Most county revenues are holding steady so far this year, but there are concerns about funding in 2009-10, Greene County Budget Director David Lawing said Thursday.

Lawing reported to the Greene County Commission's budget committee on revenues at the request of Commissioner Hilton Seay.

Seay noted that Tennessee Gov. Phil Bredesen has proposed 15 percent departmental cuts, and asked, "Do we need to drop some ideas on (county) departments?"

County Mayor Alan Broyles said Lawing "seems to think revenues are running pretty good," and said recent drops in gasoline and diesel prices have helped many county departmental budgets.

Lawing said he does not think conty budget cuts are required now.

The budget director said revenues in the current fiscal year through October, "did lower some." However, Lawing said most county revenues are not especially susceptible to a recession, at least not initially.

Lawing said revenue from county building permits is subject to a recession, but at least through September, no decrease has been seen. Lawing said building permit revenues for the first quarter were about 27 percent of the annual total, slightly better than expected. Three months is one quarter, or 25 percent, of the year, so 27 percent is slightly better than expected, he explained.

"We need to keep an eye on building permits" Lawing said. He noted that marriage licenses are also slightly above the first-quarter, at 27 percent of expected numbers.

Lawing said ambulance service revenues are expected to be down by about $175,000 for the remainder of the year, as previously reported.

However, he said ambulance service collections were 25.54 percent of expectations for the quarter.

"I was fairly conservative," Lawing said, when estimating revenues in most departments at the start of the budget-making process last winter. But he said the budget committee needs to "look hard next year," and estimate revenues very conservatively.

Lawing said one department where the recession seems to be showing is the Register of Deeds office, where he said receipts are down about 5 percent for the quarter.

A lot of the revenue in that office comes when mortgages are refinanced and have to be re-recorded, he said. So far this fall, refinancing activity is down, most likely because of the recession.

Lawing also said that county revenue from the Halls tax on investment income "will be short $65,000" this year, because of the drop in the stock market and investment income generally.

Last year, he said, the Halls tax generated $155,000 for the county, but this year is expected to generate only about $92,000.

Seay asked where the county government will make up that lost revenue. Lawing said, "Here and there," but most likely it will have to come out of reserves.

In response to a question by Commissioner Bill Dabbs, Lawing said the county's general fund balance is "pretty well over $5 million" at this point.

In view of the recession, Lawing said the county government "needs to buckle down" and make as few mid-year budget adjustments as possible.

All county departments have "pretty good balances" except the Solid Waste Department, he said. That department is not well funded, and has experienced declines in recycling revenues. In July, he noted, that department will be hit with the increase in the minimum wage.

Next year, Lawing said, the commission also will need to look closely at the revenues that go into the Education Debt Service Fund.

Lawing said the county government's interest income is "slightly below projections," at 17.9 percent of the expected amount, when it should be 25 percent.

He said sales tax growth is also down, but collections for the first quarter were actually 26 percent of the year's projections. Despite that, Lawing said he is "guessing" that the county will finish the current fiscal year in June with sales tax revenues 1 percent or 2 percent below the conservative projections in the current budget.

"I projected them to be down at the first of the year," Lawing said.

Commissioner John Cox said the county "was fortunate to have you with us," making projections that have turned out so far to be accurate.

Mayor Broyles agreed, saying, "It's like (Lawing) had a crystal ball."

The budget committee also approved four budget-related resolutions.

The committee unanimously approved a resolution to let Emergency Medical Services donate a used ambulance to the local chapter of the American Red Cross. The resolution notes that the vehicle can no longer be used as an ambulance, but is serviceable for transporting equipment.

The committee also approved a resolution authorizing $295,940 in six-month capital outlay notes, to be used to purchase four 78-passenger school buses.

County Commissioner Cox questioned the wisdom of buying such a large bus, and said that when he sees school buses operating, they are "never full." Commissioner Seay agreed. Cox said smaller buses would be less expensive to purchase and operate.

Mayor Broyles called Commissioner Clark Justis, a retired school principal who is now the transportation supervisor for the county school system. Justis came to the meeting, and said that although people may see buses operating with less than full loads, they are full when they leave schools in the afternoons. Justis said that has been the case at every school he has visited personally.

Justis invited Cox to come to Mosheim School next week and see for himself. Justis said it is true that a great many parents bring their children to school in private vehicles, but buses are still full when they leave schools. When gasoline prices reached $4 per gallon recently, bus rider numbers increased noticeably, he said.

Justis also pointed out that school buses have to operate for 15 years, and numbers fluctuate from year to year. In general, the trend has been upward.

Approval of buying the four school buses was unanimous, on a motion by Seay.

Approval was also given to a resolution to allow the county government to accept $1,267 in reimbursement from the state, for the sign at the new driver license station on Hal Henard Road. Mayor Broyles said the sign was overlooked in the contract, but the state agreed to pay for it. The building belongs to the county but is leased to the state.

Approval was also given to a resolution to allow the county's Highway Department to accept and spend a $2,818 insurance reimbursement. Mayor Broyles said the reimbursement covered an accident in which a privately-owned vehicle hit a county truck.