South Fulton officials wrapped up the fiscal year with an overview of the city’s financial status, which seemed positive, during the South Fulton commission special called meeting July 2.
City Manger Jeff Vowell presented the commission with a financial report from each department.
A $70,000 profit was projected for the gas fund this fiscal year. Between 60 to 65 percent of gas was hedged, according to Vowell. Bills are accurate, however, Vowell said he would like to reinvest in infrastructure.
The commission tabled the idea of raising service charges, which would include reconnect fees, door notices, and returned check fees, of $15. The standard charge is $30.
Vowell said he would rather increase service charges, as an alternative to increasing rates, to fund the replacement of several meters which need to be taken out of the system.
“If we get our fees in line with other towns close to us, it will kick start getting the meters replaced,” Vowell said.
The average cost to replace a gas meter is $100 while replacing a water meter is $40.
Vowell explained adjustments will be made in the police department which comes out of the general fund, as a result of the Community Oriented Policing Services (COPS) Grant expected. Two officers were funded for a three-year period, through the grant.
“I’m optimistic that the grant will come through,” Vowell said.
Currently there are five police officers, however, the department is budgeted for six, and according to Vowell the budget may be reduced depending on the grant. Mayor David Crocker said he would like to continue to budget for six in the event that another officer is hired.
Total expenses for the fire department was $155,193.00, an amount less than the previous year which was $201,104.00.
Vowell said there may be an increase in expenditures, due to reconstruction and equipment needed in the fire department. However, grant money could cover a portion of those expenditures.
A balance of $3800 is owed to the Federal Emergency Management Agency (FEMA), as a result of a grant the fire department received, in which more money was spent, than brought in by the grant several years ago.
The city received approximately $50,000 from FEMA, as a result of the icestorm earlier this year. In which the $3800 balance will be deducted. According to Tommy Legins, of Alexander Thompson and Arnold CPA’s of Martin, Tenn., the city can use the funds however they choose.
This year the water and sewer funds were combined under the revenue fund, with more money built in for capital outlay, according to Vowell.
Although grant money is expected to come through by October from smoke testing, the city will be responsible for matching a percentage of the money at some point, according to Vowell.
Drug fund expenses totaled $860, while the street fund expenses totaled $66,000, which included repairing potholes and bridges.
Vowell announced changes in the insurance through Blue Cross and Blue Shield of Tennessee.
The city currently pays a $500-$1000 deductible, however, under the new plan the deductible will increase, while the premium will decrease. Employees will see no change in benefits or co-pays according to Vowell.
A total of $722,000 completed the budget for salaries for all departments. After several questions from Commissioner Charles Moody regarding the issue of city employees receiving raises, Vowell said the city could afford to give employees a three percent raise.
However, Mayor Crocker said issues such as roof repair and updating computer hardware needed to be considered.
There was no final decision made as to whether or not employees would see an increase in pay.
