Jerome Township officials have approved a nearly $4.4 million budget for 2018.
With projected revenue set at $3.94 million, officials are projecting a nearly $470,000 shortfall. A large portion of that deficit is the result of a purchase of a new fire engine, which has been ordered and expected to be delivered in February.
Fiscal officer Robert Caldwell said that in 2017, the village general fund had a deficit of $57,749.
“That’s better than expected,” said Caldwell.
He said the township did not receive an annual $100,000 payment from Jerome Village in 2017 because the developer made 2017’s payment in December, 2016. He said he is expecting a check from Jerome Village this month for 2018. Caldwell said that with this payment, the general fund would have a surplus of $65,000.
Caldwell said township officials have worked to reduce costs where possible.
“I am pleased that the general fund is coming more in line,” said Caldwell.
He said that needs to be a priority moving forward.
“Cost savings in the general fund need to be continued to resolve the eventual deficit resulting from the loss of the Jerome Village annual payment,” Caldwell said. “Resolving this shortfall, prior to 2020 (the final year for the payment) will result in additional amounts available for zoning.”
He said the township is “getting close to being able to balance that general fund without that $100,000 coming in.”
Caldwell said property tax receipts certified by the county auditor are 8 percent higher for 2018 than for 2017.
He explained that in 2017, property tax revenue exceeded expectation.
“The auditor sets her estimate at 90 to 95 percent due to uncollectable tax, that’s why it is slightly above budget,” Caldwell said.
The fiscal officer said the township has budgeted less administrative expenses for 2018 “primarily from expected reduced legal costs and no required transfers for debt service payments.” In 2017, the township made the final payment, nearly $30,000, to pay for land purchased to house the veteran’s monument.
He said local government distributions in 2017 were “a little higher” than estimates, as was the interest collected on deposits. Caldwell does not expect the same increases for 2018.
Caldwell also said the motor vehicle license tax, gasoline tax and road and bridge funds are doing well because “other than a few Union County Engineer projects, no other road maintenance projects were undertaken in 2017.”
He said that as a result, the township was budgeting more money in 2018 for road and bridge projects.
He said the township is also budgeting additional operating expenses for the zoning department “due to legal costs and insurance costs.”
Caldwell also gave the trustees a list of “pending matters to be addressed” including allocation of inside millage to assist the general fund without shorting the road and bridge fund, determining the future needs of the cemetery fund and possible disposition of the current surplus, continuing to monitor the needs for public safety officer services in light of increased residential and commercial growth and traffic, assessing multiple needs of the fire department and maintenance at the township hall.
Following a lengthy executive session, township officials approved a 3 percent raise for all township employees except the fire department, which is on a recently approved separate contract, and the zoning inspector, who also received a pay increase to $54,000.