During the May 24 meeting of the Navajo County Board of Supervisors, Assistant County Manager Bryan Layton presented the board with the preliminary county budget of the 2017 fiscal year for discussion.
He explained that the budget is balanced at $37.6 million with no increase in the general fund tax levy. Layton noted that although there are revenue challenges, creative solutions are proposed to invest in employees and infrastructure.
Economic challenges for the county include the anticipated closure of Cholla Power Plant in Joseph City and a dependence on secondary taxing district transfers. Positive indicators include a slight increase in sales tax revenues from cities and towns, but it’s still much lower than prior to the recession.
Layton noted that county sales tax has yet to recover to pre-recession levels and will be eight percent (-$551,959) lower in 2017 than in 2008. State Shared Sales Tax growth has remained relatively flat with one percent projected growth for the third consecutive year.
He also explained that commercial and residential property assessments increased $9.7 million from fiscal year 2016, but utilities, or centrally assessed properties, decreased by $39 million. Overall in the calculation, there is no increase in the county property tax levy for next year and the amount collected will be essentially even with fiscal year 2016.
In the coming fiscal year, the county is projected to receive $523,724 more in Highway User Revenue Funds (HURF) than last year for a total of $8,559,947. Most of this increase is due to a $363,000 one-time allocation of transportation funding.
The projected revenues for the upcoming budget will be made up of 29 percent state shared sales tax, 17 percent county sales tax, 21 percent property taxes, seven percent fines, fees and forfeits, another seven percent from indigent health, six percent vehicle license tax, and the remaining 13 percent from sources such as federal inmate revenues, fund transfers, carry forward funds and other miscellaneous revenues.
Some proposed program changes are a regional public safety partnership with the City of Show Low, a reorganization within the county attorney’s office, the use of a Computer Assisted Mass Appraisal (CAMA) Database in the assessor’s office, Exodus Program funding and employee compensation.
The regional public safety partnership involves combining the Show Low Police Department and the Navajo County Sheriff’s Annex in Show Low to form a regional safety headquarters. The headquarters would be in the former Tate’s Auto Center in Show Low, with a second-story level to be added. The building and land were purchased for $1.2 million by the city with a one-time capital contribution of $900,000 from the county that would be funded by fiscal year 2017 federal inmate contracts, which would be equal to housing 50 inmates per day.
It was noted by Layton that the endeavor would provide the best use of resources, help build relationships between departments and encourage a sharing of collected information.
The lower level would house a booking/transfer station that will allow deputies to stay in their patrol area instead of having to transport subjects to the Holbrook jail, as well as the regional dispatch center. The upper level would house office space and shared conference rooms, lockers, showers and other amenities.
The expected agreement is a 25-year partnership with five-year renewals, and proportionate shares of utilities and maintenance. Construction is anticipated to begin in June 2016 and estimated to be completed spring 2017.
The attorney reorganization will move an attorney from the legal defender’s office (LDO) to the public defender’s office (PDO) to handle dependency cases. It will also add an attorney level III to the county attorney’s office and convert one part-time attorney to full-time, as well as case management conversion for the PDO. The conversion will create a unified computer-based system between the PDO, the LDO and the county attorney’s office regarding case files, eliminating written clerical work, correcting potential errors and avoiding the duplication of processes.
The implementing of a CAMA Database will centralize and automate assessment information, which will reduce manual entry and errors, and create more efficient production and reporting.
The utilization of Geographic Information System (GIS) and database eliminates duplication of effort in public works and reduces the need to fill a GIS position.
The Exodus Program funding source would entail the use of Racketeer Influenced Corrupt Organizations (RICO) funds in the amount of $100,000 and federal inmate revenue of $100,000. The program is an in-custody drug and alcohol treatment program offered by the county. If daily inmate count decreases, another funding source will need to identified.
For employee compensation, a one-time $500 allocation would be provided for each employee, along with a one-time allocation to top performers that will be determined by department heads. The full amount of allocation funds for employee compensation is $527,000. The county will be allocating an additional $82,000 to cover their share of the Healthcare Benefits cost increase.
In other action May 24, the board:
* Approved tax exempt waivers for 43 property owners.
* Authorized the acceptance of The First Rung of Basic Literacy grant award from Arizona Public Service Co. in the amount of $2,500.
* Approved an intergovernmental agreement between the Navajo County Sherriff’s Office and Maricopa County for detention officer certification training.
* Approved a 12-month lease of office space in Show Low area for the Major Crimes Apprehension Team (MCAT) south county unit funded by High Intensity Drug Trafficking Area grant (HIDTA).
*Approved an application for supervised fireworks display permit to be used at dusk on Saturday, July 2, at Mogollon High School in Heber.
* Authorized the chairman to sign the Arizona State Land Department amendment to a right-of-way contract for Stetson and Stallion roads.
* Approved the appointment of Brad Carlyon to the Navajo County Democratic Committee as a precinct committeeman in the Sitgreaves precinct.
* Authorized County Manager Jimmy Jayne to sign a license agreement between Navajo County and Smith Bagley Inc., doing business as Cellular One of Northeast Arizona.
* Acknowledged the Show Low High School Cheer Team for winning the Arizona State Cheerleading/Pom Tournament.
* Approved a memorandum of agreement between Navajo County Public Health Services District and Whiteriver Indian Health Services Dental Clinic for the acceptance of dental images collected through Teledentistry.
* Approved a county match of $2,996 to the juvenile probation department so that it may receive the Family Counseling Grant from the Administrative Office of the Courts in the amount of $15,587 for a total of $18,583 for the 2016-17 fiscal year.
* Approved an amendment to the hauling waste tires contract with CRM of America, LLC, extending the contract for an additional year (June 9, 2016, through June 8, 2017).
* Approved an extension of the Victory Heights Road Maintenance Contract with Perkins Cinders, Inc. for an additional year (June 11, 2016, through June 10, 2017).
* Approved an award of contract for the supply and delivery of liquid asphalt products to Western Emulsions, Inc., Hawker and Evans Asphalt Company, Inc., and Cactus Transport, Inc.
* Approved a $50,000 funding contribution request from the U.S. Army Corps of Engineers to fund the completion of the draft feasibility study for the Little Colorado River Rehabilitation Feasibility Study in Winslow.
* Approved an award of contract to Navajo County Publishers Inc. for annual newspaper printing and advertising.
* Approved the official canvass of the May 17 special election.
