Will St. Joseph County government cut services or raise fees or taxes?
County elected officials and department heads started wrestling with that question Tuesday when they learned they’ll be asked this summer to cut 3 percent from this year’s budget when they make their 2017 funding requests.
Paring 3 percent from this year's $56 million general fund budget would reduce spending by about $1.7 million.
The county’s general fund cash reserves are projected to dwindle down to nothing over the next few years, based on current spending and known revenue trends, a county consultant told department heads and supervisors who filled nearly every seat in the council chambers Tuesday.
Patty Godsey, financial manager for the sheriff’s department, asked whether the council is planning to raise taxes or fees.
Republican county commissioner president Andy Kostielney rose from his seat at the front of the room, as if to leave County Council president Rafael Morton and Mike Hamann, both Democrats, sitting alone to answer the question, prompting some laughs from the room.
“Not at this point,” Hamann said, while noting next year he might again propose raising property tax rates on three county cumulative funds that have gradually decreased over the years. Those funds pay for infrastructure needs such as bridges and roads maintenance. The council has had to spend county economic development income tax money on those things as the funds have declined. The council voted against Hamann's proposal to restore the rates last year.
Morton said he couldn’t speak for all nine council members, but several members have told him they are “very strongly opposed to raising taxes before we go through a process such as this to make sure that each and every department is operating as efficiently as possible.”
“But we’ve also cut our budgets how many times? Major percentages,” Godsey replied. “Some of the departments have nothing else to cut.”