The Two Bridges Regional Jail Authority voted to approve a deficit budget of $256,853 at its June 14 meeting. It is the second year the Authority has approved a deficit budget; however,  last year, due to staffing issues, the Authority knew it would not exceed revenues.

Acting Administrator James Bailey suggested paring the deficit by tapping capital reserves for the ongoing air exchange work. However, he noted, that would just push the deficit to the next fiscal year. “We have the funds in the reserves this year to cover most of the deficit, but there is no guarantee we’ll have it next year,” he said.

Finance Committee member Pam Hile asked, “So you are asking us to approve a deficit budget? What will be the effect on our bonds if we have a deficit budget?”

Bailey said the auditor didn’t say the deficit budget would affect the bonds, but that the auditor had not been specifically asked that question.

However, Hamilton Meserve objected to moving funds from capital reserves into the operating budget, saying the budget should show the actual operating deficit. “I think the state, and our boarding jails, should know that it is costing us to keep their inmates here,” he said. Meserve said it might help in the political arena if there is extra funding at the state level. Historically, funding goes to jails that have deficits, rather than jails that show a balanced budget.

However, Sagadahoc County Sheriff Joel Merry reminded the board that as of last year, the rules were changed, giving counties a chance to lift the cap for jail spending, which had been capped at three percent. “Unless the counties lift the cap first, the state will turn us down,” Merry said.

In the end, the motion was to approve the budget with the full deficit amount. Members of the finance committee, including Merry and Hile, voted against.

Finance committee members said that in spite of the deficit budget, the jail remains in a good position financially, and this year, spending will be under budget. The committee said that although a surplus is anticipated, it cannot be applied to the following year’s deficit until after the jail’s audit is completed, which is expected to be in December.

Following an executive session, the Authority voted to approve the agreements with Waldo, Knox and Kennebec counties for boarding inmates. A separate agreement was reached with Oxford County last month. The agreement with Knox County is a month-to-month contract, because Knox is experiencing staffing problems, according to Charlie Leadbetter, who was acting chair in the absence of Mary Trescot.

Staffing at Two Bridges also continues to be a problem. Currently, the jail is 11 staff members down, including the administrator, for which interviews have not yet begun. The inmate population is currently at 163.

Thayer Corporation is replacing the roof air exchange system. The work is expected to be completed by the end of June.