(10/2019) Volumes could be written about all the inter-related actions within county government. It ranges from Elections and Voter Registration to Prisons, from Finance to Emergency Services, and Maintenance to Tax Services, and more. Among all those activities are the efforts to control or reduce expenses. Since we are in the process of developing the budget for 2020, the topic of expenses is very relevant this time of the year. But, you may ask, why do you start so early to put together next year’s budget? (We actually begin the end of July). The main reasons are: 1.) we have more to do than budgets, 2.) so that it is carefully done and accurate, and 3.) to complete it according to a mandatory process with milestone dates such as its tentative adoption date.

Getting to the final product requires properly analyzing each line item in each department based upon history and projected expenses and/or needs. One of our budget functions is to examine how and where we can reduce expenses. It can be as simple as changing a supplier or as involved as working through a long-term process to reduce insurance premiums.

There are situations where we will never have the opportunity to impact the coming year’s premium costs unless we take action nearly a year in advance. As I saw our worker’s compensation insurance multiplier trending higher and higher I said, "This trend needs to be reversed". To address this, I took advantage of our carrier’s risk management advisory team services. Near the end of 2018 I had them make a visit to our county operations and discuss with us what opportunities exist to reverse the upward trend.

As a result of the meeting, coordinated efforts to reduce accidents and injuries we instituted. For example greater awareness and preparedness for icy conditions were followed along with greater attention changing temperatures. We also analyzed floor care and cleaning materials as they related to slip hazards during inclement weather. These measures along with other practices will have a positive impact on the 2020 expense budget. How do I know this detail in advance? I am a member of the CCAP Worker’s Compensation Board of Directors and at our recent annual meeting the actuaries presented us with the new multipliers for 2019. The good news is that Adams County’s multiplier decreased by more than 10% and the base premium decreased by 6%.

These decreases represent thousands of dollars of savings. That sounds good, but what we gained in savings will be lost through the county’s new rain tax assessment (MS-4) from the Borough of Gettysburg. I felt good when I left CCAP headquarters (Harrisburg), but when I arrived in Gettysburg I saw Broadway Street being demolished for the MS-4 program. That visual reminded me of the MS-4 assessment Adams County Government will have to pay for its Gettysburg Borough impervious surfaces.

Following that depressing outcome, there came a positive reminder. That reminder was, the Human Services Building is outside the Borough of Gettysburg; no borough MS-4 fee there. We are thankful for the opportunity to avoid the fee. If we had listen to the naysayers, we would have stayed in the Borough with higher expenses.

Some residents of Adams County do not have the opportunity to avoid the fee. This is reminiscent of an elderly woman that PA St. Rep. Dan Moul spoke to about her MS-4 assessment. She told Dan she will have to decide between paying the MS-4 fee or purchasing her medication. How about the elderly that are struggling to pay their real estate taxes and then get hit with the MS-4 fee? In reality, this "rain tax" will be added to the county’s budgeted expenses and in turn property owners will actually be paying tax on a tax. Sounds like double taxation. Worse yet, we are dealing with a program that has been perpetuated on a model and not on empirical data.

To counter this new financial burden, I have a proposal similar to nutrient credits that was endorsed by DEP. Essentially credits are given for action taken elsewhere as remediation for runoff effects on the assessed property. My proposal would do just that. The County of Adams would use agricultural easements it owns through the agricultural preservation program as runoff abatement traded for runoff on the County of Adams’s borough impervious surfaces. The above easements along with best management practices have improved the watersheds in and surrounding the Borough of Gettysburg. Taxpayer moneys have made these improvements possible. I want to see our taxpayers receive the benefit of what they contributed to for years rather than paying additional taxes. Besides, it is very difficult to accept taxation for something that has no empirical basis. Representative Moul and I will be meeting at a later date to discuss the issue further.

To end with something positive, I would like to mention two things that speak to the financial strength of Adams County Government as stated in the Comprehensive Analytical Financial Report (CAFR). They are the General Fund Balance and the County Net Position. The minimum standard for General Fund Balance is that it would be sufficient to cover two months of expenses without any revenues coming to the county. Adams County’s general fund exceeds that standard by two and a half months of funds.

The analytical report also presents a long-term trend of the county’s continually improving Net Position. This position represents the value of the county assets less liabilities. This net has shown a healthy growth since the present commissioners took office in January of 2012. I am sure the improving economy was a factor, but cooperation, dedication, and leadership at all levels in adhering to fiscal responsibility was the overriding factor. Through diligence and dedication, the Controller’s Office Staff, for the second year in a row, produced a Comprehensive Analytical Financial Report (CAFR). The CAFR is recognized as a Gold Star Level product detailing the county’s financial position. Combining this with the work of our Finance Department, we have a great team monitoring our financial activity. I am thankful to be a part of these inter-workings of good county governance. Commissioner Jim Martin.