Hall County funding of Stuhr Museum questioned

Hall County's 40-year history of funding for Stuhr Museum will be up for discussion Monday as county budget talks continue.

A total of $926,232 of property taxes are budgeted to go to the county museum in fiscal year 2008-09, which began July 1. The county board always begins a fiscal year before its budget is set and complete in September.

The board talked about the museum funding at a July 22 regular county board meeting and again last week at a July 30 budget hearing.

Following the budget hearing, which is one of several being held in attempts to find $1 million in cuts, Supervisor Dan Wagoner questioned the museum's tax levy.

"When push comes to shove, I can't see giving $1 million to the museum," Wagoner said.

He wondered if the money could be reclassified as a "recreation fund," with some or all going to Fonner Park, possibly for improvements for the State Fair. The Hall County Agricultural Society has already asked the county board to increase the property tax levy in an attempt to raise about $200,000 a year for fairgrounds infrastructure improvements.

Given that and tight budget constraints, Wagoner said a cap needs to be put on the museum funding.

But the county board had already worked out a cap with former museum director Sandi Yoder about eight years ago. Instead of set increases, the county and museum board agreed to a 3-cent per $100 of county valuation funding level.

Despite that agreement, the museum hasn't always received that much funding.

In most recent years, the county has asked that the museum stick to a percentage increase over the previous year's funding. This year, for example, the county asked the museum to stick to a 2-percent increase -- from $908,070 in property tax funding for 2007-08 to $926,232 for the 2008-09 fiscal year.

The $926,000 is believed to be less than what 3 cents per $100 of valuation would generate. That amount is pegged closer to $980,000, but won't be known for certain until valuations are certified Aug. 20.

Even with the lesser share of property taxes, museum Director Joe Black said he's satisfied.

"The county -- they have the final say as the elected representatives, and they've asked us to do this to help them out and we just take the steps we can to make their job easier and to continue to provide a good product for the people of Hall County," he said.

Black said the museum is trying to be proactive and to continue to fulfill the spirit and the language of the original vote, which is that the county taxpayers will continue to support the museum.

But Wagoner said the original language was for maintenance only. If it takes $1 million to maintain a museum, he thinks that museum needs to be scaled back.

"We don't take the word ’maintenance' to mean mowing the grass and painting the buildings," said museum spokesman Mike Bockoven. "We take it to mean operating the museum."

The Nov. 8, 1960, ballot language simply asked  if voters wanted "To establish a Hall County, Nebraska Museum to be constructed by public donated funds and to levy a tax for the maintenance of said museum thereafter."

The voters approved the 1960 ballot measure on a 2-to-1 margin.

Leo Stuhr had petitioned the county to open such a museum after offering 35 acres of land plus $25,000 cash if the community could raise $75,000 more.

The museum was built and opened to the public in July 1967.

But it wasn't long before the museum was wrapped up in legal battles over payment for construction. Geer-Melkus Construction Co., Inc. hadn't been paid in full. It sued to obtain tax money.

When arbitrators ordered the county to pay Geer-Melkus using the tax dollars raised by a 1.62 mill levy, the county board appealed to the Supreme Court.

The Supreme Court overruled the payment order stating that the original election was for maintenance money of a museum-- not money to construct a museum.

A Dec. 7, 1971 special election settled that matter when Hall County voters gave approval to use the existing tax levy to pay the $62,000 in outstanding principal and interest to pay Geer-Melkus. The approval was again on a 2-to-1 margin.

The museum's funding is to be discussed during breaks or at the end of the county's board scheduled budget presentations on Monday. Those presentations are:

‰ 9:15 a.m. -- Veterans Service.

‰ 9:45 a.m. -- Extension office.

‰ 10 a.m. -- Treasurer.

‰ 10:15 a.m. -- Court Appointed Special Advocates.

‰ 10:30 a.m. -- Weed control.

‰ 11 a.m. -- County clerk.

‰ 11:15 a.m. -- Computer and Geographic Information System.

‰ 12:15 p.m. -- Jail bond and general revenues.

Supervisors are scheduled to revisit spending in the Roads Department and are also to make a decision about a possible merger of the Geographic Information System and the Surveyor Department.

The hearings are being held in the supervisors board room in the Hall County Administration Building, 121 S. Pine St.