In this file photo, Hamilton County Commissioner Larry Henry participates in a county commission meeting at the courthouse.Staff File Photo by John Rawlston/Chattanooga Times Free Press
This morning Hamilton County commissioners said they want the public to understand that the county’s $85 million in reserve funds is spoken for.
“It’s all earmarked,” commission Chairman Larry Henry said. “Fifty-one million has to be designated to the three months of operating budget.”
County Mayor Jim Coppinger said there is $30 million obligated to build Red Bank Middle School.
He said the commission first will use commercial paper, a form of short-term debt, to build the middle school, but the county will turn all of that debt into a long-term bond issue.
County Administrator of Finance Louis Wright said the balance of the reserve fund is for debt service.
“That has caused that number to be larger, because we don’t have a separate debt service balance,” Wright said.
The issue of the county’s reserve fund has come up during a debate over the end of a 45-year-old sales tax agreement between the city of Chattanooga and the county.
The county stands to lose $10.5 million in revenue when the sales tax agreement expires, but city leaders have suggested the county use its reserve funds.
For complete details, see tomorrow’s Chattanooga Times Free Press.
Dan Whisenhunt covers Hamilton County government for the Times Free Press. A native of Mobile, Ala., Dan earned a degree in broadcast journalism from the University of Alabama. He won first place for best in-depth news coverage in the 2010 Alabama Press Association contest; the FOI-First Amendment Award in the 2007 Alabama Press Association contest; first place for best public service story in the Alabama AP Managing Editors contest in 2009 for economic coverage; and ...