The Flomaton Town Council agreed to combine its two lines of credit into one payment, freeing up the credit lines should the town need cash to finish out the year.
During a special meeting last Thursday the council voted to combine about $287,000 in line of credit debt at Escambia County Bank and United Bank with a single payment to Escambia County Bank. Mayor Dewey Bondurant said the move would allow the town to keep both lines of credit open with a $200,000 line at both banks.
Bondurant told the council he first considered combining all the town's debt into one payment but after talking with J.R. Jones and Town Accountant Robert Hudson, dealing with the lines of credit was the best option.
Bondurant also said the town will have to start cutting back on expenses and cutting back on projects unless they are extremely necessary. He did say the town has two roads (one on Martin Luther King Drive and another in the Holt subdivision) that need to be paved.
“We've got to cut down on spending,” Bondurant said.
Councilwoman Lillian Dean asked if combining the lines of credit would save the town money.
Bondurant said not really, but it would free up the lines of credit. He said those lines of credit may be needed to finish out the fiscal year.
He also said Flomaton has many businesses that are not paying sales tax or purchasing a business license. He noted one business owed $49,000 in sales tax and $20,000 of that amount is owed the town of Flomaton.
“I'm for cutting back on everything,” said Councilman Buster Crapps.
Crapps also said the town needed to pave the roads with the most traffic.
“In the shape we're in I don't know if we can pave any roads,” Bondurant said. “I want you to look and figure out ways to trim the budget.”
“We can't run the town on a line of credit,” said Councilman Charlie Reardon. “What we voted on today just prolonged the problem. We have to run the town on the revenue coming in.”
Dean said if the town began cutting back on the little things it would add up.
“When I suggested things you wouldn't hear of it,” Dean said. “Only the big things.”
Flomaton resident Jimmy Brantley told the council he thought they were doing a good job, noting the town looks good and many issues, like drainage, have been addressed.
“Don't beat yourself up too hard,” Brantley said.
Councilman Jim Johnson also noted that many of the projects the town has addressed over the past several years should have been addressed years ago before the current administration took office.
Bondurant noted the town has addressed numerous drainage problems, and built a new town hall, library and fire station. He also noted many streets and roads have been paved and that the town led the way to get Highway 113 four laned.
