Budget transfers OK’d, but county administrators still have their fingers crossed

LACONIA — Projected shortages in areas of the Belknap county budget have been remedied after a committee approved moving money from areas of the budget where surplus funds are anticipated.

The County Legislative Delegation’s Executive Committee approved two separate transfers totaling $94,355. One transfer dealt with an area of the County Nursing Home budget, while the second pertained largely to auditing expenses, replacement of a broken water heater, and costs associated with a new medical services contract for the Corrections Departments.

Both transfers were approved unanimously by the three committee members in attendance Monday evening: State Rep. Ray Howard, the chairman, and state Reps. Michael Sylvia and Barbara Comtois. State Reps. Glen Adrich and Norm Silber did not attend.

The committee approved the transfers sought by the county commissioners, who formally made the request on July 15.

The funds for the nursing home-related expenses were taken from the account for part-time nursing home wages. The funds to cover the expenses in the second transfer will be siphoned from money designated for interest payments on county loans.

The action on the transfers came after the committee spent two hours reviewing multiple areas of the $30.2 million county budget. Committee members asked County Administrator Debra Shackett to explain a wide spectrum of expenditures, ranging from the cost of the contract with a private firm that now provides medical services at the County Jail and House of Correction, to overtime for direct-care staff at the nursing home, to appropriations for postage.

When the delegation passed the budget in January, County Commission Chairman Peter Spanos told lawmakers that the supplemental appropriations or juggling of funds would be necessary because the cuts which the delegation was making were too severe.

“This budget is not sustainable going forward,” Spanos said at the time. “It will be clear that we have a significant shortfall.”

Shackett told the committee that, based on the latest fiscal data, she is anticipating revenues for the county for the fiscal year will fall short by almost $1.19 million, with 99 percent of that shortfall attributable to a loss in revenue at the nursing home.

The 99-bed facility is currently operating at two-thirds capacity, and a freeze on new admissions is in place because of significant staff shortages. She said the home has 25 full-time nursing positions which it has been unable to fill. As a way of dealing with the shortage the county has so far this year paid $150,000 in incentive pay to get current nursing home staff to work extra hours and/or take weekend shifts.

“The employees are burned out,” Shackett said.

“The COVID factor is adding to the stress,” County Commission Chairman Peter Spanos added.

Sylvia used the occasion to note that, at the midway point of the fiscal year, the Nursing Home had only used one-third of the money budgeted for oxygen. But Spanos pointed out patient oxygen use is lower than expected because the number of residents at the facility is far below normal.

The issue of oxygen has been a point of contention since the Executive Committee reduced the budget line for oxygen therapy.

When a special investigative committee refused to consider hiring a lawyer for a probe into county spending earlier this month, both Spanos and state Rep. Mike Bordes said such an expense was inappropriate, especially given that funds for nursing home oxygen had been cut, a criticism which Sylvia denounced as out of line.

Shackett said staffing is also a problem for the Corrections Department. There are currently openings for five corrections officers at the facility.

Shakett also told the committee that, based on current trends, county expenses are projected to be far less — $936,318 — than the amount budgeted.

With the projected revenues and expenses taken together, that could mean a budget shortfall of just over $250,000 by the end of the year.