Commissioners consider budget, STR concerns

With both a short-term rental (STR) ordinance and a tax-hiking budget scheduled to be settled in September, citizens gave Putnam County commissioners an earful at last week’s mid-month commission meeting.

Most of the half-dozen or so speakers came armed with counterproposals to parts of the STR ordinance or proposed budget to which they objected.

The commission has two more public comment periods scheduled: 6 p.m. Tuesday, Aug. 15, and 10 a.m. Friday, Sept. 1. Last-ditch efforts also may be heard at the Sept. 19 mid-month meeting, but that is the night currently scheduled for final votes on both the ordinance and the budget.

The meat of last week’s meeting began with County Manager Paul Van Haute outlining some pressures for increased county spending in the coming year, over and above what a 20-percent increase in the tax digest would bring. Van Haute’s proposed budget to the commissioners would rise 7.17 percent over this year’s budget, resulting in a 0.428 millage rate increase.

Not surprisingly, continuing inflation was the first thing he mentioned, citing high points of 7.4 percent in 2022, 8.7 percent in 2023, and 6.0 percent so far this year. “And it changes almost day by day,” he said. “The way I see it, it is not going away anytime soon.”

Van Haute discouraged the idea of dipping into the county’s $10 million fund balance – essentially its “rainy day” account – as has been done several times in the past decade. “Taking another $1.8 million out this year would expose the county to a detrimental position,” he said. “It is critical that we maintain a strong fund balance.”

More specific pressures in individual areas include a six% cost-of-living allowance (COLA) across the board for all county employees (about $300,000 total), a 46% increase in trash hauling fees, some insurance increases in the 40% range, and competition for staffing shortages in law enforcement and heavy equipment operators.

Former commissioner and commission chairman Billy Webster was the first to go after the tax hike implications.

“So, what you are telling the public is that you can’t find enough offsets in this 2024 proposed budget of $25,000 and/or use a small portion of the county’s surplus of $10 million to balance the 2024 budget without this 0.4 mill, or a $744,000, increase,” he said. “My suggestion, try harder.”

However, two speakers pressed for restoring their original requests in the proposed budget. Walt Rocker, who chairs the Putnam Development Authority, sought to have the county pay the salary of the PDA’s executive, Matt Poyner.

And Tom Thompson, another past commission chairman and current chair of the Putnam General Hospital Authority, asked for the county’s contribution to the hospital to increase from last year’s $650,000 to $950,000. Thompson said the hospital had $1 million in un-reimbursable charges and another $2 million in uncollected charges, and those figures did not include operating losses.

“It is imperative we not let us get in the position we were in before,” he said. “The hospital is behind only public safety in importance to citizens of this county.”

As for the short-term rentals ordinance, Michael Ferguson asked that the permit goes with the house, not the owner (so that any new owner could also have the choice of STRs or family residence.)

Deb Mallison was upset over the changes in the STR ordinance, the hike to 400 STRs allowed, and the resignation of District 3 Commissioner Alan Foster.

“We have no representation now,” she said.

Marilyn Smolinsky said it was a “disturbing” trend to watch the rapid growth of STRs in her cove in Lake Forest Village.

“Every weekend is a party,” she complained.

Steven Howard of Red Oak Trail offered five “suggestions:” extending the moratorium on new permits, making no changes in the ordinance until a new District 3 commissioner is elected, putting meetings in the public records immediately, volunteering to serve as District 3 commissioner until the election of a new one, and requesting an investigation through the governor.

Kathy Wardlaw spoke of “commerce over citizens,” “deceptive practices,” and not having an advocate in District 3.

On the other hand, Ginny Van Oostrum spoke up for the “right of property owners” versus neighborhood pressures, also asking whether some of the STR ordinance strictures also should apply to long-term renters.

In other business, the commission named the intersection of Old Phoenix Road and New Phoenix Road as “Jones Crossing” to honor the family that had lived there since 1946.