Pickets walk in front of the building that houses the accounting business of Nate Stout, a member of the East County Water Control District. None of those carrying signs would identify themselves. Photo by Mel Toadvine

After several hours of discussion and 10 motions, the East County Water Control District Board of Commissioners (ECWCD) adopted a new budget beginning October 1 with an assessment of $5,034,924 and a 17 percent tax increase. Commissioners Desmond Barrett, John Boardman, and Nate Stout voted for the new budget and Neal Horrom and Mike Welch against it.

The assessment per acre for 2009-10 was increased to $105.15 from $89.80 for 2008-09. In four budget years the board has increased taxes 46 percent. The new rate for a one-quarter acre is $26.29.

A majority of the board had previously adopted a revenue neutral budget. Last year they paid the debt service out of reserves. This year debt service has increased to $431,755 from $230,800.

The allowance for uncollectible taxes was increased from 3.5 percent to 6.5 percent adding more than $300,000 to the shortfall in revenue.

Manager David Lindsay told the board at its meeting last week that each of the two budget proposals were the same in that they provided for debt service, capital projects, and capital equipment replacement. The difference was the amount allocated for a reserve fund recommended by the budget advisory committee to pay for projects such as culvert replacements rather than funding them by debt.

The budget committee was prohibited from considering pay and benefits which are more than 80 percent of operating costs. The union has insisted to date on a 4 percent across the board pay increase. The non bargaining unit staff has agreed to a pay freeze. If agreement cannot be reached, layoffs cannot be ruled out.

Horrom said in the discussion that “I think for the record a lot of misinformation … a lot of speculation (has been made) that if we pass this budget, why is this budget higher … for operating expenses we are actually cutting the budget, we are cutting about five percent … looking at the numbers we are making cuts … increases (are) coming from the 3.5 percent uncollected (taxes); it’s the economy out of control … the other area we noted is debt service. … we passed a revenue neutral budget. We had debt service but we paid for out of our reserve funds … contrary to popular opinion the stimulus is a loan that must be paid back.”

After a vigorous defense for the budget, Horrom voted against the adopted budget.

“It is easy to sit here and say that I am not going to vote any increase …what is his plan for a budget?” Horrom asked of Welch.

Welch was the only local candidate to defeat an incumbent and received 60 percent of the vote from almost all of the precincts in the last year’s election.

“When I joined the board I said I would not raise taxes. It is a promise that I made and I will keep it,” Welch said.

Welch had previously stated his position in a local marketing mail-out.

“On the serious side of life in Lehigh Acres we will challenge and put a spot light on political leaders who raise taxes during these tough times. Principles of accountability, thriftiness and respect for the taxpayers will govern our remarks and challenge office holders who fail to put government on a diet living within its means. We will endorse and highlight candidates who govern themselves by these principles,” he wrote.

Stout voted for the budget and said: “We have spent years and years to bring our costs down. We are going to get the most bang for our buck. We are a fee for conveyance for water.”

A review of the voting history of the adoption of budgets of the last four years shows that candidates facing election in the next cycle voting no on the budget. The exceptions are Boardman and Shelor of the prior board. Welch is the first to break this voting pattern.

The ECWCD will have its next regular meeting on Monday, September 28 at 6:30 p.m. at district headquarters off of Lee Blvd. and East County Lane.