New spending on law enforcement and higher energy remained central pieces of budgets adopted in separate sessions Tuesday by Vicksburg and Warren County officials.

Overcoming protests in a two-hour public hearing, Warren County supervisors OK’d a $15.7 spending plan that raises tax rates 2.79 mills over this year’s rates — a slightly smaller increase than expected, thanks to figures arriving late last week from the Mississippi State Tax Commission. It was the first increase in local tax rates in several years.

Rates for schools and the City of Vicksburg were not changed, leaving the net effect as a $28 increase for every $100,000 in assessed value to be paid by homeowners starting in January.

Limited growth from tax rolls drove the supervisors’ decision, as property values rose just half a percent overall in this year’s reassessments. Also eating into the county’s beginning cash reserves — down nearly $1 million over this time last year — are a drop in tax revenue generated from car tags, a sign of movement toward smaller, more fuel-efficient vehicles, County Administrator John Smith said.

Chief among the items in the $486,216 in new spending this year is paying for the first round of planning a new Warren County Jail, pegged at $136,322, and fuel cost hikes in the sheriff’s, road and volunteer fire departments totaling $297,000. Also, state-mandated and court-ordered pay raises made up the rest of the new spending. Raises in the Road Department based on promotions are also expected.

Projected taxes

Tax per $100,000 for owner-occupied home in the city:  $926.10, up from $898.20

Tax per $100,000 for owner-occupied home outside the city: $567.30, up from $539.40

Source: Warren County Tax Assessor’s Office

Vicksburg officials, having held their public hearing Aug. 20, also approved a spending plan for the year starting Oct. 1, but without discussion. The $31.5 million budget calls for level funding for nearly all departments compared with the operating budget for this fiscal year. Exceptions include the fire and police departments, which each had 3 percent salary increases approved earlier this summer. Additionally, about $400,000 will be spent to purchase up to 14 police cruisers.

“We’re doing much more with less,” Mayor Laurence Leyens said. “That says a lot about the state of our local economy.”

Supervisors’ action puts the county’s total millage at 86.73 mills, up from 83.94, including the levy for schools. For municipal taxpayers, another 35.88 mills pushes the total to 122.61 mills.

The Vicksburg Warren School District requested $23.9 million in funding for regular programs this year, up from an earlier estimate of $23.7 million due to growth in taxable properties.

Leyens has boasted increased sales tax revenue of about 2 percent and tourism growth of about 5 percent in the city. However, expected revenue in the next fiscal year budget is flat compared to the current year.

“If more revenue comes in than expected, then we’ll make budget amendments,” Leyens said. “Until then, we’re not going to plan on making any major purchases.”  

Gaming funds in the county will be augmented this year by one more casino coming online and funds received from federal erosion control projects, which stem largely from money made available to repair LeTourneau Road.

“We will continue to use gaming money to pave roads,” Smith said.

Two citizens spoke to supervisors during the county’s hearing on the proposed budget. Besides the annually criticized meeting time for its budget hearing — it remains in the morning while city officials hear comments on the budget during an evening session — both challenged the notion higher taxes were needed to offset the cost of fuel and salary demands.

“There’s a lot of waste in the county,” Ellis Tillotson said. “I feel like you signed a contract with the citizens to serve for that pay for four years.”  Supervisors started new terms in January. Municipal elections are in 2009.

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Millage hikes from 5.4 to 8.0 in the Road Fund form the bulk of the overall tax rate increase. Though supervisors approved a raise of more than $32,000 to County Prosecutor Richard Johnson, they backed off the Legislature’s maximum of nearly $50,000 over what Warren County previously paid the position.

John Shorter, a fixture at city budget hearings in the recent past, told supervisors that county departments reliant on fuel-dependent transportation should mimic the public and commit to changing their driving habits.

In addition to the city’s fifth casino opening by year’s end, Shorter said, the prospect of six hotels in varying planning and construction phases should factor into this year’s budget.

“When there’s new revenue coming in, there’s no reason to raise taxes,” Shorter said.

The tax rate increase comes on the heels of similar hikes in surrounding areas.

Millage increases have been passed by Sharkey and Claiborne counties, by 2.25 mills and 5 mills, respectively. Both cited general fund spending and decreases in value from ad valorem tax dollars as reasons. Municipal taxes in Rolling Fork will rise by 5 mills, with officials there citing a high rate of homestead exemptions as a driving force behind the move. However, 7 percent pay raises for city employees, aldermen and the mayor are also included in the city budget. Natchez officials have announced no increase from that city’s current 42.732 mills.

Road projects in Madison and Ridgeland prompted a 6.33-mill increase in Madison County after originally advertising a 3.33-mill rise.

Other areas indicate opposite directions over land rolls and reactions to reassessments. Supervisors in Noxubee County have mulled a millage hike as high as 16 mills from the east-central Mississippi county’s current 128.16 mills, while Rankin County supervisors lowered its tax rate by 1 mill after this year’s reassessments came out about 20 percent higher than last year.