NEW MADRID - New Madrid County improved its balances at the end of 2007 and despite rising costs hopes to do the same at the end of 2008.
According to the budget approved for 2008 by New Madrid County's commissioners recently, the general revenue fund began the year with $2,637,743.79 on hand, which was $577,026.39 more than the balance on hand the previous year.
The 2008 budget projects revenues at $4,997,317.76 and appropriations at $5,245,573.97, leaving an estimated $250,000 less than the balance on hand at the beginning of the year.
County Clerk Clement Cravens, however, remains optimistic.
"New Madrid County has historically estimated revenues conservatively, while overestimating expenditures in certain budgets to provide for possible unforeseen expenditures that may occur during the year," Cravens wrote in his budget message. "In this budget officer's opinion, the total of appropriations for expenditures in 2008, coupled with the conservative revenue projection, would result in an year-end balance in the General Revenue Fund that is approximately $300,000 more than the balance on hand Jan. 1, 2008, barring unforeseen major expenditures or revenue shortfalls."
Cravens said that approximately $400,000 of the unspent 2007 appropriations were the MoDOT Aviation and USDA Rural Development Grant awards. "Those grant awards not being expended also accounted for a portion of the revenue shortfall, as budgeted reimbursement for grant expenditures were not made to the county," he noted in his budget message.
The MoDOT Aviation Grant will reimburse the county $420,000 for expenditures totaling $483,600 for planned improvements to the airport during the coming year.
Health insurance premiums continue to rise for the county, however, Cravens pointed out a potential major increase for 2008 was avoided when the county changed insurance carriers. According to Cravens this resulted in only a 5 percent increase in health insurance costs for 2008 while maintaining the same benefits. The 2008 budget for Employee Fringe Benefits is anticipated to be $745,000.
The county continues to see a shortfall in the 911 fund. A transfer of $45,000 from the General Revenue Fund to the 911 Fund is slated for the year. The New Madrid County Ambulance District also provides funding in payments for dispatching services.
The county is required by state law to set aside 3 percent of its budget into an emergency fund. This year this totals $150,000, which Cravens noted has never been used for an emergency because the county has always had surplus funds available.
A USDA Rural Development Grant will be sought for $100,000 to provide funding for four vehicles for the New Madrid County Sheriff's Department. "We are working to bring an old fleet up to better standards," said Cravens. Currently the Sheriff's Department is budgeted for $553,815.62 in 2008 while the jail has a budget of $378,333.01.
Buildings and grounds has $10,000 more set aside for renovations and upgrades. The coming year's expenditures are forecast at $160,675.20.
Among the projected revenue for 2008, the one-half cent "revenue sharing" sales tax, which began in 2006, will continue. The county anticipated collecting approximately $2,850,000 in sales tax revenue this year of which 25 percent, or approximately $350,000, is distributed quarterly to the 15 incorporated cities, towns and villages in the county.
Presiding Commissioner Clyde Hawes said the passage of the half-cent sales tax by county citizens is one of the things that he is the most proud of. "This has allowed the county to fund other projects and still maintain a budget that will end the year in the black," Hawes said. "The revenue from the tax is shared with each city in the county, too. The money has been used by the cities to upgrade their services such as one town paved their main street, another has cleaned up a salvage area at the entrance to town another has remodeled their city hall and the list goes on."
The Roads and Bridge Fund will begin the year with cash on hand of $1,613,134.55, also up from 2007. Expenditures for the coming year are expected to be $3,607,500 with anticipated revenues of $3,528,577.27 along with a $200,000 transfer from the General Revenue funds.
Cravens said the County Commission appropriated the money from the General Revenue Fund for the purpose of road maintenance. "The county commissioners will travel the county inspecting existing roads, then prioritize needs. They intend to spread that $200,000 out as far as it will go. To cap roads and to maintain them. There are no plans, at this time, for new paving," he said.
Included in this budget is $1,395,000 appropriated for bridge replacement projects through the federal off-systems bridge program.
The county's three commissioners agreed that with a budget in the black, the work on the county's 60 miles of paved roads will be a good use of funds.
"Some of the roads are in need of a lot of repair," said Second District Commissioner Don Day. "Hopefully this summer, we can get work done."
But, cautioned First District Commissioner Mark Baker the rising costs of fuel will also continue to impact the county's budget during 2008. "But I still think we will end up in the black, with positive numbers at the end of the year."
The Presiding Commissioner added a special note for the county's officials in their efforts on behalf of the budget. "I'm extremely pleased that the officeholders cooperated with the commission in holding their budgets in line and still provide services to the citizens of the county," said Hawes.