Texas County Progress

The Official Publication of the County Judges and Commissioners Association of Texas

Hockley County Veterans Committee Presents Honor Fight Funds

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Proceeds from the 2017 Veterans Day Breakfast were presented at the 2018 Texas South Plains Honor Flight Telethon in early July. The Texas South Plains Honor Flight is a chapter of the Honor Flight Network with 131 hubs in 41 states. The organizational goal is to send as many veterans as possible to Washington,
D.C., to pay homage to their fellow brothers and sister in arms by visiting the war and service memorials built in their honor. The Hockley County Veterans Breakfast raised $3,200, enough money to send two Hockley County veterans on the honor flight, to take place Oct. 13-15. Pictured from left: Tania Moody, KLVT Radio; Sharla Baldridge, Hockley County Judge; Rebecca Currington, Hockley County veterans assistant; and Karin McCay, Lubbock KCBD news anchor. Congratulations to the Hockley County Veterans Committee on their successful fundraiser, and thank you to these Hockley County veterans for their service.

West Texas County Judges and Commissioners Association 2018 Resolutions

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The following resolutions were passed by the West Texas County Judges and Commissioners Association representing 118 counties in the State of Texas on
April 26, 2018, during the Association’s Annual Conference.

1. Thanks to the Host Court
WHEREAS, the Annual Conference of the West Texas County Judges and Commissioners Association was conducted in Collin County, Texas, on April 24-27, 2018; and
WHEREAS, the Honorable Commissioners Court of Collin County has hosted the West Texas County Judges and Commissioners Association in the most entertaining and excellent manner;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association expresses its wholehearted thanks and deep appreciation to the Honorable Court of Collin County for its courteous and warm hospitality extended to each of us.

2. Thanks to the Conference Sponsors and Exhibitors
WHEREAS, the Annual Conference of the West Texas County Judges and Commissioners Association was conducted in Collin County, Texas, on April 24-27, 2018; and
WHEREAS, the many sponsors and exhibitors provide significant financial support for the conference and the Association; and
WHEREAS, the sponsors and exhibitors provide valuable information to our members;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association expresses its deep appreciation to our generous conference sponsors and exhibitors.

3. Thanks to State and Local Associations and Friends of County Government
WHEREAS, the Annual Conference of the West Texas County Judges and Commissioners Association was conducted in Collin County, Texas, on April 24-27, 2018; and
WHEREAS, the members of the West Texas County Judges and Commissioners Association wish to acknowledge the expertise of and thank the staff of: James Allison of Allison, Bass & Magee, LLP; the Texas Association of Counties and Executive Director Gene Terry; the Texas Association of Regional Councils and Executive Director Ginny Lewis; the V.G. Young Institute of County Government, a part of Texas A&M AgriLife Extension Service, and Executive Director Dr. Peter McGuill; the Texas A&M AgriLife Extension Service agents’ professional associations; County Progress Magazine and Editor Julie Anderson; and the many other state and local associations and people who have all been so helpful to county government;
NOW, THEREFORE, BE IT RESOLVED that this Association thanks all of these individuals and their staffs for their past, present and future help on behalf of county government.

4. Memorial to Deceased Officials and Special Friends
WHEREAS, the following highly regarded members and friends of the West Texas County Judges and Commissioners Association are deceased; and
WHEREAS, the Association desires to pay appropriate respect to these members and friends; and
WHEREAS, since our last conference, the West Texas County Judges and Commissioners Association has mourned the passing of:

Former Ector County Commissioner Bob Bryant
Crane County Judge John Farmer
Former Lipscomb County Commissioner John David Fritzlen
Hall County Commissioner James Fuston Sr.
Wilbarger County Commissioner Richard Jacobs
Former Hutchinson County Commissioner Murry Jennings
Former Terry County Judge and Commissioner Don Robertson
Former Irion County Commissioner Elder Wayne Smith
Lipscomb County Commissioner Johnie Dale Steele
Former Palo Pinto County Judge Mickey Dayle West

NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association members pause for a moment of silence and meditation to honor the memory of these respected individuals.

5. Opposition to Unfunded Mandates
WHEREAS, Texas counties are responsible for the operation and management of many and various governmental programs as required or authorized by state law; and
WHEREAS, some county government programs are fully or partially supported with funds disbursed by the State of Texas pursuant to the state appropriations process; and
WHEREAS, the State of Texas, acting through the Texas Legislature or through a state agency or executive order, may enact laws or promulgate rules that have the effect of imposing mandatory financial obligations upon Texas counties; and
WHEREAS, the State of Texas, through the Texas Legislature or through a state agency or executive order, mandates that counties implement certain governmental programs or perform certain duties and obligations including financial commitments by a county to expend county funds in connection therewith; and
WHEREAS, during each regular session of the Texas Legislature, all state funds that support county programs are reviewed through the state appropriation process and by other state budgetary review systems; and
WHEREAS, the aforementioned review process may result in a reduction, or cessation, of state financial support of county government programs causing an unforeseeable disruption and reduction of the county budget and operations; and
WHEREAS, Texas counties cannot achieve reliable financial planning and the necessary bond ratings sufficient to support county-related obligations when the state mandates a new program that is not fully funded or under conditions where the state reduces or fully withdraws prior funding and disbursement for county government programs;
NOW, THEREFORE, the West Texas County Judges and Commissioners Association and its 118 current member counties do hereby resolve that for the foregoing reasons, it is in the best interests of Texas counties and their taxpayers to support and favor the passage of legislation in the form of an amendment to the Constitution of the State of Texas that would expressly prohibit the imposition of a mandatory governmental program on Texas counties, whether by an act of the Texas Legislature or a state agency or by executive order, unless the State of Texas has fully funded and disbursed all necessary funds to enable Texas counties to operate said governmental program.

6. Support for Local Decision Making and Opposition to Revenue Caps
WHEREAS, the Texas Legislature has previously considered and rejected proposals for additional revenue caps on counties; and
WHEREAS, 54 percent of the average taxpayer’s property tax burden is due to school taxes while only 16 percent is due to county taxes; and
WHEREAS, revenue caps would diminish local decision making and tie the hands of county officials and limit their ability to provide essential services to address the needs and emergencies of their citizens; and
WHEREAS, county government is already struggling to meet the demands of under-funded and unfunded state mandates such as indigent health care and indigent defense and federal mandates such as the Help America Vote Act and the Clean Air Act; and
WHEREAS, the demands on county budgets continue to increase including health care, motor fuel, road materials, and all other products and services purchased by counties; and
WHEREAS, artificial revenue caps will result in a shift of taxes from fluctuating properties to those remaining relatively stable in value, such as residential properties; and
WHEREAS, revenue caps will not necessarily result in a reduction of property taxes but will result in a severe impact on county services; and
WHEREAS, it would be inequitable for the Texas Legislature to impose additional revenue caps on local governments without alternative funding sources;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association does hereby express its opposition to efforts to limit local decision making and does hereby oppose any attempts to impose revenue caps upon Texas counties, and the West Texas County Judges and Commissioners Association expresses its deep appreciation to all legislators who oppose these unsound measures.

7. County Local Option Revenue Sources
WHEREAS, county revenue sources are extremely limited; and
WHEREAS, under current statutes, counties are forced to rely upon property taxes to fund necessary services; and
WHEREAS, county taxpayers should have the option to adopt a local sales tax, a local severance tax, a local motor fuel tax, an increase in local vehicle registration fees, and other revenue sources to reduce property taxes;
NOW, THEREFORE, BE IT RESOLVED, that the West Texas County Judges and Commissioners Association requests that the Legislature amend the tax statutes to allow the adoption of a county local option sales tax, a local option severance tax, a local option motor fuel tax, an increase in local vehicle registration fees, and other revenue sources for the reduction of property taxes without imposing any additional revenue caps.

8. Indigent Health Care
WHEREAS, revisions have been proposed regarding the Texas system of indigent health care; and
WHEREAS, some revisions propose an assessment upon counties to support a regional indigent health care system; and
WHEREAS, such assessment would constitute an unfunded mandate, requiring property tax increases in those counties; and
WHEREAS, such regional systems would not be efficient or responsive to local taxpayers; and
WHEREAS, the present Section 1115 Waiver provides voluntary opportunities to participate in health care innovation projects;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association opposes any attempt to impose a mandatory assessment upon Texas counties to fund a regional or statewide health care system and instead supports the continuation of the voluntary Section 1115 grants.

9. State Funds for Indigent Criminal Defense
WHEREAS, the right to assistance by legal counsel is guaranteed by the U.S. Constitution; and
WHEREAS, the State of Texas is required to implement this right and provide legal counsel to indigent criminal defendants; and
WHEREAS, the Texas Fair Defense Act, adopted by the Texas Legislature in 2001, implements this right and requires certain procedures and attorney appointments; and
WHEREAS, the Texas Legislature has failed to provide sufficient funding to offset the costs of the Fair Defense Act and has shifted this cost to county taxpayers; and
WHEREAS, county expenditures for indigent criminal defense have increased over 140 percent since the adoption of the Fair Defense Act; and
WHEREAS, the state funding is totally inadequate, providing approximately 12 percent of the indigent defense costs; and
WHEREAS, indigent criminal defense is a state responsibility that should be adequately funded on a statewide basis, not a burden overwhelmingly borne by local property taxpayers;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association does hereby request that the Texas Legislature fully fund the costs of indigent criminal defense which has cost local taxpayers over $2.6 billion from 2001 through 2017.
10. Juvenile Probation Funding
WHEREAS, the supervision of juvenile offenders is a responsibility of the State of Texas; and
WHEREAS, the Texas Legislature has consistently failed to appropriate sufficient funding to meet this responsibility; and
WHEREAS, Texas counties have increasingly met this burden by funding juvenile probation services and facilities; and
WHEREAS, Texas counties and their local taxpayers are now providing over 75 percent of the costs of juvenile probation; and
WHEREAS, current state funding formulas will continue to shift additional costs to county taxpayers unless addressed by the State of Texas;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association does hereby request that the Texas Legislature fully fund the costs of supervision of juvenile offenders, including the costs for juvenile probation services.

11. Mental Health Patients
WHEREAS, Texas counties have been forced to hold mentally incompetent prisoners for up to six months while awaiting court-ordered transfer to a state mental facility for treatment; and
WHEREAS, each of these pre-trial inmates costs the local taxpayer approximately $9,000 during this period of incarceration; and
WHEREAS, the county jail is not an appropriate facility for the mentally ill, and these prisoners pose a high risk of injury to themselves, the jail staff and other prisoners; and
WHEREAS, a State District Court in Travis County ordered the Department of Health Services to receive these prisoners within 21 days of a judge’s order; and
WHEREAS, instead of accepting its responsibility, the State appealed this order; and
WHEREAS, this delay by the State is increasing the cost to our taxpayers and continuing this improper practice;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association hereby requests that the State of Texas implement additional funding for mental health services and implement the state mental health plan to ensure the efficient and effective use of these resources.

12. Opposition to Diversion of Dedicated Funds
WHEREAS, the Legislature has committed certain funds for dedicated purposes; and
WHEREAS, unfortunately these funds have been improperly withheld from these needed functions and used to balance the general state budget; and
WHEREAS, the state leadership has proposed to end this diversion of funds;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association expresses its opposition to any state diversion of dedicated funds and supports the state leadership’s commitment to end this practice.

13. Emergency Services Program
WHEREAS, citizens of Texas desire access to 9-1-1 emergency services in an efficient manner, as evidenced by approval of the monthly fee on business and residential phone bills; and
WHEREAS, the 9-1-1 emergency services dispatch and response depends on equipment which must function reliably on a continuous basis; and
WHEREAS, older equipment reaches a point of being high maintenance and becomes unreliable; and
WHEREAS, technology continues to improve, necessitating upgrading hardware and software for reverse 9-1-1 services and other needs;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association urges our state legislators to provide full funding to the Emergency 9-1-1 Services Program for maintenance and improvement; and
BE IT FURTHER RESOLVED that funds generated by the 9-1-1 surcharge will not be used by the Legislature as money set aside to balance the state budget; and
BE IT ALSO RESOLVED that any such funds set aside be fully appropriated for the Emergency 9-1-1 Services Program.

14. Opposition to Granting Powers to Municipal Utility Districts and Special Utility Districts
WHEREAS, Texas is one of the fastest-growing states in the Union; and
WHEREAS, city government and county government should have appropriate authority to regulate growth in their respective counties and cities; and
WHEREAS, special water districts and private water corporations have the means to furnish water and provide for growth in rural areas of the counties; and
WHEREAS, municipal utility districts and special utility districts have been improperly used by certain developers to avoid compliance with county and city infrastructure plans;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association opposes the granting of additional powers to municipal utility districts and special utility districts and requests that the approval of the county be required before any further districts are created.

15. Support for County Road Grant Fund
WHEREAS, constitutional amendments have been approved by the voters to increase dedicated funding for public roadways; and
WHEREAS, these constitutional amendments will provide additional funding to be used only for constructing, maintaining, and acquiring right of way for public roadways other than toll roads; and
WHEREAS, these constitutional amendments provide needed support for public highways without increasing taxes; and
WHEREAS, the county road system is eligible for assistance from this funding; and
WHEREAS, county roads are being devastated by overweight trucks to enhance the production of oil and gas; and
WHEREAS, the oil and gas severance tax should be equitably shared with counties to repair this damage;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association does hereby request that additional funding be appropriated to support the county road grant program.

16. Uranium Mining Regulation
WHEREAS, uranium mining creates a special hazard for local groundwater; and
WHEREAS, uranium mining places a high demand upon local groundwater resources; and
WHEREAS, groundwater pollution by uranium mining cannot be recovered or rehabilitated and creates a permanent loss of groundwater; and
WHEREAS, county and groundwater conservation districts have very limited power to regulate uranium mining under current law;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association requests that state law be amended to require a due process permit proceeding and approval by the local Commissioners Court and groundwater conservation district before any permit is granted for uranium mining.

17. Sludge Waste Disposal
WHEREAS, human waste and other toxic materials are contained in municipal, domestic and commercial sludge; and
WHEREAS, this sludge waste contains harmful bacteria, viruses and chemicals that may contaminate local water supplies; and
WHEREAS, the current rules of the Texas Commission on Environmental Quality are inadequate to protect the water supply and adjacent landowners from the improper disposal of sludge waste; and
WHEREAS, disposal of these materials should be a matter of local regulation;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association hereby requests that no permits be issued for the disposal of sludge waste without the approval of the Commissioners Court and that the Texas Legislature clearly authorize local control of all sludge waste permits.

18. Fireworks Regulations
WHEREAS, counties currently have limited authority to regulate fireworks; and
WHEREAS, due to the continued danger of drought and the concern for public safety, such regulations are necessary to protect life and property;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association is opposed to any legislative action that would remove current county authority to regulate fireworks.

19. Oil and Gas Waste Disposal Facilities
WHEREAS, the Texas oil and gas industry is a vital part of our economy; and
WHEREAS, this industry requires the use of disposal facilities, such as waste injection wells, to operate in an efficient manner; and
WHEREAS, the operation of these disposal facilities can pose a substantial risk to the groundwater supply; and
WHEREAS, protection of the groundwater is also essential to the economy and health and safety of Texas citizens; and
WHEREAS, adequate information should be provided to Texas counties and their citizens to ensure the safe operation of oil and gas waste facilities and protection of the groundwater;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association does hereby request that the Texas Legislature and the Texas Railroad Commission require that Texas counties, their citizens and groundwater conservation districts be provided all available information concerning proposed oil and gas waste facilities in their area and a full opportunity to participate in the evaluation of any application for additional facilities; and
BE IT FURTHER RESOLVED that the Texas Railroad Commission be required to evaluate and consider the full local infrastructure impact and effect on local communities before voting on any such permit.

20. Rural Public Transit
WHEREAS, 37 Rural Transit District serve all the counties throughout Texas; and
WHEREAS, Rural Transit Districts provide access to needed goods and services, jobs and medical services throughout the rural counties of Texas; and
WHEREAS, Rural Transit Districts traveled 31,381,803 miles and provided 6,336,451 one-way trips to the citizens of rural Texas in 2014; and
WHEREAS, Rural Transit Districts have not received an increase in state funding since the year 2000; and
WHEREAS, on average, bus fleets for Rural Transit Districts are at 130 percent of their established lifecycle; and
WHEREAS, funding opportunities for large federal and state grants have historically left qualified rural projects underfunded; and
WHEREAS, without increased funding, in order to meet increasing service demands and costs in rural areas, services to those most in need in rural Texas will suffer;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association expresses its support for a meaningful increase in funding for Rural Transit Districts

21. Opposition to Rules Adopted by the Texas Department of Motor Vehicles That Decrease County Revenues, Increase County Costs, and Reduce Local Control and Local Services
WHEREAS, the county tax assessor-collector is charged with collecting vehicle registration fees which provide for certain legislative authorized revenues to offset costs associated with collecting and dispersing these fees for the Texas Department of Motor Vehicles; and
WHEREAS, the 83rd State Legislature created the Texas Department of Motor Vehicles Fund, authorized the Texas Department of Motor Vehicles to establish certain fees by board rule, authorized the board to direct certain fees to the fund, and allowed for county revenues to be set by board rule: and
WHEREAS, the Texas Department of Motor Vehicles has adopted rules setting title transfer and registration processing and handling fees for its own funding and has further adopted fees and changes for the county tax assessor-collectors and the various deputy classification types; and
WHEREAS, the county tax assessor-collector may deputize full-service title companies to provide titling and registration services and limited service companies to provide registration services, which increases access and locations for these services by citizens; and
WHEREAS, the rules adopted by the Texas Department of Motor Vehicles will decrease county revenues, increase county cost, and reduce local control and local services;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association opposes the rules as adopted by the Texas Department of Motor Vehicles amending Title 43 of the Texas Administrative Code Chapter 217.

22. Full Funding of DPS Labs
WHEREAS, the State of Texas through the Texas Department of Public Safety (DPS) provides for the testing of controlled and illegal substances for criminal cases; and
WHEREAS, while the service is valuable to the prosecutorial process, it is not timely as most tests require 6-9 months before results are rendered; and
WHEREAS, many alleged and formerly convicted violators must be released after 90 days with the high probability that they will reoffend and further endanger the public and further burden law enforcement; and
WHEREAS, the recent reduction in state funding will reduce the effectiveness of the DPS labs and result in further delays in the administration of justice;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association requests full funding, staffing and equipping of the labs to return results in the required legal time to serve justice.

23. County Homestead Exemption
WHEREAS, the current constitutional provisions limit the ability of counties to a percentage of the appraised value of homesteads; and
WHEREAS, the current limitations prevent the adoption of a homestead exemption to provide greater benefit to lower-priced properties; and
WHEREAS, additional discretion should be granted to counties to determine the homestead exemption;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association requests that a constitutional amendment be adopted to allow counties to grant discretionary homestead exemptions based upon a dollar amount of the taxable value of the property.

24. Texas Department of Criminal Justice Inmates
WHEREAS, currently counties are required to hold inmates who have been committed to the Texas Department of Criminal Justice (TDCJ) for up to 45 days; and
WHEREAS, counties are required to hold parolees who are awaiting a revocation hearing before the TDCJ Parole Board; and
WHEREAS, the TDCJ does not provide adequate transportation of its inmates from county jails to its facilities; and
WHEREAS, the cost to county taxpayers for the failure of the State of Texas to meet its responsibilities for state inmates is approximately $100 million per year;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association requests that the State of Texas fully reimburse counties for all costs incurred for the confinement and transport of TDCJ inmates.

25. Optional County Road and Bridge Fee
WHEREAS, the current maximum county optional road and bridge fee has been frozen at $10 since 1991; and
WHEREAS, the cost of construction and maintenance of the county road system has increased tremendously in recent years; and
WHEREAS, as the population of Texas continues to grow, the need for efficient county transportation systems will increase;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association requests that the maximum county optional road and bridge fee be raised to $20 per vehicle.

26. Voting Machine Costs
WHEREAS, the Federal Help America Vote Act requires that counties provide an electronic voting system at each voting location; and
WHEREAS, the current voting systems have serious security and maintenance issues; and
WHEREAS, replacement of these systems will require a great expenditure of public funds; and
WHEREAS, the purchase, programming of, and maintenance of these systems is a state and federal responsibility;
NOW, THEREFORE, BE IT RESOLVED that the West Texas County Judges and Commissioners Association requests full funding from the federal and state government for the replacement of all voting systems, programming, and maintenance.

West Texas County Judges and Commissioners Association
2018 Resolutions Committee

Tarrant County Judge Glen Whitley – Chairman
Oldham County Judge Don Allred
Parmer County Commissioner Kirk Frye
Wichita County Judge Woodrow W. “Woody” Gossom Jr.
Hale County Commissioner Harold King
Taylor County Commissioner Chuck Statler

In addition to the above-adopted resolutions, the West Texas County Judges and Commissioners Association Resolutions Committee requests that the following items be recommended for future study and consideration.

1. County responsibility for cost of transport, autopsy and disposition of dead bodies.
2. State responsibility for drug-resistant tuberculosis cases and HIV medications.
3. Maintain local control and recovery of cost of reproduction of clerk’s digitized records and e-filing.
4. Proper tax valuation of compressor equipment, refineries and new oil and gas production facilities, and exclusion of new oil and gas interests from the effective tax rate.
5. Full funding for school vaccination program.
6. Require vehicles to reduce speed and/or yield a traffic lane to county road and bridge vehicles and equipment.
7. Require Commissioners Court representation on Regional Water Planning Groups.
8. Request legislation to require state reimbursement for court-appointed attorneys in child protective services cases.
9. Restore full funding for the Texas Historic Courthouse Preservation Grant Program.
10. State funding for all state special elections.
11. Additional funding for sales tax support on fireworks dedicated for local use.
12. More local authority on the regulation of fireworks.
13. Additional county authority over vehicle inspection and licensing procedures.
14. Local retention of asset forfeiture funds.
15. Abuse of the Public Information Act.
16. Abolish the excessive driver’s license fees assessed under the Driver Responsibility Act while maintaining support for trauma centers and EMS.
17. Support and restore county authority to regulate all county buildings and property.
18. Support an exemption from state motor fuel taxes for county equipment and vehicles.
19. Affirm county control of weapons in county courthouses.
20. Support full state funding for lost revenue from disabled veterans and surviving spouses exemption.
21. Review of the equity of ad valorem tax exemptions and the property appraisal process to facilitate a more equitable tax system.
22. State provide transportation for female prisoners or full reimbursement of the cost.
23. Change the day of statewide elections to Saturday.

Milam County: Standing Room Only

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Standing Room Only

In October 2017, Milam County Judge Dave Barkemeyer shared exciting news with a packed crowd gathered in a county courtroom. Some 80 people filled available seats while others leaned against the walls and lined up behind the Judge in the hallway so they could hear him.

“The interest in the community was overwhelming, and the response from the media was great that day as well as the following days,” the Judge recalled. “We even got mentioned in the Wall Street Journal, we had a Japanese station come over and interview us, we had a really good article in the Houston Chronicle, etc.”

The big news: Milam County submitted a proposal inviting Amazon to locate a second headquarters on all or part of more than 33,000 acres on sale by Alcoa, known as Sandow Ranch.

Barkemeyer went on to share the assets Milam County has to offer Amazon including an ideal location within 60 miles of 2 million-plus people and two research universities.

Yes, the effort may be a long shot, the Judge acknowledged, with about 200 more entities pitching proposals.

“But you don’t know until you try,” Barkemeyer told the crowd.

As of press time, the county had not yet heard back from Amazon, “but we’re still hopeful,” the Judge stated.

How did the meeting draw such a crowd? Of course, the lure of a popular company was a factor. But as important, Barkemeyer has developed a relationship with local media outlets that promote and cover such events. In addition, the Judge has made communication a cornerstone of his leadership approach, reaching out in multiple ways to make sure his taxpayers know the “who, what, when, where, why” of Milam County government.

Barkemeyer took office on Jan. 1, 2011, and he is retiring at the conclusion of this term. County Progress asked the Judge to share his approach to keeping his constituency informed:

 

CP: What are the tools you use to communicate with your constituency?

Judge Barkemeyer: Most successful have been the weekly articles in the three local papers, Cameron, Rockdale and Thorndale, followed by the weekly radio programs, Cameron and Rockdale stations. Our website is probably next, followed by weekly Commissioners Court meetings in which I make monthly financial updates. Departments also make reports during the Commissioners Court meetings, not that many citizens attend, but the newspaper and radio station reporters are always there and report the contents to the public, and minutes and PowerPoint information is on the website.

I make budget proposal presentations in six or seven places out in the community each year during budget planning time in late August and/or early September in Cameron, Rockdale, Milano, Buckholts, Thorndale and Gause. I make my presentations in the evenings so that the public can come and see how we’re spending the money and what we’re planning for the following year; they can comment and ask questions. I also make a video of this budget presentation and post it on the website for the year. I make presentations at Lions and Rotary Club meetings; I am a member of these clubs and chambers of commerce and attend their meetings and other gatherings around the county on a regular basis throughout the year to be available to people one-on-one to discuss issues and answer questions.

 

CP: What prompted you to begin writing columns for the local newspaper, and how long have you been doing so?

Judge Barkemeyer: I was writing articles for the Cameron paper when I was mayor and just continued the practice when I became Judge, and the other papers picked up the column and the radio station asked me to do a weekly program. I have been doing it for all seven years on a weekly basis. But I’ve become lax lately and have been skipping some. My excuse is to give the candidates a chance to tell them what they’re going to do when they replace me.

 

CP: What parameters do you use to decide what content is posted on the Milam County website?

Judge Barkemeyer: I try to keep it to business only, budgets, financial reports, departmental policies, new programs, burn bans, ordinances, forms, and need-to-know info. No politics.

I certainly will encourage my successor to continue the effort to have open, transparent communication with the community and to make efforts to try to promote the understanding of county government.

 

Lt. Gov. Patrick Releases Senate Interim Charges

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The presiding officers of both the House and the Senate have now released their full list of interim charges.

The Texas Legislature meets in regular session in odd-numbered years beginning the second Tuesday in January and runs for 140 days. At the conclusion of each session, the presiding officers of the House and the Senate assign interim charges, or topics of study, to their committees to help prepare for the next session.

A sampling of House interim charges and a link to the full listing issued by Speaker of the House Joe Straus ran in last month’s issue. Harvey-related interim charges for both chambers ran in our November 2017 issue.

Lt. Gov. Dan Patrick released two waves of additional charges in October 2017; below is a sampling of these Senate interim charges. The full listings can be found at bit.ly/2kEpvuIinterim1 and bit.ly/2juPT6Uinterim2.

Austin, Texas, USA – January 6, 2014: Empty Senate chamber of the Texas State Capitol building in Austin, Texas

Finance Committee

Economic Stabilization Fund:  Examine options to increase investment earnings of the Economic Stabilization Fund in a manner that minimizes overall risk to the fund balance. Investment options should ensure the liquidity of a sufficient portion of the balance so that the legislature has the resources necessary to address the needs of the state, including natural disasters. Evaluate how the Economic Stabilization Fund constitutional limit is calculated; consider alternative methods to calculate the limit, and alternative uses for funds above the limit.

Fee Structure Review:  Review state General Revenue – Dedicated fees and make recommendations to reduce fees and lessen reliance on General Revenue – Dedicated fee balances to certify the budget.

Adult and Juvenile Corrections Funding:  Examine the funding patterns used to fund the juvenile justice system and adult probation departments. Develop recommendations to ensure the Texas Juvenile Justice Department budget does not dis-incentivize the use of cost-effective best practices such as diverting youth from the juvenile justice system, providing services to youth in their community, and keeping youth closer to home. In addition, review funding to adult probation departments and ensure it provides for an equitable distribution to all Texas Probation Departments.

Trauma Funding:  Review revenue sources currently funding the state’s trauma system and the impact of declining revenues and balances in General Revenue – Dedicated accounts. Evaluate the impact of statutory changes affecting trauma system funding, including efforts to eliminate the Driver Responsibility Program. Examine ways to ensure sustainability of the trauma system in Texas.

Property Tax on Business Personal Property:  Evaluate the property tax as it applies to business personal property and the current $500 exemption. Quantify the economic effect of taxing business personal property and determine whether the tax places Texas at a competitive disadvantage relative to other states. Evaluate the burden on taxpayers and local governments of administering the property tax on business personal property and determine whether the current $500 exemption should be increased.

Interest Rate Disparity:  Evaluate the rate of interest charged on delinquent property taxes and delinquent state taxes, compared to the rate of interest paid on property tax refunds and state tax refunds. • Evaluate the effect of interest rate disparity on the assessment decisions of governments and the payment decisions of taxpayers. • Quantify the amount by which state and local governments profit from interest rate disparity. • Identify best practices among other states regarding interest rates charged and paid. • Recommend a plan and timeline to reduce interest rate disparity.

Monitoring:  Monitor the implementation of the following funding initiatives: • CPS Critical Needs – Monitor the impact of salary increases and additional caseworkers allocated to Child Protective Services last interim.  • Health Care Costs Across State Agencies – Monitor coordination efforts among state agencies to improve health care and reduce costs pursuant to Article IX, Section 10.06 and Section 10.07. • Behavioral Health – Monitor the state’s progress in coordinating behavioral health services and expenditures across state government, pursuant to Article IX section 10.04, including the impact of new local grant funding provided by the 85th Legislature. • Sporting Goods Sales Tax – Identify state and local park needs and determine whether the Sporting Goods Sales Tax is meeting those needs.

 

Senate Select Committee on Property Tax Reform

Voter Engagement: Study and recommend ways to enhance voter engagement in local government decisions around budgets and property tax rates through digital media and social media. Determine how budget and tax rate information should be formatted for effective communication through digital and social media. Identify the ways in which digital and social media present new opportunities for voters to give feedback to local governments.  Identify best practices among local governments in Texas and in other states.

Tax Rate and Appraisal Reform: Evaluate the effective tax rate and rollback tax rate calculations and identify modifications that would yield a rollback process that is meaningful for local governments and for citizens. Evaluate whether the current rollback election trigger serves modern objectives.

Evaluate the operations of appraisal review boards (ARBs), specifically the training and expertise of members concerning appraisal standards and law, ethics, and meeting procedures. Determine whether ARB operations are sufficiently independent of central appraisal districts and taxing units and whether ARBs and/or chief appraisers should be elected.

Property Tax Data: Evaluate whether existing libraries of property tax data and collection methods are adequate for studying local property tax outcomes and identifying drivers of growing property tax levies. Determine the scope of existing data, where it is stored, and how it is made available to the public. Determine whether existing, available data is adequate for the needs of the legislature and the public. Review existing procedures for the collection and verification of data. Receive recommendations from the comptroller regarding the collection, verification, and publication of property tax data.

Lowering Property Tax Burden: Study the feasibility of replacing the property tax with sales tax or other consumption tax revenue, with emphasis on school maintenance and operations tax. Evaluate whether some local property taxes lend themselves to a swap more than others. Quantify the short-term and long-term economic effects of a tax swap. Identify a target property tax rate and evaluate how to reach that target with a consumption tax swap.

 

Transportation Committee

Funding Opportunities for Texas Ports: Review the state’s appropriations for Texas’ ports and the Ship Channel Improvement Revolving Fund and make recommendations for increased investment to meet future needs.

Project Acceleration: Study and make recommendations regarding segregating state and federal transportation funding to accelerate project delivery.

Toll Road Penalties: Review penalty practices employed by toll authorities throughout the state and make recommendations to improve customer service and eliminate unjustified penalties.

Human Smuggling: Examine the anti-smuggling efforts of governmental and non-governmental entities under the committee’s jurisdiction. Compare the findings to best practices in other states and make recommendations to help advance efforts in the fight against human smuggling.

Highway Naming: Review the state’s policy related to the naming of state highways for individuals and make recommendations to limit and reform the criteria of such designations.

 

Health and Human Services Committee

Child Welfare: Review the efficacy and quality of services offered to ensure family preservation while in the Family Based Social Services (FBSS) stage of service at the Department of Family and Protective Services. Make recommendations to better track quality of services and link payments to providers of these services to outcomes for families and children.

Analyze the Department of Family and Protective Services’ progress in meeting statutory requirements related to timely visits to children involved in a reported case of abuse or neglect. Make recommendations to further improve the timeliness of these visits.

Review services and supports provided to children in Permanent Managing Conservatorship of the state, and the level of preparedness given to youth aging out of state care. Examine the impact of recent legislation related to these populations, and make recommendations to ensure youth in care are ready for adulthood and to reduce the likelihood of intergenerational perpetuation of child maltreatment.

Assess the effectiveness of public and private agency efforts to recruit and retain foster parents. Identify barriers to entry and obstacles that prevent interested families from continuing to provide foster care. Recommend solutions to increase foster recruitment and address non-renewals, especially in first-time foster parents.

Substance Abuse/Opioids: Review substance use prevention, intervention, and recovery programs operated or funded by the state and make recommendations to enhance services, outreach, and agency coordination. Examine the adequacy of substance use services for pregnant and postpartum women enrolled in Medicaid or the Healthy Texas Women Program and recommend ways to improve substance use related health outcomes for these women and their newborns. Examine the impact of recent legislative efforts to curb overprescribing and doctor shopping via the prescription monitoring program and recommend ways to expand on current efforts.

Medicaid Managed Care Quality and Compliance: Review the Health and Human Services Commission’s efforts to improve quality and efficiency in the Medicaid program, including pay-for-quality initiatives in Medicaid managed care. Compare alternative payment models and value-based payment arrangements with providers in Medicaid managed care, the Employees Retirement System, and the Teachers Retirement System, and identify areas for cross-collaboration and coordination among these entities.

Evaluate the commission’s efforts to ensure Medicaid managed care organizations’ compliance with contractual obligations and the use of incentives and sanctions to enforce compliance. Assess the commission’s progress in implementing competitive bidding practices for Medicaid managed care contracts and other initiatives to ensure the best value for taxpayer dollars used in Medicaid managed care contracts.

Health Care Cost Transparency: Study efforts by the Department of State Health Services and the Texas Department of Insurance to increase health care cost transparency, including a review of the Texas Health Care Information Collection (THCIC) system, and the Consumer Guide to Healthcare. Recommend ways to make provider and facility fees more accessible to consumers to improve health care cost transparency, increase quality of care, and create a more informed health care consumer base.

 

Natural Resources and Economic Development Committee

Hotel Occupancy Taxes: Study and make recommendations regarding the collection and use of hotel occupancy taxes to increase transparency in the imposition, rate, and use of such taxes.

Regulatory Barriers: Identify options to maintain our state’s competitive advantage and make recommendations to remove or reduce administrative or regulatory barriers hindering economic growth, including permitting or registration requirements and fees.

Environmental Safety: Study the strategies and best practices for ensuring environmental safety during maintenance, startup, and shutdown activities due to emergencies. Recommend actions to improve safety without compromising compliance or penalizing good actors.

Waste Disposal Regulation: Study the permitting and compliance processes for waste disposal and processing, including evaluating the criteria for approval, denial, and application return. Make recommendations for improving and streamlining the permitting and compliance processes while maximizing public participation for effective outreach and education. Review the allocation of the Municipal Solid Waste disposal fees and make recommendations regarding allocation methods to adequately support existing programs.

 

Intergovernmental Relations Committee

ETJ Limitations and Notice: Review the existing regulatory authority granted to home-rule municipalities within the extraterritorial jurisdiction (ETJ), including practices used by cities to expand ETJ boundaries, and whether proper notification is provided to property owners added to a city’s ETJ following an annexation proceeding. Determine the limitations that need to be placed on a city’s authority within the ETJ to better protect the private property rights of individuals and landowners, and ways to notify individuals of the impact of being within a city’s ETJ. Develop a statewide rule and minimum requirements for such notifications.

Housing Affordability: Examine issues that impact housing affordability, including the effect of local government taxes, fees, and mandates. Evaluate the cost of purchasing a single-family residence in different parts of the state, factoring in the impact of local rules and regulations, to identify matters of policy with the greatest influence, and identify ways to increase transparency and awareness prior to the adoption of costly local ordinances or orders.

Special Purpose Districts Bond Reform: Study the state agency review of tax exempt bonds issued by special purpose districts and public improvement districts used to finance water and sewer infrastructure in new residential and commercial developments. Examine the disparities that exist between the feasibility review of water and sewer bonds backed by property-based assessments and those backed by ad valorem taxes, and make recommendations that ensure the continued stability of the Texas tax exempt bond market by requiring all districts to undergo appropriate reviews prior to issuance.

Municipal Management District Uniformity:  In conjunction with the appropriate legislative departments, determine whether the development of a template or standardized language for the creation of municipal management districts would provide a more effective means for legislators to ensure new special purpose districts conform to accepted standards and contain appropriate taxpayer oversight.

 

Veterans Affairs and Border Security Committee

Border Security – Law Enforcement: Study and make recommendations on opportunities to create public safety partnerships. Consider the federal 287(g) program and any needs of a state or local jurisdiction when entering in a Memorandum of Agreement for receiving delegated federal authority. Review cross training programs offered in other states that allow U.S. Border Patrol agents to be certified as state peace officers, and determine if Texas could create such a program.

Border – Invasive Species: Study and make recommendations on the impact to border security caused by invasive plant species, such as carrizo cane and salt cedar. Review proposals for eradication of invasive plant species that provide a natural shelter for human trafficking and/or smuggling arms and illicit substances.

Veterans Health: Study the effectiveness of veterans’ health and mental health initiatives in Texas and recommend ways to improve access and delivery. Explore the state of the federal VA Choice Program, including potential expiration, continuation, or expansion of the program. Consider the impact of the VA Choice Program on improving the delivery of health care, and determine ways to raise awareness and increase participation among Texas veterans. Consider the potential connection between chronic pain and mental health and identify strategies to improve the prevention of veteran suicide.

State-Delivered Federal Services: Review the veteran services offered by the United States Department of Veteran Affairs and Veteran Benefits Administration. Study those services which are being delivered by the Texas Veterans Commission, including but not limited to the state strike force teams and health care advocacy program. Consider ways to increase utilization of automated services, such as the Texas Veterans App, to reduce the need for additional staff time and to create a resource for veterans to access services at all times of the day.

Military Installation: Identify opportunities to promote the strategic importance of military installations in Texas. Study the impact of the Aviation, Aerospace & Defense manufacturing industry on the economic vitality of military installations and communities. Identify potential strategic partnerships between this industry and military communities which would enhance key strategic assets.

Military Youth Readiness: Evaluate the current readiness and fitness of Texas youth for entering military service over the next 5-10 years. Identify any additional economic impact to the state should youth not meet physical requirements or required academic performance.

 

Senate Select Committee on Employment Practices 

Study whether Texas businesses are able to circumvent state and federal immigration law by hiring employees through temporary employment agencies rather than hiring employees directly. Explore whether businesses that enter into contracts with a state agency should participate in the E-verify program as part of the awards process of a state contract. Make recommendations on how to best guarantee the integrity of our state’s workforce.

 

Education Committee

Teacher Compensation: Study current local, state, and/or national compensation strategies for classroom teachers and make recommendations to elevate the teaching profession as well as comprehensive policies to attract, retain, and reward teachers.

Mandate Relief/Innovation: Review, modify, or abolish chapters of the education code. Specifically, study cost-drivers, unnecessary mandates, reduction/elimination of inefficiencies, focus on policies or opportunities targeted to improving student outcomes, and better utilization of taxpayer resources.

Classroom Conduct and Teacher Support: Examine current student discipline mandates in code, study best practice models to reduce classroom discipline issues, and provide direct support for students and classroom teachers.

Expand High Quality Education Opportunities: Examine high quality campus/programs in Texas and other states and make recommendations on incentives to expand high-performing campuses and programs. Review should include but not be limited to: program and course variety, unique public school models, transfer or open-enrollment policies within a district, collaboration between districts or public charters, online learning, and whether children with special educational needs, children of military families, and student populations in chronically high poverty areas should have additional options to meet their unique educational needs.

Virtual Education in the 21st Century Classroom: Review the Texas Virtual School Network (TVSN) and recommend methods of updating and improving the system to boost online virtual education.

Dual Credit: Review dual credit opportunities throughout the state, examining the impact of HB 505 (84th Legislature) on students in particular. Look at the outcomes of statewide studies completed in Texas regarding dual credit, and examine the current rigor of dual credit courses, as well as how to improve advising for students in dual credit. (JOINT CHARGE with HIGHER EDUCATION)

 

State Affairs Committee

Second Amendment: Review local ordinances imposed on sellers and venues that affect a person’s rights under the Second Amendment of the United States Constitution. Examine state and local regulations and restrictions regarding the carrying of weapons during a natural disaster. Make recommendations on whether any legislation is needed to address the regulatory barriers to the full exercise of the Second Amendment rights of citizens.

Pensions: Examine and assess public pension systems in Texas. Specifically, review and assess (1) the different types of retirement plans; (2) the actuarial assumptions used by retirement systems to value their liabilities and the consequences of amending those assumptions; (3) retirement systems’ investment practices and performance; and (4) the adequacy of financial disclosures including asset returns and fees. Make recommendations to ensure public pension system retirees’ benefits are preserved and protected.

Attorney General Jurisdiction: Examine the Attorney General’s jurisdiction on issues of alleged violations of state laws regarding abortion and multi-jurisdictional human trafficking cases. Make recommendations to ensure uniform enforcement across the state.

Court Fees: Examine the structure of court fees and make recommendations to ensure statutory filing fees and court costs are appropriate and justified. Provide recommendations for proper agency oversight of fee collection.

Campus Free Speech: Ascertain any restrictions on Freedom of Speech rights that Texas students face in expressing their views on campus along with freedoms of the press, religion, and assembly.  Recommend policy changes that protect First Amendment rights and enhance the free speech environment on campus.

Religious Liberty: Monitor the implementation of legislation that protects citizens’ religious freedoms, including Senate Bill 24 (sermon safeguard) and House Bill 555 (religious liberty of county clerks), and make recommendations for any legislation needed to ensure that citizens’ religious freedoms are not eroded by local ordinances or state or federal law.

 

 

Criminal Justice Committee

Identify Successful Re-Entry Programs: Study current re-entry programs and procedures across Texas’ adult criminal justice system and identify which are most effective.  Review best practices and make recommendations to ensure that incarcerated individuals who are released from a county or city jail, state jail, or the Texas Department of Criminal Justice have adequate supervision and access to employment, housing, treatment, and other support programs to allow for successful re-entry and integration into the community and to prevent recidivism.

State Jail Review to Improve Outcomes: Perform a comprehensive analysis and study of the Texas state jail system. Examine the access to and use of rehabilitation, vocation, and education programs. Determine whether current programs are effective and if there are efficiencies that can be found to reduce recidivism and improve outcomes.

Telemedicine in Correctional Facilities: Review current availability and best practices in the state regarding the use of telemedicine for inmates in city or county jail, state jail, or the Texas Department of Criminal Justice.  Examine and make recommendations on whether access to care and outcomes can be improved through the expanded use of telemedicine for medical and mental health services, and whether expansion would create efficiencies. Examine barriers to implementation and expansion of telemedicine in correctional facilities.

Human Trafficking Awareness and Prevention: Study opportunities to increase awareness of human trafficking through public awareness campaigns, among local officials, and within public school districts including the identification of potential human trafficking and stash houses as well as how and where to report.  Examine the Human Trafficking Prevention Business Partnership Program at the Office of the Secretary of State and provide recommendations for increasing participation of Texas businesses in the fight against human trafficking.

 

Agriculture, Water and Rural Affairs Committee

Streamlining Water Permitting:  Study and recommend changes that promote streamlining of water right permit issuance and the amendment process by the TCEQ for surface water, and that promote uniform and streamline permitting by groundwater conservation districts for groundwater. Evaluate more transparent process needs and proper valuation of water.

Regulatory Framework of Groundwater Conservation Districts and River Authorities: Study and make recommendations on the regulatory framework for managing groundwater in Texas to ensure that private property rights are being sufficiently protected.  Study the role of river authorities and groundwater conservation districts including the state’s oversight role of their operations and fees imposed.

Agricultural Fees: Review licensing, permitting, or registration requirements and fees imposed on the agriculture industry by licensing agencies within the committee’s jurisdiction.  Make recommendations for state licenses and fees that should be reduced, repealed or transitioned to private-sector enforcement.

 

Senate Select Committee on Election Security:

In light of recent election irregularities in Texas, review voting security protocols as well as the responsibilities and duties of members of the Electoral College.  Specifically, examine the use of electronic voting machines and paper ballots, voting fraud and disenfranchisement occurring inside nursing homes and assisted living facilities, outside interference and manipulation of elections, and the voting requirements of presidential electors. Make recommendations to safeguard the integrity of elections, ensure the confidentiality and security of voting records, and ensure the will of the people is reflected through their ballot and carried out through their presidential electors.

Due Diligence Eases Financial Burden as Harvey Strikes

by

Planning for the Inevitable

Due Diligence Eases Financial Burden as Harvey Strikes

by Julie Anderson, Editor

Coastal counties are known for both their beauty and bounty, and Orange County, bordered by the Sabine River, Sabine Lake and Neches River, is no different. As a bonus, the area’s navigable waterways have lured petrochemical companies, manufacturers and shipbuilders, making Orange County a business portal into the Lone Star State.

However, when it comes to a coastal location, the glowing side of the proverbial coin is matched by a dimmer side, one that warns of the dangers of wind and water, ever-present possibilities that can now be summed up in one word: Harvey.

 

Not ‘If’ but ‘When’

Orange County Judge Stephen Carlton and Orange County Commissioner Barry Burton took office on Jan. 1, 2015. As part of their new officials’ training, Carlton and Burton learned that counties should keep a “rainy day fund” for emergencies, and the amount of the fund should equal 25 percent of the county’s operating budget.

“As a coastal county, we knew that was a very important number for us, and it was something we needed to work toward sooner than later,” Burton shared. “That was one of our first goals, to get that safety net built into the county finances.”

Members of Commissioners Court were informed by the county auditor that they had met this financial goal in July 2017, less than three years after setting it, and none too soon. The “if” became “when” on Aug. 25, 2017, when Hurricane Harvey made landfall just up the coast from Orange County.

Harvey devastated the area. Thousands of residents were evacuated from their homes by high-profile vehicles, boats and helicopters. There were more than 28,000 FEMA registrations with approximately 26,000 out of 40,000 homes receiving some level of damage. Businesses were closed for days, weeks or permanently. Orange County residents were approved for $100 million from FEMA and an additional $242 million from the U.S. Small Business Administration, as of press time.

The courthouse, jail, and other county buildings received various wind, rain or flood damage. The courthouse was closed for two months. Some area schools received significant damage with entire campuses closed for weeks. The debris from gutted homes and businesses was everywhere. When all was said and done, about 650,000 cubic yards of debris was collected by county, city, and state contractors in Orange County for disposal. Sadly, 11 fatalities occurred during the storm with four of those ruled storm-related and one determination still pending further toxicology testing.

Orange County officials were left to wonder exactly how much rain fell in their area after their rain gauge was disabled due to a power outage – but not before filling up to 60 inches. To put this in perspective, the National Weather Service confirmed in September 2017 that a record 64.58 inches of rain fell in the neighboring city of Nederland near Beaumont during the storm’s five-day onslaught. The city’s record rainfall is the heaviest ever logged in the United States during a tropical storm, breaking Hawaii’s 1950 record of 52 inches. So, suffice it to say, Orange County – Nederland’s neighbor – was fully saturated.

Recovery and resolve to rebuild were on the forefront of everyone’s mind, and the Orange County Commissioners Court was also tasked with the finances.

“You have to have the money upfront to pay these recovery expenses, and then you receive reimbursements,” Carlton emphasized. Reimbursement rates fluctuate from 75 percent to 90 percent; on some occasions another entity will take care of the remaining 10 percent. Regardless, the county must make the initial outlay.

“We have been able to use our own money and pull from that fund balance and keep our cash flow positive,” Carlton confirmed.

Had the money not been available, Orange County would be borrowing money to assist with the recovery, Burton explained, and while reimbursements would apply, the county would have to pay interest on the borrowed funds.

“We’re saving the taxpayers money by not having to issue debt,” Burton specified. However, had Harvey struck three years ago, the story would be quite different.

 

Set a Concrete Goal

Orange County’s budget fluctuates between $46 million and $50 million, reported Carlton. This means the magic number – an amount equal to 25 percent of the operating budget – is about $12 million. Officials refer to this as an “ending fund balance,” often synonymous with the terms rainy day fund or contingency fund.

The ending fund balance following fiscal year 2014-15 was projected to be $392,000, Burton noted. The previous administration had taken the projected ending fund balance from $6.3 million in fiscal year 2011-2012 down to negative $3 million for fiscal year 2013-2014. While the previous Court had taken measures to get the fund balance back into the black for fiscal year 2014-2015, Carlton and Burton felt the serious nature of a 25 percent fund balance required a more aggressive approach and set a goal to raise that amount to $12 million within four years. The county hit their mark with the 2017-18 budget.

  • FY14-15 – $392,000
  • FY15-16 – $6.5 million
  • FY16-17 – $7.8 million
  • FY17-18 – $12 million (budgeted for Hurricane Harvey recovery)

 

Fiscal Year Ending Fund Balance (deficit) % in Ending Fund Balance (deficit) Operating Cushion (deficit)
2013-2014 ($3 million) -6.5 (24 days)
2014-2015* $392,000 0.9 3 days
2015-2016 $6.5 million 14.1 52 days
2016-2017 $7.8 million 17 62 days
2017-2018 $0** 0** 0**
* Judge Carlton and Commissioner Burton took office January 1, 2015.
** The $12 million reserve was budgeted for Hurricane Harvey recovery.

 

This first step – setting a specific goal – may seem simplistic and obvious, but it is absolutely necessary for a successful outcome, Burton maintained.

“Too often, we state general intentions. It’s very easy to just say, ‘We want to save money,’ ” Carlton elaborated. “However, the goal must be concrete. Ours was 25 percent, or $12 million.”

The county not only set the percent goal and the monetary goal, but officials set a timeline: four years. Thankfully, the goal was met in three, just in time for Harvey.

 

Examine Expenditures

Once the goal is in place, a plan must be developed, Burton detailed. In Orange County, this started with the expenditures column.

The easiest thing for a county to control is how it spends its money, Carlton stated. However, gaining a full understanding of every dollar spent can be time consuming and tedious. In Orange County, this process involved a line-by-line inspection of the books alongside the county auditor.

This endeavor may not be popular, Burton cautioned, and it’s important to frame the initial conversation. The point is not to find fault, but rather to take a fresh approach in the interest of due diligence and meeting a specific goal – in this case, a $12 million emergency fund.

The County Judge and county auditor began a thorough examination of expenditure records, which yielded surprising results that allowed the county to generate immediate cost savings. For example, research revealed that the county was insuring millions of dollars of property that the county had not owned in years. In addition, the county was paying insurance premiums on some county retirees who had already passed away. In another instance, the county was paying insurance for an incarcerated individual.

“You cannot make assumptions,” Burton emphasized. “Things will never change without a thorough examination.” With that said, the process can be done “without being a destructive force.” Throughout the examination of expenditures, day-to-day county business carried on as usual.

 

Don’t Be Afraid to Make Difficult Decisions

During the process, the county received $800,000 from the BP gulf oil spill settlement in 2015, which helped. However, in early 2017, the county was forced to pay a $3.2 million wrongful death judgment for a jail inmate death that occurred in 2011. After the expenditures analysis resulted in cost savings, the county still needed to take measures to reach the $12 million goal. To achieve this, the decision was made to reduce capital outlay expenses and talk with department heads to trim in other areas.

For example, in previous years, the county would buy equipment at the beginning of the year. A change was made to purchase equipment at the end of the year to ensure the equipment was still needed and that the funds were available to spend while also ensuring the ending fund balance grew over the years.

When it came to budget requests, i.e., three new employees, Carlton and Burton would ask specific questions such as, “Can you get by with what you have now for this year and maybe one new employee next year instead of three?”

“You have to ask if the request is necessary to provide a service to the taxpayers,” Burton declared. “In many counties you see where Commissioners Court will ask for a ‘wish list’ from each department when formulating a budget. We are not in the business of granting wishes. We are in the business of providing resources to departments to do the jobs they need to do for the public.”

Burton and Carlton encouraged those in the courthouse to communicate with Commissioners Court if funds ran short. Orange County’s fiscal year runs from October to September.

“If you get into July and you need money, then come talk to us,” officials shared with those whose full requests were not granted. “If the request is valid, then we will move money.”

The Commissioners Court also took a hard look at benefits such as health insurance premiums, vacation and retirement eligibility. Some adjustments were made to reduce some benefits while also increasing pay rates. The goal was to bring Orange County more in line with surrounding counties and cities.

“It takes a long time to get into the weeds of it,” Carlton observed. “However, a county cannot just run on automatic.

“Our goal was not to stop county operations,” the Judge continued. “Rather, it was to be more effective and efficient, and be prepared in the case of emergencies.”

“Counties need to look at where they are on their financial standing,” Burton echoed, “and make sure their fund balance is there to address any unforeseen disasters before they come up.”

Growing an emergency fund – or ending fund balance – from $392,000 to $12 million was no easy task, Carlton and Burton confirmed, but considering Harvey’s devastation, the undertaking was well worth the effort.

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