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Local News October 29, 2008  RSS feed

State cutbacks affecting local governments

By LARRY HILLIARD Ledger Staff Writer larry@gaffneyledger.com

Local governments will have to make do with less state aid this year.

In the wake of tight economic times, the state has announced it will cut its appropriations to local governments, known as Aid to Subdivisions, by 3 percent.

Local governments receive state revenues quarterly.

The City of Gaffney had budgeted $433,000 from the state government this fiscal year, but will now see that amount reduced by $13,000 this year.

Although it doesn't amount to the hammering that some people have experienced in their retirement savings, it's enough to get the attention of City Administrator James Taylor.

"We were notified of the reduction six weeks ago and we are monitoring the situation," Taylor said. "It's a sizable enough amount to keep an eye on."

Taylor said the city can offset the loss by trimming spending or make it up in areas where the city might have over-budgeted.

The county also must tighten its belt as a result of a decrease in state funding. Cherokee County Assistant Administrator Holland Belue said he has received no official word from the state, but he also expects to see a 3 percent reduction in state funding this fiscal year. The county expected to receive $3.17 million in Aid to Subdivision this fiscal year. But that will be trimmed by $95,000 under the state cuts, Belue said.

"Hopefully, there is enough in the surplus to cover it," Belue said.