10-percent hike set for county budget levy
By Rae KrugerMARSHALL - Lyon County Administrator Loren Stomberg will set an increase of 10 percent in the county budget levy, but it might not stay that way.
Counties and other municipal governments must set their preliminary levies by Sept. 15. Levies can be reduced but they can't be increased, so many local governments set the levy higher or slightly higher than the final levy.
County commissioners Tuesday asked Stomberg to work toward a 10 percent increase in the budget levy so it could be reviewed at next week's budget meeting.
"My preference is a 10 percent levy...with a 3 percent salary increase with 4 percent as an option," commissioner Steve Ritter said.
Stomberg said he raised the overall employee salary portion of the budget by 5 percent. The increase was not based on merit or step increases.
"I didn't do it employee by employee," Stomberg said.
A portion of the employees are at the cap for raises in their positions now and would only get a maximum increase of 3 percent, while other employees could qualify for more, Stomberg said.
"...I put 5 percent in as a placeholder," Stomberg said. The inflation rate is 6 percent, but it's unlikely the county would give 6 percent raises, Stomberg said.
Commissioners said it's possible reserves from the 2007 budget could be used to help reduce increases in the 2009 budget.
Commissioner Phil Nelson said he'd like to review the county's reserve funds at next week's budget meeting.
Ritter said the board should review the designated and undesignated reserve funds.
County board chairman Mark Goodenow said the board should consider using money to fund the county housing and redevelopment authority. An HRA can access grant and other money from outside sources and it may be time to make it active, Goodenow said.
"Last year I did include an HRA levy in the budget," Stomberg said. He did not include it this year because the county did not activate the HRA in 2008.
"If we don't make a commitment to make it active, I hate to put it in there," Stomberg said.
Commissioners also wanted a list of monetary requests from organizations for next week's meeting.
