Spanish Fort council OKs budget, discusses emergency fund creation

Posted 10/4/10

SPANISH FORT, Ala. — The City Council unanimously approved the proposed $6.16 million budget for fiscal year 2011 during Monday’s regular meeting.

District 1 Councilman Dennis Dismuke asked during the work session prior to Monday’s meeting …

This item is available in full to subscribers.

Subscribe to continue reading. Already a subscriber? Sign in

Local reporters keeping you informed across the Alabama Gulf Coast.

You can cancel anytime.
 

Please log in to continue

Log in

Spanish Fort council OKs budget, discusses emergency fund creation

Posted

SPANISH FORT, Ala. — The City Council unanimously approved the proposed $6.16 million budget for fiscal year 2011 during Monday’s regular meeting.

District 1 Councilman Dennis Dismuke asked during the work session prior to Monday’s meeting that the council consider establishing an emergency, contingency fund earmarked for disaster situations, such as hurricanes or oil spills, that would require 100 percent council approval to touch.

“This would be on an emergency basis only,” Dismuke said.

Mayor Joe Bonner said although he is not opposed to “something like that,” he said the body has already done what Dismuke is requesting but without restrictions on how the funds can be used.

“I think we already accomplish that. Each year we are setting aside at least 10 percent in a savings account,” Bonner said.

District 2 Councilman Mike McMillan said while he is not opposed to setting up a restricted emergency fund, he does not support requiring 100 percent council approval.

“I’m not in favor of a 100 percent vote on anything because you risk painting yourself into a corner. It only takes one person to lock things up,” McMillan said.

Bonner also voiced concerns about creating anything that restricts the actions of future councils, but Dismuke said he sees no reason why future leaders would not have the authority to dismantle any earmarks the current council enacts.

“This would be a good, proactive step, showing the fiscal conservatism we’ve all worked on, and (it would be) something good to pass on to the next council. We’d be establishing a precedent here that has some merits,” Dismuke said. “It’s my concern that we plan to spend all the money that comes in. We need to have a little bit of a growing reserve that protects us in the future.”

Bonner reiterated his stance that the council does proactively set aside close to 10 percent of its collected revenue each year, but it simply doesn’t restrict how those funds can be used.

In other business the council:

The next regular meeting of the council will begin with a 5 p.m. work session in the conference room at City Hall on Oct. 18, followed immediately by the regular meeting at 6 p.m. at the Gathering Place in the Prodisee Center.