The general fund for Grays Harbor County will face another shoe-string year in 2017, with current department requests greatly exceeding revenue.
Each department within the general fund had an opportunity to submit a budget request for 2017. The requests that were received by the Grays Harbor County commissioners would create an operating deficit of more than $3.4 million if they’re approved in full for every department.
Currently, revenue is projected to top out around $26.5 million, while requested expenditures could exceed $30 million.
The operating deficit for 2016, as presented by county budget director Brenda Sherman on Sept. 21, is more than $1.18 million. Revenue is expected to decrease in 2017 by more than $606,000, and expenditures would increase by more than $1.64 million, if the departments receive their requests in full.
May sets the benchmark for “current level.” Requests that came in for 2016 after May would not be considered part of the current level for setting the 2017 budget, Sherman explained. Some of the departments may have had increases approved for 2016 which were not included in the current level benchmark that was used for the 2017 budget presentation.
Many departments put in for salary and benefits requests that are over current level. The departments with the largest over current level requests were the corrections department, the Sheriff’s Office, the Prosecutor’s Office and the planning and building department.
The corrections department’s request is more than $300,000 over current level. That request includes two additional corrections deputies, additional overtime pay, and holiday cash-outs.
The Sheriff’s Office’s request is more than $273,000 over current level, which includes funding for two additional deputies, an additional support specialist and a promotion.
The Prosecutor’s Office’s request is nearly $249,000 over current level. The increase would allow for an increase in the county’s contribution for the Prosecutor’s salary, a new position for data management, an additional legal secretary, a retirement cash-out, range/step increase and grid adjustments for current staff. An additional deputy prosecutor was approved by the commissioners earlier this month.
The planning and building department’s request is more than $242,000 over current level, which includes hiring a new building inspector, a new planner and additional help for scanning records.
Salaries and benefits in general are budgeted to increase by more than $472,000.
Beginning cash for 2017 will be more than $5.27 million, meaning funding each department at its complete request would dwindle ending cash for 2017 to some $1.8 million.
Ending cash functions the general fund’s reserves.
The county has a target ending cash of $4.25 million. That number would cover %16 of the annual general fund budget. Assuming the county approves every department’s request at a combined $3.4 million, but also drops any requests that are over current level (a savings of some $2.3 million), the county still would finish more than $335,000 short of its ending cash target.
The budget for 2017 does not include funds from the public safety sales tax which was passed by voters during the August primary election.
“Money could be transferred from the new fund if the board decides to do that,” Sherman said.
Sherman estimated some $1.4 million in public safety sales tax money for 2017.
“We’ll need to go through and decide how those funds are going to be distributed,” Sherman said. “There’s operating needs, there’s capital needs, there’s a lot of needs.”
Commissioner Vickie Raines said a meeting was being scheduled with county public safety elected officials to discuss how to divide the funds.
Another source of income for the general fund is through timber sales. The county receives funds from both county and state timber sales.
From county sales, Sherman has budgeted the general fund to receive more than $546,000 in 2017.
“This includes $190,000 in sales that (the county forestry department) doesn’t feel we’ll get this year, so we’ve rolled them into next year,” Sherman said. “It’s definitely not going to be really heavy in that area, from their projections.”
While 2016 saw more than $100,000 in state timber funds for the county, Sherman budgeted half that.
“It’s been really hard to predict with the numbers that come in from the Department of Natural Resources,” she said.
Department requests do not represent the actual budget for 2017. In the past, the commissioners have agreed that a budget is a “living document,” and they agreed again on Monday, Sept. 26.
Commissioner Raines said residents have told her public safety is their priority when it comes to funding.
“People want resident deputies, they want to make sure that if there’s an individual apprehended there is room for them at the jail,” Raines said.
For Raines, there remains some unknown figures which could change the budget, including ongoing union contract negotiations which could fluctuate salaries and benefits.
Commissioner Wes Cormier said he was taking a proactive approach.
“Since we passed the budget in 2016, I’ve tried my hardest to stay on point and keep to that budget as best as we can,” Cormier said. “Obviously there are going to be some things that come up that we have to address and that will cost money, like software and different items.”
As they had in 2016, each commissioner will submit their own budget proposal. Both Raines and Cormier said they would have a proposal ready by mid October.
The commissioners hope to have a hearing to adopt a 2017 budget for the general fund on Dec. 5. Until then, the commissioners are planning to hold workshops to discuss adjustments to the budget.
Additional budget meetings are scheduled for 10 a.m. on Oct. 5, 1 p.m. on Oct. 20, 1 p.m. on Nov. 3, 2 p.m. on Nov. 9, 1 p.m. on Nov. 15, and 3 p.m. on Nov. 17.
