Parish budget faces challenges

The St. Landry Parish Council pointed itself at changing the way revenue from the Evangeline Downs Racetrack and Casino is split.
The first target is the 6 percent of the $2.7 million sent to the Opelousas Police Department.
That decision was made Wednesday during a three and half hour session on the 2019 budget in Opelousas.
Budget numbers presented show the parish’s general fund this year had a beginning balance of $1,289,274 and will end this year at $1,201,974 — a $87,300 reduction.
The projected 2019 beginning general fund balance is $1,201,974 and the ending balance is $385,944 — a $816,031 erosion.
But Parish President Bill Fontenot said the actual shortfall in the 2019 budget is about $600,000. The most pressing issue for the budget is that housing prisoners is expected to cost the parish about $400,000 next year — an increase from $80,000, he said.
In addition, video poker revenue is expected to drop $80,000 to $100,000, he said.
About $280,000 is being held in a contingency fund and another $100,000 is being pulled out of the general fund and placed in a Delta Grand fund, which can be used for the theater or Ag Arena, both in Opelousas.
Amanda Cane, parish finance director, said about 48 percent of the overall budget goes to mandated expenses. Those expenses are those incurred by offices such as district, attorney, judiciary, clerk of court, registrar of voters and assessor. The Parish Government is required to fund those offices.
The mandate total grows with other revenue that is passed from the parish government to entities such as tourism and fire districts.
Council member Harold Taylor said out of $6.2 million available to the general fund, parish government has about $2.485 million to pay its bills. The difference is mandated costs.
Council member Ken Marks added, “We need to be sharing these numbers with these mandated expenditure people to let them know what we are up against ...”
Legislative Auditor personnel said parish government can determine how much it needs to operate with, Fontenot said
“... We have to legally meet our obligations,” he said and suggested it may be possible for Parish Government to draw a line on mandated costs.
Parish government slashed 17 jobs in this year’s budget. Grass-cutting operations were eliminated and a spraying program began to control roadside vegetation. There has been numerous complaints at Council meetings about gravel roads not being maintained.
Council member Jerry Red said it is the Council that gets the blame for the road conditions.
Timmy Lejeune, a Lawtell area Council member, said, “We are at the point, the verge of breaking. The people have paid, they have given and we are giving back to the taxpayers. Everybody else is benefiting, but the person who is paying the bills.”
Cain said the plan this year was to save $300,000 in a contingency fund and build it to $1.5 million in five years.
There’s about $500,000 in the fund, but Cain is projecting $400,000 of the money is going to be used to shore up the general fund.
Parish Government gained State Bond Commission approval to borrow $1.5 million to solve a cash flow issue.
Parish revenues run thin at the end of the year, but the treasury fills when taxes are collected at the first of the year.
Taylor said if the parish cannot show it is saving the money in a contingency fund, the parish is in danger of being declared insolvent.
Fontenot doubted the declaration would be made. “As long as we are making a transparent try, I think they are going to approve it,” he said.
A solution to the parish’s balance sheet is not just to cut the budget, but to find additional revenues, Marks said.
“I think we have done just about all we can do on the expense-cutting side. Now, we need to find some additional revenue from whatever source,” Marks said.
Marks pointed to the Evangeline Downs Racetrack and Casino revenue.
Taylor said there is $80,000 in Eunice and Opelousas city court and marshal expenses that are not mandated.
Taylor said he thought there was an agreement last year to cut $15,000 from those city budgets, but Fontenot did not act.
“Now, the ball is in your court, Mr. Fontenot,” he said.
The Council also voted to bring in about $400,000 from the break up of the hospital district that included St. Luke Hospital in Arnaudville.
The so-called racino money was split by Parish Government in an ordinance. The split may be reviewed.
The current racino split is:
— Parish government, 55 percent;
— St. Landry Parish Airport, 1.5 percent;
— Coroner, 1.5 percent;
— Economic development, 5 percent;
— District attorney, 3.5 percent;
— Registrar of voters, 1.5 percent;
— Opelousas City Police Department, 6 percent;
— St. Landry Parish Municipal Association, 21 percent;
— St. Landry Parish Judicial System, 2 percent;
— St. Landry Parish Clerk of Court, 1.5 percent; and
— St. Landry Parish Assessor’s Office, 1.5 percent.
The Parish Council also takes 4 percent for an administrative fee.
On the expense side, Taylor said he and Marks have been studying the inmate cost. Sheriff Bobby Guidroz gave them full access to jail employees, he said.
The cost of housing prisoners was budgeted at $80,000, but is projected to cost up to $400,000 next year.
There was no explanation why the cost is ballooning, but much of expense is now attributed to housing prisoners out of the parish.
The jail has a 232-inmate capacity. After that is reached, prisoners are sent out the parish. The in-parish cost is $14.72 per prisoner per day and out-of-parish it cost $24.39 per prisoner, per day.
Jail employees have suggested ways to save on medical and other costs, Marks said.