DaytonDailyNews.com

DAYTON — Montgomery County Administrator Deborah Feldman strayed a bit on Tuesday, july 22, from her usual role as messenger of financial gloom.

But in reporting good news about county sales tax revenues to county commissioners, Feldman admitted that the 1.8 percent increase in sales tax receipts as of July isn't exactly something to write home about. Budget officials anticipated sales tax revenues, which have been anemic during the last several years, would remain flat or decline.

Feldman also said she's not entirely sure the numbers will hold going forward, as economic indicators remain gloomier than her recent annual budget discussions.

She said the county also is seeing savings on insurance costs and prisoner housing. That, combined with some shuffling of federal and human services levy funds to cover general fund costs, means the county may not have to drain the budget stabilization fund this year after all.

"That's extremely good news," said Feldman, who had expected that the county would need to deplete the $2.8 million stabilization fund in order to balance the $160.7 million general fund budget.

Instead, if the numbers hold, she said the county might be able to transfer an additional $2 million into the fund.

But the happy Feldman couldn't last. She said 2009 projections don't look good. And, she said, current real-estate based revenues, such as property transfer fees, are $1.8 million less than expected.

Treasurer's investment income is also $1 million below budget and termination of a contract to house 48 federal prisoners, which contributed to lower jailhouse costs, has also meant a drop in revenue of $1 million.

"The county continues to be under serious financial stress," Feldman said.

Contact this reporter at (937) 225-7455

or lhulsey@DaytonDailyNews.com.