IDAHO CITY– Boise County Commissioners have entered into an agreement with Zions Bank to provide financial advisor services. The Board is committed to achieving a solution to paying the Alamar debt. To date, $2.25 million has been paid. The balance owing is $3.15 million accruing interest at 5.5%.
On April 5 ~63-1305A became law allowing Boise County voters to decide whether to allow Boise County a restricted revenue stream which would allow a loan through the municipal bond market to pay off the judgment. Additionally the Commissioners have found in the 2012 budget another $500,000 to buy down the Alamar debt.
Budget Increase – YES
• Allows using a bond to refinance Alamar debt • Alamar debt paid in full • Current 5.5% interest = $713K Potential Bond 2.5% interest = $286K. Potential savings of $427K in interest • Budget Increase in place only until Alamar "bond" is paid • Mandates all budget increases to pay Alamar debt is returned to FY2012 Property Tax level ($3.4 million)
• Forces County to have level or reduced budgets
• Forces County to follow a strict repayment schedule Use the 3% Use surplus fund balances THEN calculate up to maximum .001 levy rate for the annual payment
•Creates level of certainty for residents and future investments in Boise County
Budget Increase – NO
•Alamar debt - $3.15 million at 5.5% interest is still DUE
•Boise County provides annual income to Alamar at 5.5% interest
•Starts lawsuit against Idaho Tax Commission
•Taxpayers will bear the cost of additional attorney fees
•Boise County will end up paying to resolve the conflict between the State Constitution and State Statutes
It is essential for Boise County to achieve certainty for its residents and move beyond the Alamar devastation. Keep checking the website www.boisecounty.us for information as it becomes available. Commissioners invite questions and comments. Please contact: Bob Fry, 208 365-8705, fryrobert47@gmail.com ; Terry Day, 208 392-9505, tday@co.boise.id.us ; or Jamie Anderson, 208 462-3439, jamiea@frontiernet.net .
Potential Budget Savings Identified by Department Heads and Elected Officials
| The table below is a preliminary estimate of funds that might be available after the ballot measure passes to pay down the principal amount remaining of the Alamar judgment debt prior to bonding. All of the amounts are based on the assumption that "nothing unexpected happens". The table is an example of savings that may be available, although the sources might be different. No reduction of county salaries is contemplated, but vacancies might go unfilled temporarily to save payroll costs. The Board of Commissioners is committed to minimizing the effect of this debt on the taxpayers of Boise County and will find ways to accomplish that goal. Department |
Possible Budget Savings |
Sources of Reductions |
|
| Clerk/Auditor | $3,000 | Unexpended supply budget, defer computer purchase | |
| Assessor | $1,800 | Defer capital outlay, 20% salary savings for one position | |
| Treasurer | $11,550 | Cut staff training, defer computer purchase, cut elected official training, reduced warrant expense | |
| Commissioners | $3,440 | Cut telephone expense, reduce travel | |
| Coroner | $950 | Reduce Supplies, defer vehicle maintenance, reduce supplies | |
| Emergency Management | $ 16,769 | Retirement benefits not used, reduced health insurance cost, 2 months unpaid leave, reduced field expense, reduce training | |
| General Reserve Account | $60,000 | Unexpended this Fiscal Year, will need to be replenished for next Fiscal Year | |
| General Operations | $ 4,500 | Reduced Heating costs due to high efficiency heating system, defer replacement of building maintenance vehicle | |
| Planning and Zoning | $ 28,000 | Salary savings from holding position open, using part-time temporary employee | |
| Capital Improvements | $ 30,000 | Delay planned move of Prosecutors' office into old library building | |
| Sherriff | $14,500 | Reduce Bailiff costs, reduce training, reduce inmate medical, reduce inmate housing costs | |
| General Operations, Justice | $400 | Reduced snow removal costs | |
| Prosecutor | $5,056 | Reduce Field Expense, telephone, expert witness, travel, defer capital expenditure | |
| District Court | $16,000 | Reduce Professional Services, Felony L&L, defer capital equipment | |
| Community Justice | $2,000 | Position held open temporarily | |
| Junior College Tuition | $75,000 | Possible surplus to be moved at end of year, dependent on numbers of students | |
| Litigation Expense | $ 275,000 | Will not need as much as anticipated due to avoiding suit with Tax Commission | |
| TOTAL | $547,965 | ||
~ Commissioner Anderson Will Be At Spring Fling
To Answer Any Questions You May Have ~
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