Law demands spending control, transparency

A Newport, Wash., newspaper recently published an article entitled, “Commissioner seeks answers on reserve funds.” The article discussed some of the controversy surrounding Bonner County reserve funds but failed to address the impact on individual taxpayers.

Under county budget law, excess fund balances, at the end of a fiscal year, should be used to reduce property taxes in the following year. If fund balances are allowed to accumulate, property tax rates go up.

In the past, financial records showing fund balances were not available to commissioners when they fixed levies for the following year.

As a result, the balances were not used to reduce the following year’s taxes. Instead, they were carried over, as unauthorized reserves, and allowed to accumulate from year to year. The lack of transparency surrounding these unauthorized reserves makes them vulnerable to misuse.

Commissioner Mike Nielsen has led an effort to expose these unauthorized reserves and comply with county budget law. The end result should be greater transparency, better spending control and lower property taxes.

LOU GOODNESS

Sagle