County wants 5% budget cuts
TAVARES
County wants 5% budget cuts
GREG JONES | Staff Writer
gregjones@dailycommercial.com
Lake County commissioners want department heads to cut their budgets by 5 percent so the county can avoid running out of savings by 2015.
At a Tuesday morning workshop at the Administration Building in Tavares, County Manager Darren Gray gave a two-hour presentation, showing the county's current financial position with an 8 percent projected decline in tax revenue for 2012. Gray's five-year projection showed by 2015, the county won't have any funds available in its savings account to address emergencies such as hurricanes or other natural disasters.
The county currently has 9.3 percent of its budget earmarked for savings, but officials would feel better with 15 percent. Gray said there is a chance the commission could later reconsider dropping the 15 percent to something like 10 or 12 percent, if necessary.
The county has also used its savings in the past to help balance its annual budgets due to a decline in property tax revenues since 2007. Lake County has lost $36 million from its general revenue fund since that time and has had to reduce its workforce by 147 employees to help cover the loss.
"The county has been using its rainy day account for the last four or five years," Gray said.
The county still doesn't know how much money it will be losing to expected federal cuts in Medicaid. Those cuts could hurt Transportation Disadvantage, a transportation program used to help those with disabilities meet medical and nutritional needs.
Commissioner Jimmy Conner, who made a suggestion to use more volunteers to fill needs in places areas such as at libraries, was against making cuts to programs that serve those less fortunate like Children Services Grants and Aids.
County Commissioner Sean Parks agreed, saying: "That is one (program) I have trouble with a five percent reduction..."
Officials say the 5-percent departmental cut is an overall average because some departments could get cut more than others.
Property tax revenue figures won't be known until late May or early June and officials hope they don't see the 8 percent projected decline.
"We are hoping for anything below 8 percent, which is a good situation for us," Parks said. "Ideally, it would be great if there where no loss of property value. Anything less than 8 percent would be a bonus.
"If it came in at 4 percent or 2 1/2, then the situation gets a little bit better, (but) we are still in a predicament, so that is why it is important to get that official number."
Friday, May 04, 2012 - www.dailycommercial.com/050412cut