Mercer County Board Chairman Brian Anseeuw says the county could run out of money in months, if not one month. The Mercer County Board held a special called meeting Friday, March 27, 2015 to discuss a financial emergency, and Sheriff's Department and Recorder's Office fees.
"We will be out of money very soon," said Anseeuw.
The Board listed the following financial conditions as proof of a financial emergency:
1. The Mercer County Board's 2015 appropriations ordinance did not provide funding for: the salary of the County Engineer and other Motor Fuel Tax expenses, all of the required "step increases" in competition for represented employees in compliance with labor agreements, required payments for interest or principle reduction for the County's operating line of credit, the likely settlement of three expired bargaining unit contracts and all costs associated with the likely settlements, and other expenses to be paid from various funds.
2. Mercer County does not maintain an unencumbered fund balance sufficient to manage county business without incurring short term debt for the purpose of maintaining County operations.
3. In recent years, including the current fiscal year, Mercer County has been unable to meet its legal and contractual obligations to make payments to creditors, including including the Mercer County Public Building Commission.
4. The historic growth in the cost of labor and benefits have exceeded the economic growth of Mercer County in general as well as the County's legal ability or desire to raise taxes to meet the rising costs.
5. In recent years financial obligations have been funded by selling County assets or through inter-fund borrowing and transfers, which is no longer an available financial strategy.
As part of the financial emergency, departments in the county will be directed to look at reducing non-staff related costs, identifying new sources of money and making changes to be more efficient. It also directs committees in the County Board to work with County departments to look at services that are not critical or mandated by law and there could potentially be a hiring freeze.
"We've been dealing with this for a long time and the writing has been on the wall. In mercer county we're a microcosm of the State of Illinois. Are we the first domino to fall? And I see surrounding counties, I think they're going to be following steps very similar to ours," said Anseeuw.
The Board also approved resolutions to increase Sheriff's Department fees and Recorder's Office fees.
"What we're doing is increasing those to match surrounding and also to take the burden off of our property tax levy which had been subsidizing these in the past," said Anseeuw.