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Affordable Care Act Pushes Up Healthcare Costs In City’s Budget

Mayor Hart and budget.

By Jack Gurner
Reporter


WATER VALLEY – Health insurance for city employees will cost $46,000 more for the next fiscal year under the Patient Protection and Affordable Care Act.
“Our budget is pretty much the same as we’ve operated with this year,” Mayor Larry Hart said last Tuesday. “With the exception for next year we’ve experienced some tremendous increase in insurance as this new insurance program goes in around the United States of America.”
Hart explained to aldermen during their regular “first Tuesday” August meeting that the healthcare insurance premium for approximately 40 city employees went up on average more than $1000 each.
“I though it was supposed to be way down…supposed to be reduced when Obamacare went in,” commented Alderman Larry Bell.
“It hasn’t worked out that way yet,” Mayor Hart added.
The city “shopped” healthcare insurance among several other companies and found that the current provider, Blue Cross of Mississippi, was still the least expensive, according to the Mayor. He added that the city’s property insurance has also gone up around $13,000.
As the Mayor continued his presentation of the 2013-2014 city budget, he said that under revenue the sales tax had performed very well over the past year and he anticipated that to continue.
One of the numbers that went down, he said, was the city’s assessed valuation that resulted in a decrease of about $13,000 in tax revenue.
Total revenue for all sources will be $3,206,344 as compared to last year’s figure of $3,228,475.
Under expenditures, the Mayor explained that most of the sections reflect “an upward trend” because of the healthcare insurance costs coupled with the increase in property insurance costs.
Mayor Hart listed the department costs starting with general government expenses, the city’s administrative costs, which are expected to be $415,000. That’s up from $403,000 last year.
Other expenses are:
• Public safety (police, $815,000 and fire protection, $400,200) for a total of $1,215,200, up from $1,208,900 last year.
• Public works (streets) $677,600, up from $657,000.
• Health and sanitation (garbage) $295,000, up from $289,200.
• Parks and cemeteries $252,600, up from $185,200.
The total general fund expenditures are expected to be $2,855,400, up from $2,744,300 last year.
“That’s something we can manage and live with,” the Mayor said. “But, I don’t know where it is going to go in the future with this insurance situation.”
The millage rate will remain the same at 37 mills under the proposed budget, which aldermen voted to adopt. The legal notice of the public hearing for the proposed budget is below.

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NOTICE OF PROPOSED BUDGET AND PUBLIC HEARING


THE CITY OF WATER VALLEY HAS PREPARED ITS 2013-2014 PROPOSED BUDGET.
THE ANTICIPATED MILLAGE RATE WILL REMAIN THE SAME AT 37.00 MILLS.

ALL CONCERNED CITIZENS ARE INVITED TO ATTEND A PUBLIC HEARING ON THE
PROPOSED 2013-2014  BUDGET TO BE HELD IN THE BOARD ROOM OF CITY HALL IN
THE CITY OF WATER VALLEY, MISSISSIPPI ON TUESDAY, SEPTEMBER 3, 2013, 6:30 P.M.,
AT CITY HALL, 101 BLACKMUR DRIVE, WATER VALLEY, MISSISSIPPI.

A FINAL DECISION ON THE PROPOSED 2013-2014 BUDGET WILL BE MADE  ON
TUESDAY, SEPTEMBER 10, 2013, 9:00 A.M., AT CITY HALL, WATER VALLEY, MS.

MUNICIPAL BUDGET
PROPOSED BUDGET OF ESTIMATED REVENUES
AND EXPENDITURES FOR FISCAL YEAR
ENDING SEPTEMBER 30, 2014

GENERAL FUND REVENUES                             BUDGET AMOUNTS

LICENSE AND PERMITS                                            $12,000
FEDERAL PAYMENTS IN LIEU OF TAX                      $25,000
STATE SHARED REVENUE                                        $480,000
GRANTS FROM LOCAL REVENUE                              $40,000
CHARGE FOR SERVICE                                             $372,800
FRANCHISE                                                               $79,000
FINES AND FORFEITURES                                        $95,000
OTHER REVENUES                                                   $966,000

TOTAL FROM ALL  SOURCES OTHER THAN TAXATION            $2,069,800
BALANCE AT BEGINNING OF YEAR                                          $550,233

TOTAL REVENUES FROM SOURCES OTHER THAN TAXATION        $2,620,033

AMOUNT  TO BE RAISED BY TAX LEVY                    $636,311

TOTAL AVAILABLE CASH AND ANTICIPATED REVENUE
FROM ALL SOURCES                            $3,256,344

GENERAL FUND EXPENDITURES
ADMINISTRATION                            $415,000
PUBLIC SAFETY                            $1,215,200
PUBLIC WORKS, STREET                        $677,600   
HEALTH AND SANITATION                        $295,000
PARKS AND RECREATION                                   $252,600
   
TOTAL GENERAL  FUND EXPENDITURES                $2,855,400

BALANCE AT END OF YEAR                                                      $400,944

TOTAL GENERAL FUND EXPENDITURES
AND YEAR END BALANCE                        $3,256,344

LIBRARY REVENUE
TRANSFER FROM OTHER FUNDS                    -0-
TRANSFER FROM GENERAL                        $22,589
INTEREST                                                 $200
TAX COLLECTIONS                            $47,611
BALANCE AT BEGINNING OF YEAR                    -0-

TOTAL REVENUE ALL SOURCES                    $70,400

LIBRARY EXPENDITURES
PERSONNEL SERVICES                        $70,400

SPECIAL FUND
REVENUE FROM ALL SOURCES                    $595,000

TOTAL EXPENDITURES AND YEAR END BALANCE            $595,000

SPORTS COMPLEX
REVENUE FROM ALL SOURCES                    $28,194

TOTAL EXPENDITURES AND YEAR END BALANCE            $28,194

ENTERPRISE FUND

WATER AND SEWER REVENUE

INTEREST                                $2,000
CHARGES FOR CURRENT SERVICE                    $852,000
BALANCE AT BEGINNING OF YEAR                     $144,294

TOTAL ALL SOURCES                            $998,294

EXPENDITURES

TRANSFERS TO OTHER FUNDS                    $896,700            
BALANCE AT END OF YEAR                        $101,594

TOTAL EXPENDITURES AND YEAR END BALANCE            $998,294

WATER AND SEWER OPERATION AND MAINTENANCE REVENUES

TRANSFERS FROM REVENUE FUND                    $96,700
BALANCE AT BEGINNING OF YEAR                    $57,750

TOTAL FROM ALL SOURCES                        $954,450

EXPENDITURES

TOTAL EXPENDITURES AND YEAR END BALANCE            $954,450

WATER AND SEWER CONSTRUCTION
REVENUES

BALANCE AT BEGINNING OF YEAR                    $218,432
INTEREST                                $1,800
TRANSFER FROM REVENUE FUND                    $18,000

TOTAL ALL SOURCES                            $238,232

EXPENDITURES
CAPITAL OUTLAY                            $238,232
TOTAL EXPENDITURES                        $238,232

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