Commission’s attorney urges caution on tax proposition with funding guarantee

By Buck Collier, Special Correspondent
Posted 12/22/21

HERMANN — The plan to seek Gasconade County voters’ approval of a sales tax dedicated to local law enforcement was made less certain Thursday morning after the County Commission’s …

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Commission’s attorney urges caution on tax proposition with funding guarantee

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HERMANN — The plan to seek Gasconade County voters’ approval of a sales tax dedicated to local law enforcement was made less certain Thursday morning after the County Commission’s attorney raised concern about committing a specific amount of General Fund dollars annually to the Sheriff’s Department in addition to the money raised by a half-cent sales tax.

Sheriff Scott Eiler’s proposal calls for a minimum amount of General Revenue money being allocated to his agency, using this year’s appropriation of about $1 million as the base year. Under the sales tax proposal, the sheriff’s agency would receive 75 percent of whatever is raised by the tax — estimated at about $1 million — with 25 percent of the sales tax money divided among Owensville, Hermann, Rosebud, Gasconade and Bland — the six municipalities that have a commissioned police officer.

But just as the County Commission Thursday morning was nearing adjournment, consulting attorney Ivan Schraeder called with his comments on Eiler’s proposal, which he had been asked to review. County Clerk Lesa Lietzow spoke with Schraeder and reported their conversation when she returned to the Commission Chamber.

Schraeder said that while there is nothing wrong with sharing law enforcement sales tax revenue with the municipalities, he said the county should not include a specific split within the ballot language. The division of the money could be explained in language below the ballot title.

But a key comment from the attorney — and the one that makes going forward with the proposal less certain — cautioned against the Commission agreeing to a specific budget commitment for the Sheriff’s Department, a move which would, in effect, tie the hands of future administrative panels.

“There is an issue of binding future commissions,” Lietzow said. “There can’t be that future commitment. It is always subject to appropriations.”

The notion behind the budget commitment is that the Commission would not offset the funds raised by a law enforcement sales tax by reducing the General Fund dollars appropriated to the Sheriff’s Department.

After hearing Schraeder’s advice against a minimum General Fund appropriation, Eiler said it might be “pointless” to proceed with the proposal if the Commission could reduce the department’s annual budget allocation.

The attorney’s concern isn’t the only hurdle that Eiler needs to clear if he goes forward with his proposal. Hermann city officials have voiced reluctance to supporting the proposal, apparently believing the county seat’s Police Department should receive a bigger slice of the 25-percent portion.

Further, Lietzow noted, the Sheriff’s Department would not receive an allocation of a law enforcement sales tax until after the first full year of collections. The lag time is designed to give county administrators a chance “to get a handle on what your first year of collections will be” as they craft an operating budget.

“In reality, we wouldn’t reap the benefits of a tax until 2023,” said Presiding Commissioner Larry Miskel, R-Hermann.

Miskel and Northern District Associate Commissioner Jim Holland, R-Hermann, voted to continue the county’s contract with Schraeder. Southern District Associate Commissioner Jerry Lairmore, R-Owensville, was absent from Thursday’s session.

In other matters, Kelly Sink of Meramec Regional Planning Commission (MRPC) informed the Commission it might wish to revise it’s categories of funding regarding use of American Rescue Plan Act (ARPA) money to cover an application for funds from an ambulance district. County administrators in recent months settled on considering requests for funds in three of five possible categories. The ambulance district’s request does not fall within one of those three categories.

Miskel said the panel won’t act on Sink’s inquiry without Lairmore’s input. “If we have any additions or deletions to the criteria, I want Jerry here,” Miskel said.

The categories the Commission agreed to use in allocating ARPA dollars — Gasconade County is scheduled to receive $2.8 million — are aimed at addressing the economic impacts caused by the pandemic to workers, households, small businesses, industries and the public sector; replacing lost public sector revenue; and, investing in water, sewer and broadband infrastructure. The ambulance district’s request would fall under support for public health expenses.