Berrien County could lose $1.25 million

Published 8:15 pm Thursday, March 3, 2011

ST. JOSEPH — Berrien County could stand to lose $1.25 million in state revenue sharing next year if Gov. Rick Snyder’s budget passes.

The governor’s plan, given to the Legislature in February, would reduce revenue sharing payments to counties by 34 percent.

Berrien County would get $2.39 million in revenue sharing next year, in comparison to the $3.64 million for 2011.

The proposed cuts would amount to 2.3 percent of the county’s general fund budget of $50.98 million, which Berrien County Administrator Bill Wolf called “a substantial hit.”

Wolf told Berrien County Commissioners during committee meetings Thursday that until tax equalization numbers are released in April, he will not know how much of the shortfall will be filled by increases in tax assessment.

The governor’s proposal would also affect municipalities. It calls to eliminate statutory revenue-sharing — payments made to municipalities on top of the amount mandated by the state Constitution. Constitutional revenue sharing would increase by just 4 percent under Snyder’s proposed budget.

The City of Niles stands to lose between $200,000 and $600,000 next year, according to Niles City Administrator Terry Eull.