County general fund shows steady improvement since recession

Shelby County’s General Fund is still recovering from the recession of 2008, but data suggests it’s steadily regaining strength.

Speaking during the Greater Shelby Chamber of Commerce Luncheon on Feb. 26, Shelby County Manager Alex Dudchock said over the past five years the Shelby County Commission has actively managed its resources and found ways to cut expenses. Thanks to its foresight, the General Fund for Fiscal Year 2014 is projected just $1.3 million short of it’s 2008 apex — up from a $4.5 million difference in 2010.

Dudchock added that in the first four months of FY 2014, the County has taken in approximately $477,000 more in revenue than the budget forecasted. He said it was a promising sign, but he expects the Commission to stay the current course.

“You can’t change your actions overnight just because you have an uptick,” Dudchock said.

Further examining the state of the county, Dudchock said the unemployment rate has been in decline since it peaked at 6.9 percent in 2009. He also said Shelby has the highest labor force participation rate in the state, even though it was still short of the 2008 mark.

A figure he said was most telling about the damage to families during the recession was the county’s median household income. In 2008, families brought home an average of $76,000. Last year, that was still $10,000 less at approximately $66,000.

“We have now a new normal,” Dudchock said. “Our population increases won’t be like they were when we led state in growth for four decades. That’s 40 years. And during those years we had some growth patterns that weren’t sustainable.”

Dudchock also praised Shelby County’s planning efforts to prepare for the Alabama Transportation Rehabilitation Improvement Program (ATRIP) in 2013, which brought approximately $28 million in road and bridge improvements to the county. The funding was used to complete 22 projects.

Quick figures: General Fund Revenues

Recent highest — 2008: $54 million

Recent lowest — 2010: $49.6 million

Current — 2014: $52.7 million

Unemployment rate:

Recent best — 2007: 2.2 percent

Recent worst — 2009: 6.9 percent

Current — 2013: 3.8 percent