Ambulance District Carries Large Tax Reserve
The South Platte Ambulance District vastly overestimated the amount of tax money they would need in their first year and will end up carrying an unspent reserve of nearly $288,500 of what they collected from taxpayers by the end of 2007.
At current spending rates, the overstated 2007 tax levy budget will result in more than $550,000 of income collected from residents against a budget of $426,010.
Criticized by Ambulance District ballot issue organizers from the onset, the Ambulance District set their tax levy at 14 cents per $100 of assessed valuation. Initiative organizers had recommended a six to 10 cent tax levy during their campaign. Citing various startup costs including office space, furniture, high speed internet access and a secretary and “unknowns,” the Board approved the higher levy.
Despite the additional budgeted items, the Board’s primary job is to ensure ambulance coverage. When submitting their original budget, the Board included a budget line for $300,000 for the anticipated contract with Metropolitan Ambulances Services Trust (MAST) despite MAST’s announced cost of service to the District at about $248,000. At that cost, MAST officials told the District, they would be able to provide the same level of service as previously provided. The actual cost for the service contract came to $228,080. At the current rate of $19,007 a month, the District will pay MAST $209,077 during 2007.
It is just those disparities that are leaving initiative organizers disgusted. Budget numbers provided by the district show that they would have broken even with a 6.7-cent tax levy.
“I understand that he board was inexperienced but I think there was plenty of information available to them that could have helped them make a better decision,” Debbie Hammond, Ambulance District Initiative organizer, told The Luminary. “Now that the numbers are in the responsible thing for the board to do is roll the numbers back. Every governmental agency needs a reserve fund, but this is outrageous.”
Hammond told The Luminary that she intended to run for the board next election.