City Council forecasts $2 million deficit while estimating $27 million in revenue

During the recent Budget & Finance Committee meeting in Coffee County, Tennessee, held on June 5, 2025, officials discussed the county's financial outlook and budgetary challenges for the upcoming fiscal year. The meeting highlighted significant concerns regarding the general fund, projected revenues, and expenditures.

A key topic of discussion was the anticipated shortfall in the general fund, which is projected to be approximately $2 million. Committee members expressed concern over the implications of this deficit, particularly in light of the proposed salary increases across various departments. The committee is considering a 3% increase in payroll for the general fund, which could potentially impact funding for other areas, including highway funds.

The committee reviewed the estimated revenue for the end of the current fiscal year, which is projected to reach approximately $27.1 million. This figure represents an increase of about $1 million compared to the original budget projection of $26 million. Despite this positive revenue adjustment, the committee acknowledged that expenditures are also expected to rise significantly, with estimates for 2025 reaching around $28.6 million—an increase of approximately $1.5 million from the previous year.

The discussions underscored the need for careful financial planning as the county navigates its budgetary constraints. Committee members were urged to consider potential cuts to expenditures, although the presence of grants was noted as a mitigating factor for some of the increased costs.

As the committee moves forward, the focus will be on balancing the budget while addressing the needs of various departments and ensuring the financial stability of Coffee County. The next steps will involve further analysis of the budget and potential adjustments to align expenditures with available revenues.