County outlines $135M budget with new revenue from leases and sales tax estimates

St. Croix County is poised to see a boost in its revenue streams, with projections indicating an increase of up to $1.2 million for the upcoming budget year. During the Committee of the Whole meeting on April 3, 2025, county officials outlined the financial landscape, revealing that property taxes, while significant, are not the sole source of funding for the county's $135 million budget.

County officials noted that approximately 34% of revenues come from property taxes, but they are also anticipating growth from other sources. Over the past five years, the county has averaged a 2.5% increase in net new construction, which is expected to generate around $850,000. Additionally, new leases with the Department of Corrections and the USDA, along with an on-site clinic, are projected to contribute an additional $150,000 to the county's coffers.

Sales tax revenues remain uncertain, with estimates ranging from $0 to $200,000. A revised estimate from the state is expected later this summer, but officials cautioned that significant increases are unlikely.

On the expenditure side, salaries and benefits account for half of the county's expenses, which presents challenges for budget increases. Officials discussed various compensation strategies, including a potential step increase averaging 2.5% for employees, which would cost approximately $750,000. Other considerations include a 1% cost-of-living adjustment (COLA) at a cost of $300,000, with larger increases significantly impacting the budget.

Health insurance costs are also a factor, with a 1% increase estimated at $120,000 and a 10% increase potentially reaching $1.2 million. As the county prepares for the upcoming budget, these discussions highlight the balancing act between managing revenues and controlling expenses to ensure continued service delivery to the community.