Cleveland County
How can Cleveland County continue to provide services for its citizens? What factors and trends are impacting county services and funding sources? Which of these can the county control or influence In the short-run? In the long-run? What are anticipated changes that might affect the county s fiscal health? What might the county do to eliminate or minimize the impact of anticipated changes?
Population Cleveland County Population Estimates, 1999-2016 10,000 9,000 8,000 7,000 6,000 5,000 4,000 3,000 2,000 1,000 0 The population of Cleveland County decreased slightly (4%), from 8,600 in 1999 to 8,200 in 2016. Data Source: Population Estimates, U.S. Census Bureau
Data Source: Population Estimates, U.S. Census Bureau Population Change, 1999-2016
Data Source: Population Estimates, U.S. Census Bureau Population Change, 2010-2016
Employment Cleveland County Total Employment Estimates, 1999-2015 2,500 2,000 1,500 1,000 500 0 Employment in Cleveland County decreased from 2,000 in 1999 to 1,800 in 2016 or 11%. How will future employment levels impact the county's fiscal situation? Data Source: Employment Estimates, Regional Economic Accounts, Bureau of Economic Analysis
Employment Change, 1999-2016 Data Source: Employment Estimates, Regional Economic Accounts, Bureau of Economic Analysis
Employment Change, 2010-2016 Data Source: Employment Estimates, Regional Economic Accounts, Bureau of Economic Analysis
Cleveland County
Constant 2015 Dollars (Millions) Cleveland County Total Revenue & Expenditures, 1999-2015 $5 $4 $3 $2 $1 $0 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Total Revenue Total Expenditures *Due to rounding, bars may appear slightly higher or lower than the values stated on this slide. Total revenue received by Cleveland County increased 48% between 1999 and 2015, from $3.1 million to $4.6 million. Expenditures increased from $2.7 million in 1999 to $3.9 million in 2015, a total change of about 44%. County revenue exceeded expenditures in 12 of 17 years. Data Sources: Revenue and Expenditure Statements, Arkansas Legislative Audit; South Urban CPI, Bureau of Labor Statistics
Change in Total Revenue, 1999-2015 Data Sources: Revenue and Expenditure Statements, Arkansas Legislative Audit; South Urban CPI, Bureau of Labor Statistics
Change in Total Expenditures, 1999-2015 Data Sources: Revenue and Expenditure Statements, Arkansas Legislative Audit; South Urban CPI, Bureau of Labor Statistics
Cleveland County Per Capita Revenue & Expenditures, 1999-2015 Constant 2015 Dollars $600 $500 $400 $300 $200 $100 $0 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Revenue per Capita *Due to rounding, bars may appear slightly higher or lower than the values stated on this slide. Expenditures per Capita While per capita revenue and expenditures followed similar trends to the overall measures discussed previously, the per person measures increased at a faster rate than the overall measures. Per capita revenue was $553 in 2015, $86 more than per capita expenditures ($467). Data Sources: Population Estimates, U.S. Census Bureau; Revenue and Expenditure Statements, Arkansas Legislative Audit; South Urban CPI, Bureau of Labor Statistics
Per Capita Total Revenue, 2015 Data Sources: Population Estimates, U.S. Census Bureau; Revenue and Expenditure Statements, Arkansas Legislative Audit
Per Capita Total Expenditures, 2015 Data Sources: Population Estimates, U.S. Census Bureau; Revenue and Expenditure Statements, Arkansas Legislative Audit
Cleveland County
Share of Total Revenue Cleveland County Revenue Sources as a Percent of Total Revenue, 1999 and 2015 50% 40% 1999 2015 30% 20% 10% 0% Intergovernmental Property Tax Sales Tax Officers, Jail & 911 Commissions & Fines, Forfeitures & Other Revenue Revenue Fees Taxes Apportioned Franchise Taxes *Due to rounding, bars may appear slightly higher or lower than the values stated on this slide. The share of total revenue from intergovernmental transfers decreased significantly from 47% in 1999 to 35% in 2015. Cleveland County property tax revenue as a share of total revenue was 18% in 1999, and less in 2015 (15%). The share of total revenue from sales tax grew from only from 12% in 1999 to 28% in 2015. Minor sources of revenue accounted for 24% of total revenue in 1999 and 24% in 2015. Data Source: Revenue and Expenditure Statements, Arkansas Legislative Audit
Share of Total Revenue Cleveland County Revenue Sources Compared to State Revenue Sources 2015 40% Cleveland County State 35% 30% 25% 20% 15% 10% 5% 0% Intergovernmental Property Tax Sales Tax Officers, Jail & 911 Commissions & Fines, Forfeitures & Other Revenue Revenue Fees Taxes Apportioned Franchise Taxes *Due to rounding, bars may appear slightly higher or lower than the values stated on this slide. The share of total revenue from sales tax in Cleveland County in 2015 was 28%, higher the statewide average (24%). The share of total revenue from property tax was 15% in the county in 2015, less than the statewide average of 23%. The share of total revenue from intergovernmental transfers in the county was 35% in 2015, far more than the statewide average (22%). Data Source: Revenue and Expenditure Statements, Arkansas Legislative Audit
Constant 2015 Dollars (Millions) Cleveland County Major Sources of Revenue, 1999-2015 $2.5 $2.0 $1.5 $1.0 $0.5 $0.0 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Intergovernmental Revenue Property Tax Sales Tax Sales tax revenue increased from $367,900 in 1999 to $557,900 in 2015 (52%), then increased sharply to $1.3 million in 2015. Property tax revenue grew 22%, from $553,000 in 1999 to $673,800 in 2015. Cleveland County's total intergovernmental revenue increased 7%, from $1.5 million in 1999 to $1.6 million in 2015, while spiking to a high of $2.2 million in 2001. Data Sources: Revenue and Expenditure Statements, Arkansas Legislative Audit; South Urban CPI, Bureau of Labor Statistics
Cleveland County Per Capita Major Sources of Revenue, 1999-2015 Constant 2015 Dollars $300 $250 $200 $150 $100 $50 $0 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Intergovernmental Revenue Property Tax Sales Tax Trends in per capita major revenue sources were similar to the overall trends discussed in the previous slide. However, population decline caused the per capita measures to increase more quickly/decrease more slowly than the overall measures. Intergovernmental revenue per capita was $193 in Cleveland County in 2015, more than sales tax ($152) and property tax ($81) revenue per capita. Data Sources: Population Estimates, U.S. Census Bureau; Revenue and Expenditure Statements, Arkansas Legislative Audit; South Urban CPI, Bureau of Labor Statistics
Per Capita Total Intergovernmental Revenue, 2015 Data Sources: Population Estimates, U.S. Census Bureau; Revenue and Expenditure Statements, Arkansas Legislative Audit
Change in per Capita Total Intergovernmental Revenue, 1999-2015 Data Sources: Population Estimates, U.S. Census Bureau; Revenue and Expenditure Statements, Arkansas Legislative Audit; South Urban CPI, Bureau of Labor Statistics
Per Capita Property Tax Revenue, 2015 Data Sources: Population Estimates, U.S. Census Bureau; Revenue and Expenditure Statements, Arkansas Legislative Audit
Change in per Capita Property Tax Revenue, 1999-2015 Data Sources: Population Estimates, U.S. Census Bureau; Revenue and Expenditure Statements, Arkansas Legislative Audit; South Urban CPI, Bureau of Labor Statistics
Per Capita Sales Tax Revenue, 2015 Data Sources: Population Estimates, U.S. Census Bureau; Revenue and Expenditure Statements, Arkansas Legislative Audit
Change in per Capita Sales Tax Revenue, 1999-2015 Data Sources: Population Estimates, U.S. Census Bureau; Revenue and Expenditure Statements, Arkansas Legislative Audit; South Urban CPI, Bureau of Labor Statistics
Constant 2015 Dollars (Millions) Cleveland County Minor Sources of Revenue, 1999-2015 $1.6 $1.4 $1.2 $1.0 $0.8 $0.6 $0.4 $0.2 $0.0 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Officers, Jail & 911 Fees Fines, Forfeitures & Franchise Taxes Commissions & Taxes Apportioned Other Revenue Officers, Jail and 911 Fees increased greatly in Cleveland County (79%), from $116,200 in 1999 to $208,300 in 2015. In contrast, commissions and taxes apportioned declined slightly from $273,900 to $270,800 or 1%. There was a significant increase in fines, forfeitures and franchise taxes (55%), from $143,700 in 1999 to $222,200 in 2015. Other revenue fluctuated between a low of $190,100 and a high of $1.3 million. Data Sources: Revenue and Expenditure Statements, Arkansas Legislative Audit; South Urban CPI, Bureau of Labor Statistics
Cleveland County Per Capita Minor Sources of Revenue, 1999-2015 Constant 2015 Dollars $160 $140 $120 $100 $80 $60 $40 $20 $0 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Officers, Jail & 911 Fees Fines, Forfeitures & Franchise Taxes Commissions & Taxes Apportioned Other Revenue Trends in per capita minor revenue sources were similar to the overall trends discussed on the previous slide. However, as a result of population decline, the per capita measures increased more rapidly/decreased more slowly than the overall measures. Other revenue per capita in Cleveland County was $42 in 2015, more than commissions & taxes apportioned ($33), fines, forfeitures and franchise taxes ($27), and officers, jail & 911 fees ($25). Data Sources: Population Estimates, U.S. Census Bureau; Revenue and Expenditure Statements, Arkansas Legislative Audit; South Urban CPI, Bureau of Labor Statistics
Cleveland County
Share of Total Expenditures Cleveland County Expenditures for Services Provided 1999 and 2015 40% 35% 1999 2015 30% 25% 20% 15% 10% 5% 0% Law Enforcement Highways & General & Other Health & Social Recreation & Capital Outlay Debt Service & Public Safety Streets Services Culture *Due to rounding, bars may appear slightly higher or lower than the values stated on this slide. The share of total spending for law enforcement and public safety in Cleveland County decreased from 28% in 1999 to 25% in 2015. The share of total spending for highways & streets declined from 36% in 1999 to 32% in 2015. The share of total spending for general & other expenditures rose from 24% in 1999 to 35% in 2015. Data Source: Revenue and Expenditure Statements, Arkansas Legislative Audit
Share of Total Expenditures Cleveland County Expenditure Shares Compared to State Expenditure Shares 2015 50% Cleveland County State 40% 30% 20% 10% 0% Law Enforcement Highways & General & Other Health & Social Recreation & Capital Outlay Debt Service & Public Safety Streets Services Culture *Due to rounding, bars may appear slightly higher or lower than the values stated on this slide. Cleveland County's share of expenditures from law enforcement and public safety (25%) was far less than the statewide share (39%) in 2015. The share of total county expenditures for highways and streets was 32%, greater than the statewide average (24%). The share of total county expenditures for general and other expenditures was 35%, greater than the statewide average (26%). Data Source: Revenue and Expenditure Statements, Arkansas Legislative Audit
Constant 2015 Dollars (Millions) Cleveland County Major Category Expenditures, 1999-2015 $2.0 $1.8 $1.6 $1.4 $1.2 $1.0 $0.8 $0.6 $0.4 $0.2 $0.0 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Law Enforcement & Public Safety Highways & Streets General & Other Law enforcement and public safety expenditures in Cleveland County fluctuated but increased 32% overall, from $748,900 in 1999 to $986,400 in 2015. Highways and streets spending increased 47% overall, from $967,600 to $1.3 million, while spiking to about $1.7 million in 2001 and 2011. General and other spending grew considerably from $645,800 in 1999 to $1.3 million in 2015 or 108%, and spiked in 2001 ($1.6 million) and 2013 ($1.7 million). Data Sources: Revenue and Expenditure Statements, Arkansas Legislative Audit; South Urban CPI, Bureau of Labor Statistics
Cleveland County Per Capita Major Category Expenditures 1999-2015 Constant 2015 Dollars $250 $200 $150 $100 $50 $0 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Law Enforcement & Public Safety Highways & Streets General & Other Trends in per capita major category expenditures were similar to the overall trends discussed on the previous slide. However, population decline caused the per capita measures to grow at a faster rate/decrease at a slower rate than the overall measures. General & other per capita spending in Cleveland County was $162 in 2015, more than highways & streets ($151) and law enforcement & public safety ($119) expenditures. Data Sources: Population Estimates, U.S. Census Bureau; Revenue and Expenditure Statements, Arkansas Legislative Audit; South Urban CPI, Bureau of Labor Statistics
Per Capita Public Safety Expenditures, 2015 Data Sources: Population Estimates, U.S. Census Bureau; Revenue and Expenditure Statements, Arkansas Legislative Audit
Change in per Capita Public Safety Expenditures, 1999-2015 Data Sources: Population Estimates, U.S. Census Bureau; Revenue and Expenditure Statements, Arkansas Legislative Audit; South Urban CPI, Bureau of Labor Statistics
Per Capita Road Expenditures, 2015 Data Sources: Population Estimates, U.S. Census Bureau; Revenue and Expenditure Statements, Arkansas Legislative Audit
Change in per Capita Road Expenditures, 1999-2015 Data Sources: Population Estimates, U.S. Census Bureau; Revenue and Expenditure Statements, Arkansas Legislative Audit; South Urban CPI, Bureau of Labor Statistics
Cleveland County Road Expenditures Per County Road Mile, 1999-2015 Constant 2015 Dollars $5,000 $4,500 $4,000 $3,500 $3,000 $2,500 $2,000 $1,500 $1,000 $500 $0 Cleveland County State Road expenditures per county road mile in Cleveland County were less than the statewide average every year between 1999 and 2015. During the same period, road expenditures per county road mile increased 28% in the county compared to growth of 52% statewide. In 2015, road expenditures per county road mile in the county were $2,300, about $1,500 less than the statewide average ($3,800). Data Sources: Revenue and Expenditure Statements, Arkansas Legislative Audit; Road & Street Report, Arkansas Highway and Transportation Department
Constant 2015 Dollars (Millions) Cleveland County Minor Category Expenditures, 1999-2015 $0.6 $0.5 $0.4 $0.3 $0.2 $0.1 $0.0 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Health & Social Services Recreation & Culture Capital Outlay Debt Service Health & social services expenditures in Cleveland County increased 435%, from $18,600 in 1999 to $99,700 in 2015. Recreation & culture spending in the county increased (6%), from $95,961 to $101,600. Capital outlay expenditures decreased from a high of $289,700 in 2000 to $0 in 2001. Debt service spending in Cleveland County fluctuated widely, from a low of $0 to a high of $559,000. Data Sources: Revenue and Expenditure Statements, Arkansas Legislative Audit; South Urban CPI, Bureau of Labor Statistics
Cleveland County Per Capita Minor Category Expenditures 1999-2015 Constant 2015 Dollars $70 $60 $50 $40 $30 $20 $10 $0 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Health & Social Services Recreation & Culture Capital Outlay Debt Service Trends in minor expenditures per capita were similar to the overall trends on the previous slide. However, population growth in Cleveland County cause the per capita measure to grow at a faster rate/decrease at a slower rate than the overall measures. Recreation & culture per capita expenditures were $12.24 in 2015, slightly more than health & social services ($12), debt services ($11), and capital outlays ($0). Data Sources: Population Estimates, U.S. Census Bureau; Revenue and Expenditure Statements, Arkansas Legislative Audit; South Urban CPI, Bureau of Labor Statistics
Cleveland County
Constant 2015 Dollars (Millions) Cleveland County Total Property Assessments, 1999-2015 100 90 80 70 60 50 40 30 20 10 0 Property assessments in Cleveland County increased 17%, from $78.8 million in 1999 to $91.9 million in 2015. Data Sources: Assessed Values, Arkansas Assessment Coordination Department; South Urban CPI, Bureau of Labor Statistics
Constant 2015 Dollars Cleveland County Per Capita Property Assessments, 1999-2015 $18,000 $16,000 $14,000 $12,000 $10,000 $8,000 $6,000 $4,000 $2,000 $0 Cleveland County State Per capita property assessments in the county were below the statewide average every year between 1999 and 2015. Trends in per capita property assessments were similar to the overall trends discussed on the previous slide, but population decline caused the per capita measures to increase at a quicker rate/decrease at a slower rate than the overall measures. Per capita property assessments in the county were $11,100 in 2015, about $4,800 less than the statewide average ($15,900). Data Sources: Assessed Values, Arkansas Assessment Coordination Department; South Urban CPI, Bureau of Labor Statistics; Population Estimates, U.S. Census Bureau
Constant 2015 Dollars (Millions) Cleveland County Total Retail Sales, 1972-2012 20 18 16 14 12 10 8 6 4 2 0 1972 1977 1982 1987 1992 1997 2002 2007 2012 *Due to rounding, bars may appear slightly higher or lower than the values stated on this slide. Retail sales in Cleveland County decreased 51% between 1972 and 1987, from $18.2 million to $9 million. From 1987 to 2012, retail sales grew 49% to $13.4 while reaching a high of $17.8 million in 2002. Data Sources: Census of Retail Sales, U.S. Census Bureau; South Urban CPI, Bureau of Labor Statistics
Constant 2012 Dollars Cleveland County Per Capita Retail Sales, 1972-2012 $14,000 $12,000 $10,000 $8,000 $6,000 $4,000 $2,000 $0 1972 1977 1982 1987 1992 1997 2002 2007 2012 Cleveland County *Due to rounding, bars may appear slightly higher or lower than the values stated on this slide. Per capita retail sales in the county were significantly lower than the statewide average every year between 1972 and 2012. Trends in per capita retail sales were similar to the overall trends discussed on the previous slide, but population decline caused the per capita measures to increase at a quicker rate/decrease at a slower rate than the overall measures. Per capita retail sales in the county were $1,600 in 2012, about $10,900 less than the statewide average ($12,500). State Data Sources: Census of Retail Sales, U.S. Census Bureau; South Urban CPI, Bureau of Labor Statistics; Population Estimates, U.S. Census Bureau
Capacity: Capacity and Effort The maximum amount that can be produced when all the resources in an economy are employed as fully as possible. Capacity constraints can be caused by lack of investment and skills shortages. Spare capacity can be caused by lack of demand. Effort: The amount to which a county utilizes its ability to generate revenue through taxation.
Capacity: Property Tax Capacity and Effort High capacity = County s per capita property assessments were above the state average. Low capacity = County s per capita property assessments were below the state average. Effort: High effort = County s millage rate was above the average of Arkansas counties. Low effort = County s millage rate was below the average of Arkansas counties.
Property Tax Capacity & Effort, 2015 Data Sources: Population Estimates, U.S. Census Bureau; Property Assessments and Millage Rates, the Arkansas Assessment Coordination Department
Capacity: Sales Tax Capacity and Effort High capacity = County s per capita retail sales were above the state average. Low capacity = County s per capita retail sales were below the state average. Effort: High effort = County s sales tax rate was above the average of Arkansas counties. Low effort = County s sales tax rate was below the average of Arkansas counties.
Sales Tax Capacity & Effort, 2012 Data Sources: Census of Retail Sales and Population Estimates, U.S. Census Bureau; South Urban CPI, Bureau of Labor Statistics; Sales Tax Rates, Arkansas Department of Finance and Administration
Options for Providing Services to Cleveland County Residents Increase cost effectiveness Improve management and productivity Explore possibility of privatizing services Consider intergovernmental agreements to offer shared services Increase revenue Alternative (new) revenue sources User charges, shift tax burden to non-residents Expand the tax base Increase tax rates Reduce Services
Contact For more information and assistance on county government finance options, contact: Leslie Walz, CEA - Staff Chair 501 E Magnolia (P.O. Box 386) Rison, AR 71665 Tel: 870-325-6321, Fax: 870-325-7709 Visit Our Website: https://uaex.edu/localgov The University of Arkansas System Division of Agriculture offers all its Extension and Research programs and services without regard to race, color, sex, gender identity, sexual orientation, national origin, religion, age, disability, marital or veteran status, genetic information, or any other legally protected status, and is an Affirmative Action/Equal Opportunity Employer.