County may be looking at big cutbacks

Sanders County commissioners gathered their department heads together Thursday to pass on assurances that nothing has been determined as far as staff reductions or cutbacks in next year's budget. The meeting came as a result of the possibility of the Secure Rural Schools and Community Self-Determination Act of 2000 not being extending, which means a loss of more than $1 million the county utilized for schools and roads.

The story broke Wednesday that due to the loss of revenue, the county might have to cut services or even staff members. Commissioners Carol Brooker, Hank Laws and Gail Patton talk to 18 department leaders for nearly an hour Thursday morning in an effort to dispel rumors and to let them know that there could be cutbacks.

Congress enacted the law to help off-set the steady decline in timbers sales on U.S. Forest Service and Bureau of Land Management land. In 1908, the federal government, which doesn't pay taxes, paid counties 25 percent of the money taken in from timber sales. That money was designated to go to the counties' schools and roads. However, timber sales dramatically dropped in the early 1990s. In 1989, the national revenue from timber sales amounted to about $1.5 billion, said Randy Hojem, Plains/Thompson Falls District Ranger. Nine years later, it was only $557 million and in 2004, it was down to $281 million.

Patton said that part of the reason for the decline of timber sales was the frequent litigation by environmental groups, which routinely get the courts to stop the harvest of timber on Forest Service property.

The Secure Rural Schools and Community Self-Determination Act of 2000 took an average of the high three years of timber sales funds and gave that amount to each county. The program ended in 2006, but was extended for another year, partly due to the lobbying from various groups and Brooker, who went to Washington, D.C. last year to help get it extended.

However, the program has been attached to three bills, so far this year, and hasn't passed. It missed by one vote as part of the Energy Bill, said Patton, who has a ranch in Lonepine.

If the program is not extended, the counties will revert to the old system of 25 percent of timber sales, which means a large reduction of money. The county received its final check of $1,491,691.67, which will be divided into three portions — $17,345.25 for Title III, $982,897.60 for roads, and $491,448.82 for schools.

In January 2007, Sanders County fetched $1,536,473.54, which will be divided into three portions — $59,095.14 for Title III, $984,918.93 for roads, and $492,459.47 for schools.

Patton said the loss of money for the eight schools in the county will be made up by property owners by raising their taxes. It's a "permissive levy," which means officials can raise the taxes without going to the voters, according to Patton, who added that it could go as high as 17 mills.

Yet, it's the funds for the county's road that will be impacted most. About 57 percent of the county expenditures came from the Secure Rural Schools and Community Self-Determination Act. Laws, a Thompson Falls resident, said the loss of the federal money will have a significant impact on the road budget. The county has about 750 miles of roads to maintain and plow.

As a result, the county could face cuts in staff and other budget areas. Patton said they've already considered switching from tar, which uses oil-based products and is more expensive, to gravel, which is cheaper, but causes dust during dry times. The county had already purchased a gravel crusher, even before word came that the act may not be extended.

Brooker said that even if the program is not reauthorized, it wouldn't impact the county until the 2008-2009 budget. And even then, the repercussions could be minimized by spreading the fund loss throughout the county budget.

However, she said there's still a chance that it could pass and it could be better than before. Brooker, a Plains resident, received an e-mail from Senator Max Baucus last Wednesday to address the issue. "Reauthorizing and fully funding the Secure Rural Schools and Community Self-Determination Act is one of my top priorities," said Baucus, a cosponsor to reinstitute the program for another five years.

The government last year looked into the possibility of selling federal land parcels to the public to make up for the loss in revenue after the Secure Rural Schools and Community Self-Determination Act ended. The Plains/Thompson Falls Ranger District identified seven parcels of more than 430 acres for potential sale. However, much of the general public was against the idea, including Baucus. "Montana is an outdoors state. We hunt, we fish. We take our kids hiking and camping," he wrote in his e-mail to Brooker. "The public lands we enjoy are a critical part of that outdoor heritage, and a legacy for future generations."

Baucus noted that under his new proposal, payments to the counties in Montana would go up from $13 million, under the current program, to $32 million in the first year.

Sanders County commissioners were still hopeful that the Secure Rural Schools and Community Self-Determination Act would be reauthorized, but Brooker said they need to start planning in case it fails. The commissioners told department heads to just start looking at possible ways to save money. "It's one of those things we may have to face," said Patton, who added that it's good to be prepared.

Patton said there's nothing concrete and the commissioners were optimistic that it will pass. The commissioner told the group of department heads that this would be a good time to write state representatives. "And if you have connections," said Brooker, "this is the time to pull them out."