ELECTED OFFICIALS PAY CHECKS HELD - Commission Increases Wooded Land Valuation, Fifty-Four Cent Tax Increase Per Acre

(03/01/2005)
A cash flow problem linked to Calhoun County's financial crisis caused county commissioners to recommend the withholding of elected officials paychecks yesterday.

County Commissioner Rick Sampson said "We wanted to make sure the employees got their paycheck."

The county has a shortfall that is estimated between $70,000 and $100,000, which overlays the cash flow problem. "That's a lot of money for us," said McCallister, who acknowledged the county is sitting on unpaid bills for the first time in many years.

"Right now we are looking at filling the gap between now and the end of the fiscal year in June," McCallister said.

Yesterdays action was taken mostly as the result of increased costs in the regional jail bill and other state mandated expenses.

The jail bill has recently gone as high as $20,000 a month. In 2003 jail costs were $65,070. In 2004 it jumped from $80,000, up to $145,622.

"It seems like a terrible thing to cut services, health insurance, jobs and bankrupt the county to keep prisoners in jail," said McCallister.

County commissioners have said the issue is not about the need to put individuals in jail, it is how to pay the dollar hungry system with revenue staying stagnant.

"This crisis is hurting lots of people," said Commissioner Sampson. "We working through it, one day at a time."

The commission reviewed cash receipts and bank accounts yesterday, attempting to charter a course to stabilize the county's money woes.

The commission has already cut elected officials health benefits and asked elected officials to lay-off at least one employee in their office, besides other belt-tightening efforts.

Because of increases in liability insurance, the county is moving forward to sell some county property, including the old Minnora School, currently utilized by the Minnora Community Center.

During a public hearing yesterday regarding an increase in valuations, about a dozen citizens expressed their concerns, many offering suggestions which could help the county.

The discussion ranged from concerns about increased taxes, trash, the inability to create jobs to regional jail costs, lack of broadband Internet service and consolidation of counties.

Confusion seemed to exist regarding how much taxes would result related to increased valuations.

The Commission has approved an increase in the valuation of wooded land and "Managed Timberland" in the county, in an attempt to stabilize the problem during 2005-06.

The increase of valuation on wooded land is $100 per acre, which means taxes would be increased (Class III) by fifty four cents an acre.

Calhoun Assessor Jason Nettles said land listed for "Farm Use" would not pay the fifty-four cent increase.

Since Calhoun has an aging population, many landowners are already entitled to a Homestead Exemption of 25%.

The valuation of Managed Timberland (currently 12,000 acres in the county) is being increased, which means those taxes would be increased $1.33 an acre.

Commissioners said the increases are solely directed toward relieving the current financial crisis, paying bills and providing essential services - putting the county in the black.

The timberlands tax break favored large timber corporations, giving them a 60% tax break, taking hundreds of thousands of dollars from dozens of forested West Virginia counties.

Commissioner Bob Weaver said "We are charged with keeping the county solvent and the choices become pretty narrow. We either do what it takes to balance a budget or default."

"Right now, I believe it is still to the advantage of our citizens to keep the county going," he said.