Budget woes persist for Liberty Township

By Sarah Lehr

slehr@vindy.com

LIBERTY

As the township looks ahead to 2016, budget issues continue to take their toll.

Since 2013, the township has been in fiscal caution, as designated by the Ohio auditor, and, at the close of this month, the township is set to have a general-fund deficit of $124,510.

Trustees voted unanimously during a regular meeting Monday afternoon to issue a general obligation tax note for $300,000 from the First National Bank of Pennsylvania. Essentially, the township will borrow money in order to pay bills over the next few months, based on the expectation the township will be able to repay the money once tax revenue comes in next year.

The township has up to six months for repayment at a 3 percent interest rate.

Township Administrator Pat Ungaro noted that local governments face a perennial “cash-flow problem” during the first few months of the year while they wait to receive tax revenue.

Though trustees have not yet voted to decide where the $300,000 will go, Fiscal Officer Steve Shelton recommended sending 60 percent to the police district fund and 40 percent to the fire district fund.

Shelton’s projections indicate that, while both the police and fire department funds will end December 2015 in the black, both funds will reach a deficit in the coming months after expenditures, including payroll and health care.

At a special meeting last week, Shelton presented numbers indicating the police department would have a $227,856 deficit and the fire department would have a $219,627 deficit by Feb. 28.

Concern about the police department’s projected deficit prompted Shelton to warn trustees last week he would refuse to certify a police-car purchase should trustees vote in favor of it.

At the request of Shelton and others, Mark Finamore, township law director, has since explained the extent of Shelton’s authority to not certify a purchase. Though the fiscal officer does have the authority not to certify a purchase in a certain cases, such as when money has not been previously appropriated, Finamore said Shelton is legally obligated to certify the cruiser purchase because there is currently money available in the fund even if there won’t be money available in the near future.

Shelton also asked for clarity about the fiscal officer’s role in crafting a township budget. Though fiscal officers often advise on budgetary issues due to their expertise, they have no responsibility or obligation to do so, Finamore said.

Trustees approved the cruiser purchase, with trustees Jodi Stoyak and Stan Nudell voting yes and Trustee Jason Rubin voting no. The township will make three annual payments of $13,762.75 each – a total cost of $41,288.25 – for the Ford 2016 vehicle

“As such, I will certify it,” Shelton said after hearing Finamore’s legal advice. “That doesn’t make it right.”

Nudell said the car’s cost was justified, saying, “We have to provide services for the township. Police cars are important. They can’t be out there on bicycles. If we’re going to have a police department, we’ve got to support it.”

Stoyak pointed to $12,475 in the drug law enforcement fund as of Dec. 31 and about $15,000 within the police fund from towing fees as an indication that there is money available for the purchase.

“We have historically used these funds for vehicles,” she said of the drug fund. “Therefore, I don’t understand Mr. Shelton’s adamant comments regarding the utilization of these funds for a vehicle. This fund will increase as well during the next calendar year.”

Toward the end of the meeting, Ungaro, the township administrator once again suggested a hiring freeze or layoffs. The township will either have to cut employees and services or put another levy on the ballot, he said.

“It’s simple,” he said. “We either have to get smaller or get more money.”

In other business, trustees set a zoning fee schedule based at $6 for every $1,000 of improvement and increased appropriations for various funds – an increase of $300,000 for the general fund, $160,000 for the police fund, $140,000 for the fire fund, $14,000 for the drug law enforcement fund and $1,500 for the cemetery fund.

Additionally, trustees approved the promotion of fire Capt. Robert Catchpole to lead inspector in 2016. He will earn $33.55 an hour. Trustees hired Michael Write as full-time firefighter and medic at $16.85 an hour and Ronald Womack a as part-time firefighter and medic at $10.50 an hour with no benefits.