Conservative budget

anticipates $6 million

cash reserve in 2015

By John Howell

Batesville will likely receive about $130,000 in “lieu” money paid by GE Aviation, CPA Bill Crawford of the Will Polk and Associates accounting firm said.

Crawford and assistant City Attorney Colmon Mitchell met with Panola County Tax Assessor consultant Bill Bryant to clarify questions that arose last month during city budget meetings.

The CPA and attorney have been working with Panola County Tax Assessor personnel during August as the county tax office calculates assessments for real and personal property in the city and county to allow county supervisors and city aldermen to set county and city property tax millage rates on real and personal property.

Crawford said that preliminary figures indicated that net assessment of city property values will have increased by $4.7 million.

For Batesville, which expects to raise $21,770.020 in revenue during fiscal 2015, 15.5 percent of the total or $3,383,000 is expected to come from property taxes. The difference to fund the city’s $26,306,550 budget for 2015 will come primarily from sales and other taxes, utility fees, debt proceeds and grants, CPA Crawford said.

The mayor and aldermen have budgeted conservatively, Crawford said, projecting almost $6 million total ending cash for Sept. 30, 2015. Total ending cash includes amounts in funds whose use is restricted by law for specific, non-operating expenses, leaving city officials with approximately $5.5 million for discretionary purposes.

Having cash in reserve would allow city officials readily available matching funds usually required for successful grant applications, the CPA said.

The reserve cash would also be available in a major infrastructure emergency for which no grant funding is available, he said.

Major features of the $26 million budget include a 2.5 percent pay raise plus a .5 percent longevity increase for city employees. The three percent total is projected to increase the overall salary cost for city employees during 2015 by $192,000. 

That increase was offset by a five percent, across-the-board decrease for the costs of operation for most city departments that lowered total expenses by $311,000.

Present annual salaries for city department heads range from $56,000 to $88,000, City Clerk Susan Berryhill said. Hourly pay for city workers ranges from $7.25 for litter control weed trimmers to $18.90 for assistant department superintendents.

Employee benefits provided the city’s approximately 200 employees and payroll taxes raise the city’s cost from 30 percent to 41 percent above salary amounts, according to the CPA’s calculations.

The mayor and aldermen are also included in the three percent pay increase. Mayor Jerry Autrey presently receives an annual salary of $55,384.78. Alderman-at-Large and Vice Mayor Teddy Morrow receives $17,857.18, and Alderman Ted Stewart, Eddie Nabors, Stan Harrison and Bill Dugger each receive $16,367.33 annually. 

City debt is low, Crawford said, at $1.18 million. The biggest debt is the $692,000 remaining on the Batesville Civic Center. Proceeds from the city’s tourism tax on restaurant food and beverage sales and hotel lodging service the civic center bonds.

The city owes $210,000 on water and sewer project bonds; $203,000 on bonds used to construct the Batesville Post Office building and $76,000 in Tax Increment Financing (TIF) bonds, according to the CPA.