Douglas County Commissioners are unsure how much to set aside for economic development funding – a key area of spending for them.

On Thursday, their budget talks focused on development efforts. They discussed cuts of between 5 percent and 12 percent to the Lawrence-Douglas County Chamber of Commerce marketing fund.

Commissioners also discussed establishing a special fund of several hundred thousand dollars for industrial development. An arbitrary amount of $750,000 was recommended by County Administrator Craig Weinaug.

But Commissioner Bob Johnson said he thought the county should establish a policy of setting aside 1 mill each year in an economic development fund. The fund would serve as an “umbrella” for providing funds for industrial site development, chamber marketing and biosciences development.

Such a fund would mean available money when economic opportunities come knocking, Johnson said.

“In the arena of economic development, we are continually looking at not having enough resources to be competitive,” Johnson said. “We would be accumulating resources – collecting the money and keeping it, always so the public can see it.”

A mill is $1 in tax for every $1,000 of assessed valuation. In terms of the county budget, a mill equals $1.1 million in county tax revenue.

But Commissioners Charles Jones and Jere McElhaney were not sold on Johnson’s proposal. Jones was reluctant to provide money to the chamber of commerce for industrial development because of what he called a lack of aggressiveness and “management let-down” in the past by the chamber. He said he would like to see more of a strategic plan in place for economic development.

Jones said he wasn’t sure now was the time to set up a $1 mill-per-year policy for economic development. And while he likes the idea of providing funding for industrial site development, Jones said he wasn’t sure how much that amount should be.

McElhaney wasn’t sure either. “I just want a more specific tie as to what that number should be,” he said. “Will $750,000 do it? Will $500,000? I don’t know.”

On Monday, commissioners will make their individual proposals for funding departments, agencies and initiatives. They will see how those proposals affect the mill levy. Budget discussions will begin at 9 a.m. after other business is handled at 8:30 a.m.

Commissioners are faced with increased costs such as fuel and health insurance and reduced revenue because of flat or declining assessed valuations and a weak sales tax return. To fund services at this year’s level, there would have to be a mill levy increase of more than 5 mills to support the 2009 budget. Commissioners want to lessen the increase to 2 or 3 mills.