2009 State of the County Address

by

Wade M. Stewart
Chairman
Johnston County Board of Commissioners

January 5, 2009

* * *

Good morning. It is my privilege to provide the annual State of the County Address.   I would like to begin with mentioning some Board accomplishments during 2008.

• The Board has worked for many months on a Comprehensive Land Use Plan and we are expecting final adoption in early 2009.

• The Commissioners established the Veterans Services Advisory Board to better serve the needs of the nearly 12,000 military veterans of our county. 

• At very little cost to the taxpayers, we increased the number of courtrooms from five to seven.

• As a result of the passage of the 2007 recreation bond, this year we are now seeing many positive results in community recreation.

• The County received another bond rating upgrade from Standard and Poors in July 2008.  In addition, the Board adopted Financial Policy Guidelines, which determine how we budget and plan for the future financially.  

• Finding ways to reduce and hopefully eliminate teenager driving injuries and deaths was a high priority of the Board in 2008 and will continue to be addressed in 2009 at a second public forum to be held in February or March of this year.

• As a result of the Commissioners revising the bond sale schedule, the Cleveland and Corinth Holders area high schools are being built simultaneously.  They will be complete and opened on schedule in August of 2010.

• To show our continued support of Johnston Community College, we paved a significant portion of their deteriorating parking lot.

• In 2008, the Board approved mutual aid water agreements with Wilson County, Harnett County, and the City of Raleigh.

• The County accepted the management and operation of the Benson and North Johnston EMS units at their request.

Now that I have covered some of the highlights of 2008, I would like to move forward to 2009.

We have been, and continue to be, in a nationwide recession and Johnston County citizens have been affected.  Many have lost jobs in the past year and are struggling to pay their bills.   Revenue from the property tax, sales tax, and permits are down and will continue to decline through this fiscal year.  County government will need to be leaner than ever before.  

The County Manager presented financial adjustments in December 2008, which we agreed to in order to prepare for the upcoming shortfalls in revenue.  I am afraid that it will not be enough.  I am asking every department in Johnston County to find ways to Conserve, Conserve, Conserve.

Preparation of the Fiscal Year 2009-2010 budget will be the toughest we have ever faced. Why?    Residential construction is down 50%.  Growth in the ad valorem tax base is expected to be 3%, down from the normal 5.5%.  At the same time, depending on how we structure the existing debt service, that obligation could grow by $2.5 to $3.5 million.

It will be difficult to fund all of the requests in this County.   That includes County Government, Johnston County Schools, Johnston Community College, and the many non-profits we have supported in the past.   But, as always, we will consider each request seriously, and will do the very best we can.

I am optimistic about the future of Johnston County.  There is no doubt in my mind that we will continue to see growth in the commercial and industrial sectors.   I also believe that by mid-2009, we will see a bump in residential construction. We have always been and will continue to be a business-friendly County, because we want Johnston County to grow.

Johnston County is a great place to live, work, play and raise a family.   I have no doubt that it will be even better in 2009 as we continue to invest in job creation and education.  Together, we will help to make Johnston County a better place for our children and grandchildren.  The citizens of Johnston County deserve nothing less.

Wade M. Stewart
Chairman
Johnston County Board of Commissioners