Mike has tried to do is go back to the basics of what a county does," Fisher said.

Despite all the cuts, Wright recommended increases for the county's dirt road surfacing program, and to repaving blacktopped roads. Don't forget, Stewart reminded, the county skipped a year of resurfacing.

Due to this year's budget cuts, Sebring Parkway construction was put on hold. Next year, Wright wants to construct the northern leg of Sebring Parkway, which would add a new highway between the 90-degree turn in Sebring and College Drive, south of Avon Park.

The reason: if they don't build it now, Highlands County will have to return $1.2 million in "use it or lose it" state grants.

Also in the budget is the continuation of the expansion of the Children's Advocacy Center, Fisher said.

Highlights

$146 million budget is $19 million smaller than current year

$8.8 million more must be cut, or reserves used

FY 09-10 budget was prepared by the county staff

County commissioners will hold FY09/10 budget hearings in July and August

Commissioners must negotiate with sheriff, clerk of courts, property appraiser, tax collector and election supervisor

A balanced budget must be adopted by Sept. 30

Reductions

22 layoffs; 10 vacant positions won't be filled

Department budgets were cut by varying percentages