A look at costs

Alexis Barker
NLJ News Editor
 
As the tension between the city of Newcastle, town of Upton and Weston County continues over dispatch services provided by the city, Newcastle prepared a detailed look at the costs associated with dispatch services for the county. 
Mayor Pam Gualtieri told the News Letter Journal that this report, prepared by City Clerk-Treasurer Greg James, was compiled to help address confusion and misunderstanding over how dispatch monies are spent, specifically E911 funds. Also included in the document, she said, is a breakdown of populations for each of the municipalities (Newcastle, Upton and Weston County) and what each entity should pay based on that population. 
The city reports that dispatch services in fiscal year 2021 (July 1, 2020 through June 30, 2021) cost $552,231.47. Employee expenses amounted to $443,180.35 of the total cost, with most of that money being wages for dispatchers at $279,379.66. 
Miscellaneous expenses during the same fiscal year, including phone service, voice products, E911 expenses and utilities totaled $109,051.12 of the city’s total dispatch expenditures for the last fiscal year. The most costly line item is E911 expenses at $64,160.03.
During the current fiscal year for the period from July 1, 2021, to Jan. 7, 2022, the city reported $326,631.63 in dispatch expenses, with $265,683.47 for employee expenses. There are seven dispatchers currently employed by the city, according to James. Miscellaneous expenses so far in this fiscal year come to $60,948.16.
During discussion regarding dispatch, according to James, the consensus among the various entities was that dispatch costs should be assigned by population and not by the number of calls for service, as previously discussed. He noted that the sentiment behind that thinking was that population doesn’t change as frequently as the number of calls for service, therefore avoiding the need to calculate costs annually. 
According to the report, Newcastle has roughly 48% of the county’s population, while Upton reportedly has about 13%. Another 39% of the county’s population lives in unincorporated areas. It notes that previously discussed percentages by population, at 50% for Newcastle, 37% for county and 13% for Upton seemed reasonable and therefore costs were calculated at those percentages. 
“Based on the costs noted, now allocated by percentages, the dollars look like this for fiscal year 2021,” the report says. “1. Newcastle, 50% of $552,231.47 = $276,115.74. 2. Upton, 13% of $552,231.47 = $71,790.09. 3. County, 37% of $522,231.47 = $204,325.64.” 
Currently, according to the report, Weston County pays $4,500 a month or $54,000 a year, while Upton pays $1,686 a month or $20,232 annually. 
It notes that based on population percentages, Weston County should be paying $17,027 a month and Upton should be paying $5,982 a month. 
“In point of fact, no agency/entity has ever even been close to what they should be paying for the service. The City of Newcastle has been carrying this financial burden for well over twenty years,” the report states. “So far for fiscal year 2022, from July 2021, through Jan. 7, 2022, the numbers should be as follows. 1. Newcastle, 50% of $326,631.63 = $163,315.82. 2. Weston County, 37% of $326,631.63 = $120,853.70, have paid $27,000. 3. Upton, 13% of $326,631.63 = $42,462.11, have paid $10,116.” 
The last component of figuring the cost of dispatch services, the report says, is to calculate and add in some funds for future replacements and upgrades. 
“For this, I have assumed a ten year (10) life and replacement cost of $400,000,” the report says, noting that the same population breakdown was used to figure the cost for each entity. 
According to the breakdown, Newcastle would need to pay $20,000 a year or $1,667.67 a month, Upton would need to pay $5,200 per year or $433.33 a month and Weston County would need to pay $14,800 a year or $1,233.33 per month. 
“Added in for replacement costs, the monthly payments for dispatch service should be: 1. Upton, $6,415 per month and 2. Weston County, $18,260 per month,” the report says, noting that costs will need to be adjusted after dispatch relocates to City Hall to account for the difference in utilities being paid. 
In addition to outlining expenses and potential costs per entity, the city included information regarding the spending of E911 funds from 2011 through Jan. 7, 2022. 
As previously reported, the county had questioned the spending of these funds and had at one time discussed withholding these funds from the city until the dispatch issues were addressed. 
“There are two categories of expenditures for E-911 funds – new equipment and maintenance. There is only one revenue source for E-911 funds and that is the E-911 tax,” the report says. 
It continues to show that between 2011 and Jan. 7, 2022, total E911 revenues were $857,807.57. 
During that same time, $327,816.51 was spent on equipment, with another $629,984.55 spent on maintenance. Total E911 expenditures were $1,020,801.06. 
“That is a deficit of $162,993.49, expenditures over revenue,” the report says. “Since 2011, E-911 expenses have exceeded the E-911 revenues. The City of Newcastle has made up or eaten those costs.”
It notes that the city has filed reports to the Wyoming Public Service Commission regarding these funds at the commission’s request, per W.S.16-9-103(k), for fiscal years 2015 through fiscal 2019 and for fiscal 2021. 
The report notes that while dispatch as a whole does not run in the red, E911 accounts have been running in the red for some time.