By John Howell Sr.

Budget constraints prohibit the City of Batesville from sponsoring a Fourth of July fireworks show this year, Batesville Mayor Jerry Autrey said this week.

Autrey started the city-sponsored Fourth of July celebration in 2006 and it quickly became a popular annual tradition with live music at the Batesville Civic Center followed by the fireworks display at darkness.

“I just didn’t feel like asking the city to throw in,” the mayor said, with all city departments cutting back for the remainder of fiscal 2012, which ends September 30, About $30,000 is required to produce the event. The mayor had also previously sought donations from local businesses to help cover the portion of the cost not covered by city funds.

“I didn’t even want to ask them,” Autrey said, referring to seeking additional money corporate sponsors to cover the amount formerly provided by the city.

Elimination of the fireworks show is part of cutbacks totaling approximately  $1.2 million in an amended budget adopted by Batesville aldermen Tuesday.

CPA Bill Crawford of Will Polk and Associates met with city officials to discuss 2012 revenue collections that fall short of amounts initially included in this year’s municipal budget. Crawford said that the city lost about $800,000 in ad valorem taxes due from LS Power, which declared bankruptcy in February. Revenue from the city’s sale of natural gas also fell short of the amount budgeted.

“The city did not have a winter his year,” Crawford said.

 Crawford said that City Clerk Laura Herron, meeting with superintendents in each department, brought projected expenditures down sufficiently to comply with state law that prohibits municipalities from ending their fiscal year with a deficit. The city fiscal year ends September 30.

“The main thing was that they cut back on day-to-day operating costs,” Crawford said.

LS Power

“How will the LS Power money fit with it?” Alderman Stan Harrison asked Crawford, referring to the budgeting process that will begin next month, planning for the 2013 fiscal year.

“Valid property taxes are not relieved,” the CPA replied, by bankruptcy. “At some point those taxes should be collected.”

The LS Power chapter 11 reorganization bankruptcy filed in U. S. Bankruptcy Court in Delaware during February shorted the city, county and South Panola school district a total of $4.5 million in ad valorem taxes.

“They should be paid, certainly when the sale is consummated,” Crawford said.

The city financial consultant said that Batesville should include LS Power ad valorem tax amounts from both 2012 and 2013 in the fiscal 2013 budget.

“Hopefully, the sale will take place by this time next year and we’ll collect the whole $1.6 million,” Crawford said.

And the Fourth of July fireworks show?

“Maybe next year,” Autrey said.

Meanwhile, Fourth of July celebrants can buy their own fireworks for 2012 at stands approved by the city for temporary sales locations in the days prior to the holiday.