By John Estridge
Union County Council members took a mulligan Thursday morning, September 17.
Council attempted to increase its Local Income Tax, sometimes called Public Safety Income Tax, by 0.5 percent. However, an ordinance must pass on a unanimous vote at first reading. If it does not, then, at the next meeting, it can be voted on again where a simple majority is good enough to get it passed.
When a vote was called, council members voted 5-2 in favor of it with Bonnie Adams and Trish Persinger voting against the measure.
By increasing the tax by 0.5 percent, the county can raise $500,000 per year, according to UCC President Richard Blank.
Blank also talked about why the tax increase is needed. Most of it revolves around the jail. The state is almost demanding the county build a new jail. Also, the present jail is undermanned. Part of the money will be used to hire additional jailers and at least one road deputy. Also, Blank wants the county to start putting a certain amount of money back each year so when the county does make a move to build a new jail, the county does not have to float a bond for the entire amount.
With the personnel, Blank said he had to sign a paper saying the reason the county could not hire the extra sheriff’s department personnel was budgetary and not arbitrary. And that was for insurance purposes, he said.
Also, while money from the tax must be used just for public safety, Blank said some items, such as the sheriff’s budget, could be paid out of the public safety money instead of the General Fund where it is paid now. That would free up General Fund money for other needs.
While the budget process went well this year planning for 2021, that may not be the case a year from now when council members are preparing the 2022 budget. Around the state, financial consultants have been telling towns, counties, cities and the state, the fiscal hit from the pandemic to their respective budgets will come in the 2022 budget cycle.
This means councils throughout the state must also think about a year from now and have a strategy ready to go when and if that occurs.
Also, Union County Auditor Cheryl Begley warned council members while the tax increase will take effect Jan. 1, 2021, the county will be relatively slow at accumulating money from that increase. Council members cannot expect to fully fund increases in the 2021 budget immediately.
Council will meet at 9 a.m., Thursday, September 24, to take up the tax increase again. There is an Oct. 1 deadline for passage in order for the money to be collected in 2021.