A possible tax increase in White Pine County could not come at a worse possible time for County Commissioner Mike Lemich and his re-election bid.
According to fellow County Commissioner Mike Coster the proposed county budget is some $1.8 million in the red and the only options for the commission is to either dip into the county’s rainy day fund or raise revenue either by an increase in fees or taxes.
“– At the first pass, including request for new items, is $900,000 over the current year.
— Total revenues (money we CAN spend) for the year is forecasted by the State of Nevada to be $900,000 below the current year.
— That means we have to cut $1.8 million, which is $900,000 BELOW the current year total revenue of $11,500,000, from the current budget and new requests.
FYI: 2013 revenue $12,400,000
2014 revenue $11,500,000
2015 revenue $10,900,000 (proposed),” Coster wrote in a facebook post. “…Like most of us personally, we need to live within our means. That means spending only what we are taking in.
Where to you recommend cuts? We have tentatively eliminated all vehicle purchases, new employees, and numerous other new items. That has solved $395,000 of the $1.8 Million shortfall. As mentioned above, some of the shortfall can be solved by drawing on our “savings” in the fund balances.
What do you think? Programs to be cut? Draw a lot from savings to maintain the amounts spent in the current year? Assess new taxes?”
While Coster said he would not support any kind of a tax increase, the option is certainly on the table and Lemich who is facing a primary election June 9th could be put in the unenviable position of being damned if he votes for it or damned if he votes for extreme budget cuts.
A public servant who has served on one governing body or another since the early 60’s Lemich has built a reputation of never shying away from a fight but this time around the deck seems stacked against him.
Elected to the County commission shortly after White Pine emerged from an embarrassing bankruptcy Lemich ran and was elected on his reputation as a fiscally responsible businessman.
The fact that the county budget is suffering from a shortfall at all will almost certainly used by his opponents in the upcoming primary that perhaps another man could have handled things better.
Lemich is facing former Ely Mayor George Chachas and former County Commissioner Gary Perea.
Of the two challengers it is most likely Chachas will deliver most of the verbal broadsides. The two men have known each other practically all their lives and it has not been an amicable relationship to say the least.
Public disagreements between the two have often devolved into insult ridden shouting matches some that have come close to physical confrontations.
Former commissioner Gary Perea is relatively mild mannered when compared to his two rivals and may be the chief beneficiary of the budget deficit.
When he was narrowly defeated in his own re-election bid two years ago, the county was in the black It has only been since he was gone that red ink began to flow again.
