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Council warns of tight financial times ahead

Fincastle Herald by Fincastle Herald
October 19, 2020
in Local News
0

BUCHANAN – Without specifically mentioning the $74,000 budget deficit the town faces, Buchanan Town Council members told citizens their Oct. 13 meeting tight financial times could be ahead.

Mayor Craig Bryant said council will be making hard choices and residents might not like some of those decisions. Council needs to explore “new ways to bring the [town’s] economy back … and some of the decisions might be controversial,” he said.

During a recent work session, council learned the town is facing a $74,000 short fall in its General Fund budget. One of the town’s big moneymakers, the Community Carnival, was cancelled due to COVID-19. Last year, the event brought in $74,000 and other events added $50,000 to the town’s coffers. “We really missed that carnival money,” said council member Marty Rickman.

Additionally, with tourism all but stopped during the pandemic, the Meals Tax was off by roughly $5,000 during the fiscal quarter between July 1 and Sept. 30.

Bryant warned the half dozen citizens sitting in on the meeting that the town’s economy is “not going to come back as fast like it used to.”

There was a hint that a chain restaurant could be coming to town bringing in additional Meals Tax revenue, but more discussions could be coming at council’s November work session.

The mayor asked the town for patience. “Bear with us and listen to what’s going on.

The news that Ransone’s Drug Store was shuttering in early November did not lighten the gloomy economic mood during the meeting. When it was announced, more than a few in attendance shook their head in sadness.

“That’s very disappointing … a tough blow to the community,” said council member John Mays.

During the half-hour meeting, Vice Mayor James Manspile introduced a verbal resolution that would allow Christmas events. Manspile said health officials told him Virginia can now hold events of upwards of 1,000 people.

According to the town, the Virginia Department of Health issued guidelines for outdoor venues of upwards of 1,000 patrons. The guidelines states performing arts venues, concert venues, movie theaters, drive-in entertainment, sports venues, botanical gardens, zoos, fairs, carnivals, amusement parks, museums, aquariums, historic horse racing facilities, bowling alleys, skating rinks, arcades, amusement parks, trampoline parks, fairs, carnivals, arts and craft facilities, escape rooms, trampoline parks, public and private social clubs, and all other entertainment centers and places of public amusement may operate at the lesser of 50 percent of the lowest occupancy load on the certificate of occupancy, if applicable, or 1000 patrons.

The town is considering hosting a Parade in Reverse this year. Instead of fire trucks and bands going down the route, people would drive the parade route with the fire trucks and bands being stationary, explained Manspile.

Another verbal resolution which passed was to spend a $40,000 grant on sewer projects. “What $40,000 will get us is what we’ll go after,” said Manspile. Town Manager Jason Tyree explained the grant expires in 2022.

Council authorized a contract with Heartland Payment Systems Inc. for credit card and eCheck payments. Under the new agreement, the transaction fee will jump from $2.19 to $3 for both online and in-person credit card and eCheck transactions.

Shortly, Tyree explained, Buchanan residents will be able to pay their utility bills online with the town’s new website.

The town’s next council meeting is Nov. 9 at 7 p.m.

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