Gwinnett’s 2009 Budget May Require Tax Increases
Share this post by emailBy Camie Young
Senior Writer
The Gwinnett Daily Post
LAWRENCEVILLE - Gwinnett officials intend to raise taxes to balance the government budget and put more police officers and firefighters on the street.
Nearly two months after commissioners voted on a temporary spending plan for 2009, officials said they won’t use any of the county’s rainy day fund to balance the permanent budget, to be adopted next week.
But the new proposal is about $10 million more than the interim operating plan, and officials said they are hoping for $65 million in additional revenues to make up the difference.
“I don’t see much way to find that revenue without some adjustment to the millage rate,” County Administrator Jock Connell said.
A total of $40 million in cuts from a county efficiency study, including the elimination of 64 positions, mostly in permitting offices slowed by the downturn of the housing market, helped officials come close to eliminating the use of reserve funds to balance the 2009 spending plan.
But a new revenue projection based on the faltering economy created another $7 million budget gap, even before officials decided to add 58 more police officers and 42 firefighters to the county staff.
“We almost balanced the budget, and then the revenue projections came in,” Deputy County Administrator Mike Comer said. “The costs started going up at that point.”
Comer said the amount of a tax increase could become more clear in June, when officials are expected to have a clearer picture of the county tax digest, which could drop because of a decrease in real estate values.
Officials said they have no plans for furloughs or additional layoffs, although several jobs left vacant because of a hiring freeze have been eliminated. In addition to canceling the annual Gwinnett Glows fireworks display, cuts include reducing subsidies to services such as the Board of Health, children’s shelter, Latin American Association, Partnership Gwinnett and the county library system.
During a public comment session Monday, only one person spoke out concerning the budget proposal. Ellis Lamme of Buford lamented cuts made to the Upper Ocmulgee RC&D Council, which works on dam rehabilitation and flood control.
Tonight, commissioners will consider a 30 percent increase to occupational tax certificate applications, which is expected to bring in $3.5 million.
The proposed budget will be considered March 3.
By PATRICK FOX
The Atlanta Journal-Constitution
Monday, February 23, 2009
Gwinnett County on Monday unveiled its final proposed 2009 budget that calls for $1.6 billion in spending and adding 136 new positions, all in public safety.
Despite additional cuts made to the original budget proposed in December, the county is facing a revenue shortfall of about $62 million, said Jock Connell, county administrator. Without an economic turnaround, he said he didn’t see any way to avoid raising the millage rate on property.
The budget reflects declining revenues in property and sales tax, but maintains an emphasis on public safety and quality of life, Connell said.
Gwinnett County has reduced the millage rate on property almost 4 mills over the past 12 years. While the county’s tax rate on property has fallen 26 percent over that time, the cost for groceries and utilities has climbed by double digits, said Chad Teague, budget and administration director.
Among the budget’s major cost-saving initiatives are:
• Deferring helicopter replacement: $3 million.
• Outsourcing of work: $3.5 million.
• Reducing vehicle replacement charges: $3.9 million.
The county also plans to increase revenue by $6.5 million by raising fees for things such as Red Cross training, business licenses, mail fees for vehicle tags and gas leak emergency response.
In all, the county has eliminated about 120 positions, and a hiring freeze remains in effect until at least July.
“This was an unusual and especially difficult process,” said County Commission Chairman Charles Bannister.
Gwinnett Stadium Impact - An excerpt from a September 5th, 2008 AJC article (link below)
…(Gwinnett) county officials revealed the stadium costs would increase from $40 million to $59 million, and that the county would have to make up the difference.
The commission voted to approve withdrawing the money from the county’s general fund reserve - the rainy-day savings account for the county’s largest operating fund.
The decision won’t have a direct impact on county operations or tax bills, but will reduce the reserve fund by 12.5 percent, leaving a balance of $133 million.
Click here to review the Gwinnett Stadium impact…
So,… residents of Corinth Hills, your Gwinnett representatives are willing to dip (significantly) into the reserve fund to bail out the stadium project but unwilling to do so for you.
Banks are being bailed out, mortgagees are being bailed out, the Gwinnett Braves stadium project is being bailed out. You all pay your bills and are responsible for yourselves,… so what’s in it for you? HIGHER TAXES! Why? So that there is money to use to bail out other irresponsible institutions, political projects and individuals again in the future. Now, don’t you all feel better?
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