Johnson County to consider FY2026 budget, five‑year CIP next week

The Board of County Commissioners of Johnson County, Kansas, will consider adopting the fiscal year 2026 budget and the FY2026–2030 capital improvement program (CIP) at its meeting next week, staff said Thursday.

Robin Simes, with budget financial planning, gave a summary and noted the budget book and public hearing already occurred: "We are appropriating 33,000,000 for the Corinth library," and she explained the county is authorizing the project cost now while actual debt issuance and payments occur later. "Once that project's approved, then actually next year in 2026, we will issue the debt, and then those debt payments don't actually start until the following year in 2027," Simes said.

Why it matters: the proposed budget is large in scale and the composition of reserves affects the county's credit rating and future borrowing costs. Commissioners pressed staff for a clear breakdown of which fund balances bond rating agencies treat as available reserves and for per‑fund comparisons before next week's vote.

Simes said the five‑year CIP is a planning document; only the first year is appropriated and authorized for spending. For the Corinth Library, the board is authorizing a $33 million project cost; staff described funding as a mix of cash and debt financing, with roughly half coming from each source. Simes cautioned that appropriating project authority does not necessarily mean all cash will be spent in the appropriation year.

Commissioners asked technical questions about reserves and bond ratings. "When people talk about a $1,900,000,000 budget, it's good to be able to explain that that doesn't mean we are spending $1,900,000,000 in 2026," the chair said. Staff told commissioners that rating agencies typically cite a suggested fund‑balance target of about 30 percent for a AAA rating; the county's unrestricted fund balance is roughly 28 percent, which staff said is about $155,000,000 when restricted balances are removed. Staff also cited a total reserve figure presented in the budget materials of about $505,000,000 and a general fund total near $217,000,000.

Commissioner Brewer and others urged wider public outreach and earlier notice about hearings. Brewer suggested using the second property tax bill mailing to highlight upcoming budget hearings so more residents can engage: "maybe in that second notice mailing... giving people a heads up so they can be looking for that and knowing where to go on the website," he said.

Commissioners requested that staff, between now and next week's meeting, provide a clear breakdown showing (1) the reserves rating agencies consider eligible for scoring, (2) which balances are restricted, and (3) per‑fund reserve percentages compared with any policy targets. Simes agreed to provide by‑fund detail and to separate what the county counts as reserves from what bond agencies count.

Next steps: the resolution adopting the FY2026 budget and FY2026–2030 CIP (Resolution 056‑24, as introduced under agenda item 8) is scheduled for action at next week's meeting. Staff will supply the requested reserve and bond‑agency breakdown in advance.

Less critical detail: Simes and commissioners discussed common budget items that continue to pressure reserves, including a possible countywide CAD system and public works overlays; staff noted options for funding include cash, debt issuance and property tax changes but no policy change was adopted Thursday.