Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: TUESDAY, March 26, 1991 TAG: 9103260592
SECTION: VIRGINIA PAGE: B-1 EDITION: EVENING
SOURCE: MARK LAYMAN STAFF WRITER
DATELINE: LENGTH: Medium
The 1991-1992 budget that Hodge was to give the supervisors today was out of balance by nearly $340,000. However, Hodge has a list of additional cuts that would make up that deficit, and the supervisors were expected to make suggestions of their own at today's budget work session.
Despite the hard times, the budget is based on a real estate tax rate of $1.13 per $100 of assessed value - a 2-cent reduction from the current rate. Keeping the tax rate at $1.15 would bring an additional $570,000 in revenue.
The supervisors decided two weeks ago to advertise a tax rate of $1.13. It still could be raised, but it would have to be re-advertised.
And Hodge wants the county to keep on stashing away some money.
It is likely the county will have a surplus of $1 million when the current budget year ends on June 30. Hodge wants to put $300,000 of that aside in case there are additional cuts in state funding. He wants to use $570,000 for capital projects, including the purchase of two ambulances and a pumper truck for the Fire Department. And he wants to use the rest of the year-end surplus to increase the county's unappropriated fund balance, which now totals $4.3 million.
No county employees will be laid off to balance the budget, but they won't get pay raises, either. "I've been in local government 15 years, and this is the first year that we've not given salary increases of any kind . . . Not me, not the board, either," Hodge said today.
The only reduction in services that Hodge has proposed is the elimination of vacuum leaf collection in suburban neighborhoods. "This budget has maintained service levels, but it is at the expense of employees," he said.
The 1991-1992 budget continues funding for a variety of health, social services, cultural and arts organizations, including Total Action Against Poverty ($25,000), Mental Health Services of Roanoke Valley ($69,984), Center in the Square ($15,000), the Roanoke Symphony ($2,500) and the Arts Council ($2,500).
The county is expecting only $3 million in new revenue from taxes and fees in 1991-1992 - down from the $4.5 million in new revenue that was budgeted for the current year.
State funding for the county - notably the Police Department - and its school system will be reduced $2.8 million.
That leaves a net revenue increase of only $206,000.
Putting aside his usual optimism, Hodge warned today that the worst might still be to come.
He is recommending that his staff do a midyear review of revenues and spending in December so additional budget adjustments can be made.
And, in two weeks, he is planning to give the supervisors revenue projections for the 1992-1993 budget year. "We don't think revenues are going to improve" by then, he said - and that means, when he brings his next budget to the supervisors a year from now, layoffs and reductions in service might be necessary.
There will be a public hearing on the budget on April 9 at 7 p.m. at the county administration building. The supervisors are scheduled to set tax rates for 1991-1992 on April 16. And they are scheduled to approve the budget on April 23.
by CNB