Spotsylvania County has applied for more than $50 million in federal stimulus funds.
Now supervisors may not want some of it.
Meanwhile, the Board of Supervisors moved forward with what Supervisor Gary Jackson said was an unprecedented effort by a local government to stimulate its own economy.
Nancy Miller, an executive with the tax consulting firm of Miller Foley Group, gave an overview of the American Recovery and Reinvestment Act. She said the rules are written as quickly as the funds are announced, making it a difficult process to follow. She said the oversight will take substantial staff time on some grants and programs that are new to local governments.
Supervisor Jerry Logan called the regulations "scary."
The county has not received a penny of stimulus funds yet, but a $25 million award has been announced to widen a section of State Route 3. Logan said if 100 percent of the rules are not followed, then the county could be forced to pay the money back or lose it. Miller added that some of the new rules trickle down to contractors and their subcontractors, who are bound to hire at union wage scales.
"This is very troubling to me that there are so many pitfalls with this stimulus money, and we really need to think long and hard if we accept any of this money," Logan said. "And the fact we have to front the money is troubling as well."
Supervisor Hap Connors said the state will get the stimulus funds for the Route 3 project and provide it to the localities.
"I am not inclined to give back the Route 3 money," he said.
Becky Golden, director of capital projects, said she is not worried about not getting the funds, or having to give them back.
Connors asked Gail Crooks, county management analyst, if she had enough support to handle the stimulus program.
"I cannot give a definite 'yes' or 'no' yet," she said, adding that she thinks staff is in a "good position" to handle the program's technical parts, but staffing could be a problem later.
Supervisors last night also agreed to allow some permitting online, as part of its local stimulus plan. They also allowed for developers and staff to sign agreements in lieu of engineering plans for some permitting, which can save more than $1,000. For example, a person who wants to build on a flat piece of property would not need to get any drainage engineering. But the biggest possible change--cutting building and zoning fees by 25 percent--will require a public hearing in August. Developers have complained that the county's fees are too high.
Brian Scott, the county's development service administrator, said this is the county's way to show it is business-friendly. He said the purpose of the program is to stimulate the local economy and streamline the process. The risk is that if permits for new homes, offices, decks and sheds do not increase by 25 percent, the county could potentially lose $80,000 a month.
Jackson and Supervisor T.C. Waddy voted against sending the program to a public hearing.
"We are gambling $80,000," Jackson said. "This is unprecedented for a local government."
Connors said supervisors can monitor the program monthly and stop it if the losses exceed the gains.
"I do think these are unprecedented times and I do think in these times we have to take unprecedented measures," he said.
Dan Telvock: 540/374-5438
Email: dtelvock@freelancestar.com