Trending
ELKINS -- Elkins City Council voted to reallocate more than $500,000 in the General Fund Budget after the City carried over more than $1 million from the prior fiscal year.
During Council’s most recent meeting, seven present council members voted to revise the City of Elkins Fiscal Year 2027 General Fund Budget to account for an additional $531,594 in surplus funds left unspent from Fiscal Year 2026. First Ward Council member Cody Kerns, Second Ward representative Michael Hinchman and Fourth Ward member Andrew Carroll were absent from the meeting.
In March, Council approved a $7,139,554 general budget for the 2027 fiscal year, an 8% increase over the 2026 FY budget, which was $6,591,312. FY 2027 began July 1, 2026 and will run until June 30, 2027.
Before the Council voted, Fifth Ward Council member Cody Thompson asked Elkins City Treasurer Tracy Judy if he was right in believing the City carried over “significantly more” money than officials were expecting. Judy said that was correct.
“In March when we presented our budget to the (West Virginia State) Auditor’s Office, we projected $686,183 is what we needed to have to make a balanced budget,” Judy said. “Well, we have an additional $531,594 to that. So that is very good.”
The $531,594 surplus combined with the $686,183 in estimated year-end carryover that was already built into the FY 2027 budget means that the City of Elkins carried forward a total of $1,217,777 from FY 2026, according to a city press release.
Judy explained to the Council that this revision will cover unexpected cost increases and new expenses across several departments, such as:
– $10,000 to the Treasurer's Office for health insurance cost increases;
– $16,000 to the Police Judge's Office for hiring a new part-time court clerk;
– $10,000 to Custodial Services for health insurance cost increases.;
– $50,000 to City Hall for capital outlay equipment, contracted services, dues and subscriptions.
The remaining $445,594 from the revision will be put into the City's contingency fund. The contingency fund “serves as a reserve for unexpected emergencies or urgent city needs,’ the City said in its release. Judy told the Council that they will see if they need that money for contingencies moving forward and, if not, it could be moved into the City’s Financial Stabilization Account.
Thompson, impressed by the surplus, asked Judy how the City did so well, to which she remarked it was because she’s “very conservative” with the finances.
“The trainings I’ve been to, they recommend you don’t budget more than 85% of what you think you’re going to get,” Judy said. “And I will say, hotel tax has increased. B&Os (Business and Occupation Taxes) have increased greatly. Now, will we sustain the B&Os? I’m not sure because there’s been a lot of construction that’s been going on, so once that leaves, I don’t think it will drop drastically, but I do anticipate some drop in that.”
Thompson commended Judy for her work as the City Treasurer.
The budget revision still requires sign-off from the West Virginia State Auditor's Office for final approval.
The Elkins City Council will meet again at 7 p.m. on Aug. 13 in the Phil Gainer Community Center.