The City of Kosciusko 2019 budget, which was finalized on Aug. 28, was submitted for approval at the Tuesday Board of Aldermen meeting.
There were no increases in taxes, but adjustments were made from 2018.
The contribution required of the city to the state Public Employees' Retirement System of Mississippi (PERS) increased from 15.75 percent to 16.4 percent, beginning in July 2019. According to City Clerk Hart Pettit the increase amounts to “roughly” $15,000. The increase is reflected in the budgeted “Total Personnel Services” of each department.
Departments are not allowed to operate at a deficit. However, the 2019 that was to be submitted for approval did indicate some revenue deficits. The reasons in each case vary, according to City Clerk Hart Pettit, but the figures do not indicate a lack of funding.
In some cases, a deficit will be met by the cash balance of a given department, Hart said. Some departmental cash balances are a result of prior years allocations not being used, he said. This is the case for the Charrette Fund, which receives roughly $40,000 per year. In 2019, the fund reflects a $99,500 deficit, but the fund cash balance will meet this need, according to Hart.
In other cases, such as the EMS Grant Fund, the deficit will be met with both departmental cash reserves and an anticipated yearly grant the city receives from the state Health Department, he said.
Following the Aug. 28 budget hearing, an additional $400,000 was added to the 2019 Waste Water budget. According to Hart, the city was subsequently notified that it will receive a $260,000 Community Development Block Grant, which was awarded by the Mississippi Development Authority, and will be used for ongoing sewer repairs. The corresponding project will cost $660,000, which is why the additional expenditure was added to the budget. The original proposal showed that the 2019 Waste Water Fund ending cash balance wass expected to be $786,557. That number is now likely to be $386,557.
The RSVP, or Retired Senior Volunteer Program, is also shown to be operating at a deficit. In fact, no money has been budgeted for the program, though expenses are listed at $10,871. The program is jointly financed by the city and Attala County. Future plans for the program are not finalized and Mayor Jimmy
Cockroft declined to comment because the city does not act autonomously in relation to it.
As noted in a previous Star-Herald article, Cockroft said that there are no across-the-board pay raises for city personnel. The same article noted the sewer and solid-waste flat-rate usage increases from $8 to $9, and $18 to $19, per month, respectively.
Cash reserves will be used to purchase a new fire truck for $350,000, which is the costliest single item for 2019. The truck is required to meet the state fire rating, which affects home owners insurance premiums.
The 2019 budget makes $283,890 in appropriations to the ambulance service, Attala County Farmers Market, Attala County Library, Boys & Girls Club, Helping Hands, Historical Society, KAP, Main Street Program, National Guard, North Central Planning Commission, Red Cross and Tourism.
The General Fund total for budgeted for 2019 expenditures is $4,569,860 (prior to the $400,000 required for the sewer project). That amount is a $57,010 increase from 2018 and reflects an operating deficit of $742,450, though, as previously stated, the city estimates costs high.
