CANTON — Wayne County Executive Robert Ficano discussed the County’s financial status, upcoming projects, the Affordable Care Act and his future with the County at a gathering with the media on Monday, October 7.
Ficano says Wayne County’s financial situation will continue to remain stagnant, for at least another ten years, despite a rise in income and sales tax in the State. The County continues to rely heavily on property tax collections, which have been on a decline over the last few years.
Since the 2008 economic collapse, Wayne County has lost nearly $100 million in property taxes and Ficano forecasts that this may affect revenue for at least another ten years.
“While jobs have come back to the State, most of that affect ends up with the State,” Ficano stated. “All those revenue generators don’t help the municipalities.”
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Ficano shifted some blame to the State, by adding that promised revenue has still not been allocated to the County. During the 2012-2013 fiscal year, the County projected that it would receive $73.3 million in revenue from the State, but it only ended up receiving a much less $37.9 million.
The lack of resources in revenue seems to have affected various cities in Wayne County. While Detroit’s bankruptcy filing has generated the most media attention, other cities in the County, including Allen Park and Hamtramck, are now also under control of emergency managers.
Cities, such as Lincoln Park, River Rouge and Melvindale–which recently merged its Fire Department with the City of Dearborn, in an attempt to off-set some of its deficit–may also suffer the same fate, by receiving emergency managers in the near future.
Ficano says there is growing concern over the procedure in which the State compensates counties and local governments and hopes that enough support is gained to address lawmakers in Lansing.
In the meantime, the county has taken appropriate measures to deal with the lack of funding. Ficano says that since assuming the role as Wayne County Executive, he’s been able to bring personnel down from 5,200 to 3,500, by eliminating unnecessary jobs and merging departments. Additionally, he says all County employees, including him, have suffered an average ten percent salary decrease.
Ficano also touched on the controversial Wayne County Jail project, which he says the public has been misinformed about. The initial $390 million cost of the project, reported by several media outlets, was nothing more than a proposal. The actual projection will be closer to $300 million.
The project, aimed at combining the counties three current jail facilities, may now be heading in a different direction than originally intended. A recently vacated State prison, located in Detroit near Mound Rd. and 6 Mile, may now be the new site for the facility.
Ficano says inspectors are in the process of determining whether the move would be more cost-efficient. This may not go over well with Detroit officials however, who would prefer to keep the County jail at its current location downtown, because they consider it a vital contributor to that area’s economy.
The recent launch of Obamacare could potentially make over 300,000 Wayne County residents eligible for its benefits, according to Ficano. The County has set up information for residents who may need assistance obtaining more information about their options and eligibility. Residents can visit www.waynecounty.com/healthcare.
During the meeting, Ficano dismissed a recent poll that found that he only had a four percent likelihood of getting re-elected, in comparison to other possible candidates. While his seat is up for grabs next year, Ficano says he has not officially announced if he will be seeking another term and won’t be making that decision until next year.
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