Jail funding options still
up in the air By DAVE HAMRICK
Staff Writer
If
you have an extra $60 million lying around, the
Fayette County Commission wants to talk to you.
In
coming weeks, the commission's jail committee
will put together a packet of information on
plans for a new jail and courthouse complex,
including options for funding.
But
commissioners probably won't decide how to fund
the mammoth project until after county voters
rule on the Fayette County Board of Education's
special purpose local option sales tax proposal
Sept. 21.
I
don't think we need to be making any grandiose
decisions right in the middle of the school
board's last few weeks [of educational efforts
before the SPLOST referendum comes to a
vote], Commissioner Greg Dunn said last
week during a jail committee meeting.
A
sales tax is among the most popular options, but
members of the jail committee are concerned that
voters may not approve such a tax for the county
project right on the heels of a vote on the
school board's $90 million SPLOST proposal.
If
both sales tax proposals were approved, the
result would be an additional two cents per
dollar charged on goods and services in Fayette,
raising the tax from five cents to seven.
People
are going to get fed up, said Sheriff
Randall Johnson, a member of the jail committee.
Dunn
said the commission is going to have to bite the
bullet and build the jail, whether voters approve
a sales tax or not. The people in the
county will just have to understand that we don't
have a choice here, he said. It may
be unpopular for awhile, but we're just going to
have to go.
With
the current jail holding twice the number of
inmates it was designed for, county officials
have agreed for years now that if they don't
build a new jail soon, federal courts will order
them to, and will take control of the project
away from the county.
Other
options for funding the project include a bond
issue (paid back over a period of years using the
county's general fund), using impact fees or
simply increasing property taxes enough to cover
the cost.
A
bond issue would cost less each year, but over
the life of the bond would double the cost, said
Commissioner Herb Frady, one of two county
commissioners on the jail committee.
An
additional option, said county attorney Bill
McNally, would be to issue bonds and begin
construction, then ask voters for a sales tax
later to pay off the bonds faster.
Impact
fees might defray some of the cost, but only a
small part, said county manager Billy Beckett.
Impact fees are charged to developers to recoup
the cost of new county facilities needed to serve
the new residents they bring in, but the county
must prove that it is charging only enough to
repay the cost added by the new residents.
All
other costs must be paid by current residents.
The
fourth option is unlikely. Property taxes in
Fayette would shoot through the roof if tax rates
were increased enough to pay for the construction
outright.
In
that scenario, the county would have to raise
taxes enough to pay for construction as it is
accomplished, spreading the cost over only two or
three years. A mill of property tax in Fayette
($40 on a $100,000 property) provides about $2.5
million in revenue, so it would take 24 mills, or
eight mills if spread over three years, to build
the jail and courthouse.
The
jail committee will present all the options to
the Board of Commissioners, which will make a
decision sometime after the Sept. 21 school board
vote. There's no unanimity on the board
yet, said Dunn.
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