A Tax Increase may be Certain | Eastern North Carolina Now

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     The proposed budget dips into the fund balance or savings to spend $2,191,701. This is money that is not included in the proposed 49 cent tax rate. The new rate becom of es 52 cents if the hospital shortfall is included. This is the last of our savings that is available for spending without violating the target of a 20 percent reserve. The present fund balance is 22.03 percent. The fund balance next year would be 17.6 percent or nine million dollars. The State of North Carolina administers the fiscal soundness of counties by setting an 8 percent limit before imposing sanctions. Those sanctions include not allowing counties to borrow money.

    It is a good thing that Beaufort County has imposed the higher standard because it gives us a good credit rating and provides a cushion for hard times. My problem with this policy that the majority of commissioners can easily decide next year to lower the fund balance without raising taxes. There is no question that if the 20 fund balance rate is to be maintained we will have to raise taxes as much as 4 cents or 8 percent next year. If we do not raise taxes and decide to arbitrairly set a new rate, are we stepping on to a slippery slope as we continue to spend 2 million of savings each year until we hit the legal limit of 8 percent?

    The real issue in Beaufort County is the same issue the State of North Carolina and the Federal Government have. That is “Do we as elected officials have the backbone to reduce spending so we can live within our income?”. The sound management thing to do is to either raise taxes 2 million or reduce spending 2 million. Reducing spending among liberals is equivalent to sin. We have the opportunity to rise head and shoulders above every city, county state and federal government by either cutting taxes or reducing spending. I am at a loss to understand why we want to continue to try to be cute with our financial future.

    I advocate, as I have for many years, to cut spending. I have identified 1.4 million dollars of wasteful spending. Only one other Commissioner, Stan Deatherage, is willing to cut spending. The vote this year is again 5 to 2. Failure to cut spending this year is a vote to raise taxes next year.

    There is a 700,000 dollar advantage to Beaufort County in changing the way sales taxes are divided with the city governments. Also, why do the tax payers need to fund charities? Even more important, why do we need to waste money during these hard times. Why do Republicans continue to vote for fat budgets and gifting money to charities and then spend so much time telling everyone how conservative they are?

    Beaufort County Commissioner Hood Richardson is a 4 term county commissioner, who is running for higher office: N.C. Senate, 1st District. Visit Commissioner Richardson's website to gain further insight into the man, the candidate.