Open in App
The Sun News

How did this SC small town rack up a $1.8 million deficit? It’s just the latest problem

By Emalyn Muzzy,

13 days ago

https://img.particlenews.com/image.php?url=0rSyiI_0sVA8rw000

Reality Check is a new Sun News series holding those in power accountable, shining a light on local issues, and answering readers’ essential questions. Have a question or concern we can answer? Email online@thesunnews.com .

Surfside Beach announced it has a $1.8 million budget deficit, but officials cannot agree on how it got that high.

A lack of planning can be attributed to the budget deficit, which has resulted in a hiring freeze and consideration of turning the fire department over to Horry County.

This is just the latest problem for the town. The town faced criticism for the continual delay of the now open Surfside Beach Pier . This year, the town has launched an investigation into the high turnover of its police department, which caused the police chief to resign. There have also been ongoing complaints from residents on everything from parking to permits, and years of infighting among its council members.

The police department is not the only part of the town dealing with a high rate of turnover. The mayor and half the town council were newly elected into office in 2023. Surfside Beach also has a new town manager and finance director that were hired last year.

Surfside Beach Town Administrator Gerry Vincent attributes the deficit to the fact that it has been several years since Surfside Beach has increased its millage, which determines how much property taxes are charged.

The lack of a regular increase in millages plus a need for more employees has left the town finding creative ways to balance its budget, Vincent said. Right now, the town has a balanced budget but it also has no money to fill vacant positions.

Over the last couple years, the town council did not see a need to increase property taxes because they were able to balance the budget, said Town Council Member William Kinken. Last year, the council was advised to raise the millage, which was put to a vote. The town council ultimately voted no, and among the “nays” were council members up for re-election.

Kinken and Vincent believe council members didn’t want to raise taxes during an election year. Despite that, the two council members who ran for re-election lost.

Former mayor Bob Hellyer said the millage increase was shot down because the town was not transparent with the council on how the money would be spent. When asked to elaborate, he declined.

The fire department, among others, does not currently have enough employees to function safely, causing the lack of income to hinder the town.

Mayor Robert Krouse said there is not one reason for the deficit. The town council will discuss the fire department during a town council workshop meeting at 10 a.m. Thursday.

Fire department lacking funding

The fire department currently has six full-time firefighters, a chief, deputy chief and fire marshal, plus volunteer firefighters. Vincent said it needs at least 10 more full-time firefighters to function. Each full-time firefighter costs around $84,000 a year, which is what a millage is worth.

Last year the town council approved funding for three additional positions, which were not filled, and this year, the fire department requested four more positions.

Surfside Beach town council denied the four positions and will put a hiring freeze on the three vacant spots because the town cannot pay for them, Vincent said. This puts Surfside Beach in a tricky spot, as it cannot safely run its fire department with six full-time staff.

Surfside Beach is in talks of allowing Horry County to take over firefighting duties although it’s not as easy as one may think. The town would need to pay Horry County taxes for firefighters. Taxes paid to Horry County would likely cost more than increasing taxes for more Surfside Beach firefighters, Kinken said.

Not increasing the number of firefighters could also cause insurance costs to increase due to liability.

The town’s current millage rate is 43 mils. The maximum limit of added millages in Surfside Beach is 10, Vincent said. The maximum increase could cover the requested seven firefighter positions but Vincent said he is not sure town council will increase millages to the maximum amount.

“Raising taxes is the last thing you want to do politically,” Vincent said.

Expand All
Comments / 0
Add a Comment
YOU MAY ALSO LIKE
Most Popular newsMost Popular

Comments / 0