By Patrick Yost
Editor

    The Bostwick City Council last week approved a $81,057 general fund budget for 2010. The budget projects a $6,000 decrease in expenditures but also projects a slight increase in property tax revenue, up more than $700 from $10,007 in 2009 to $10,737 in 2010.
    On the revenue side property taxes, electric franchise fee ($10,000) alcoholic beverage excise tax ($10,000), collections from the Local Option Sales Tax ($7,000) and Insurance Premium ($16,000) account for the bulk of the city’s revenue.
    On the expense side the city is projecting to spend $6,000 in salaries, $5,000 in personnel  employee benefits, primarily insurance; $27,000 in lawn care  costs and $5,000 in electrical costs. The city has also included a $3,208 ear mark for contingency funds. In 2009 the city projected $39,123 in contingency funds. At the meeting Mayor John Bostwick reported that the city currently had approximately $30,000 in its reserve fund.
    The council also reviewed and approved a city water fund budget that projects that the city’s water system will lose $13,000 in 2010. According to Bostwick, the city will utilize reserve funds to prop up the water department next year. The loss, in large part, is projected because the city is beginning repayment of a $1 million loan to Georgia Environmental Facilities Administration (GEFA) for water line extension work completed last year.  Annually the city projects it will pay GEFA $13,500 to reduce the loan. Additionally, Bostwick said at the meeting, the city also has to complete an annual audit in connection with loan requirements. That audit is projected to cost $15,000 in 2010. Bostwick said the audit’s expense is more than five times greater than previous audit’s conducted by the city. “GEFA is the one that requires the audit,” Bostwick said.
    Council member Damon Malcom questioned the projected loss for the water department. “We can’t keep losing $13,000,” he said. “No we can’t, but that’s not a decision we have to make tonight.”
    The city is projecting to collect $60,000 in water fees in 2010, down from a projected $65,000 in 2009. In total the city’s water system budget is $75,700, up from $67,200 in 2009. On the expense side, the city will spend $8,000 on personnel, down from $9,500 in 2009; $10,000 to purchase water from the city of Madison, $8,000 in chemicals to process water and $8,000 in repairs and maintenance and water tank maintenance. The water department’s two largest expenditures are related to the GEFA loan with $15,000 set aside to fund the annual audit and $13,500 earmarked as an annual loan repayment. Bostwick said the city will try to find a cheaper source for completing the required annual budget.  “Most likely I can get someone to do it cheaper. Do we have to do it every year? Most likely,” he said.
    The council also approved a 2010 budget for the Susie Agnes Hotel. According to documents, the hotel, through interest income and revenue from the annual Bostwick Cotton Gin, will generate $20,200 in 20010. Expenses for the hotel include $10,000 for festival supplies, $2,000 for postage and advertising for the festival and $8,200 for “festival designated expense.” The hotel budget also has a $14,557 fund balance.
    The city’s cemetary fund is projecting income for the year of $1,700 against expenses of $1,700. All the budgets will take affect January 1, 2010.