‘Sluggish’ revenues don’t stop an increased county budget

Jeff Schweers

Wednesday, March 25, 1998 | 10:02 a.m.

The $580 million county budget proposed for the 1998-99 fiscal year starting July 1 is as good as it gets, county finance officials are saying.

A 12.4 percent boost in assessed property values have helped to offset a slump in sales tax collections keeping Clark County's budget prospects bright and financial planners optimistic.

"As a snapshot, the budget is as good as it has been in recent years," Clark County Finance Director George Stevens said Tuesday. "The only difference is the revenue side is sluggish."

Not sluggish enough to stop administrators from recommending a 7.4 percent spending increase based on an overall revenue estimate of $575.7 million.

"The property tax being stable means we are less affected by the ups and downs of the economy," County Manager Dale Askew said. "Sales taxes force us to live within our means."

The increase will help pay for 54 new positions -- new district court support staff, mediation counselors, Metro Police officers and a raft of temporary employees to help run the 1998 elections.

Stevens views the budget and revenue estimates as conservative.

"You can't spend more than you're authorized to spend on the operations side," Stevens said. "Also, you don't want to overestimate revenues you run risk of not obtaining."

Sales tax revenue still accounts for one-third of the county's income, even though its rate of increase has tumbled from double to single digits. Last year's was 10.7 percent compared to a 4.5 percent increase projected for 1999.

If sales tax revenue continued to stagnate, Stevens said, "it would be difficult to keep up with growth-related needs like the new jail and Metro officers."

Taking up the slack is a growing property tax base, an increase in licenses and permits revenue and new franchise fees for utilities. Property taxes account for 20 percent of the revenue, while licenses and permits account for 16 percent.

More than half the tentative budget -- 53 percent -- is dedicated to public safety and criminal justice. That includes Metro, judicial, public safety and detention services.

It also includes 36 new staff people to support three new District Court judges and a new justice of the peace, Askew said.

Residents also can expect more services at the Neighborhood Justice Center, which is slated for a 35 percent increase backed by a new court-filing fee, Askew said.

"We increased the fee because the demand for service has been significant," Askew said. The center provides mediation services to avoid court proceedings.

The Elections Department's $7.65 million budget reflects a 125 percent increase, which is typical during an election year, Stevens said. The increase includes an extra $2 million in salaries and wages and an extra $2 million in supplies.