24.11.24

BC councilors choose deficit over prudence

Electoral politics in all of its glory gave Bossier City a 2025 budget in deficit, complete with an upside-down spirited if fantasy-based defense right out of George Orwell’s 1984 and a bowdlerized version of the ridiculed old saw that begs, “Trust us, we’re the government.”

The City Council unanimously passed a budget about $8.5 million unbalanced, knowingly and willingly engaging in deficit spending for city operations through the general fund. That was shaved to under $6 million by the transferring in from a few other funds along with the usual (over the past few years) transfer out of $4 million to pay in part debt. The bulk of the transfer in also is typical, $6.8 million from the “1991 Sales Tax,” a shorthand for transfer from funds collecting for the 1991 half-cent levy that can go to towards fire, jail, and municipal buildings operations, along with other things not eligible for general fund backing.

This is unprecedented. Councilors Democrat Bubba Williams and independent Jeff Darby have served since 1997, Republican David Montgomery since 2001, and Republican Jeff Free since 2013. Since 2013, the city never intentionally passed a budget with a deficit, much less one with expenditures about 110 percent of revenues, transfers included. In fact, from 1997 through 2017, the city consistently in budgeting for surpluses missed every single year with deficit spending that had to be balanced by tapping other funds. 2018 saw for the first time actual revenues (and expenditures) exceed those budgeted, but then the next three budgets missed with actual numbers below those budgeted, but unlike the previous two decades excepting 2018 their actual revenues exceeded expenses. Only in 2022 and 2023, skewed by Wuhan coronavirus pandemic fiscal dynamics that have since passed did the budget underestimate expenses and overestimate revenues, rapidly building up general fund reserves.