Laurie Christiansen, speaking for the Gallatin County Health Department, told commissioners the department expects increased revenue from recent state legislation that raised licensing fees for select food and establishment types and that those fee increases take effect in October.

Christiansen said the department estimated roughly $108,000 in additional fiscal‑year revenue based on half‑year calculations and the timing of fee confirmations. Budget staff warned the commission that the environmental health fund is operating with a shortfall: the department is using cash reserves to balance current expenses and staff recommended against reducing tax support for the fund while reserves remain diminished. “Right now, we could probably operate at this level for three years, but then we will need to look at actually increasing taxes for this fund,” a budget staff member said.

Commissioners asked staff to schedule a follow‑up discussion to review projected full‑year revenue and operating‑reserve goals. One commissioner said it would be preferable to understand the fund balance and reserve objectives before reducing tax support, even if licensing fees recover funds over time.

The board approved the department’s revenue estimate for inclusion in the FY26 budget but directed county staff and the health department to present a fund‑balance analysis and reserve policy for commission review within weeks so any changes to tax support can be deliberate rather than reactive.