Camden County staff flag $1.01 million shortfall in draft fiscal 2026 general fund budget

Camden County staff on May 20 told county officials the draft fiscal year 2026 general fund budget includes a $1,009,011 shortfall that must be closed before the county adopts a proposed budget.

Nancy, a county staff member who presented the draft, said the county started with more than $50 million in department requests and is now showing $48,097,750 in proposed general fund spending, a 1.15% increase over the current budget. She said projected revenues rose after the tax assessor supplied a revised digest, increasing revenue estimates by nearly $900,000.

The shortfall remains because projected revenues still trail proposed expenses. "That leaves us with a shortfall of $1,009,011 that we need to balance," Nancy said. She told commissioners the county may use up to $2,000,000 of fund balance for budgeting purposes and estimated the fund balance would fall to $15.4 million, about 32% of the general fund budget under the current draft.

Why it matters: the draft includes payroll and benefits increases, staffing requests and capital items that affect county services and taxpayer-funded reserves. Nancy said most of the increase in the draft budget reflects payroll, Social Security and retirement contributions tied to a pay-scale adjustment: a 2.5% step increase on July 1 and additional anniversary increases of up to 2.5%.

Key budget details and attributions

- Revenues and shortfall: Nancy said the county originally projected $46,000,000 in revenues and began with a roughly $4.2 million shortfall; after expense reductions and the revised digest, the shortfall narrowed to $1,009,011.

- Taxes and digest: Nancy said current-year ad valorem tax revenue was increased by more than 9% in the draft because the updated digest included timber, mobile home and motor vehicle taxes in addition to property values.

- Fund balance: Nancy said the county budgeted more than $2,000,000 of fund balance for FY26 and that actual use depends on the timing and receipt of reimbursements, particularly federal grants and FEMA disaster reimbursements. "I do expect that to be coming soon, but really don't have it until you have it," she said, adding that reimbursements can be accrued back to FY25 only if received within the county's accrual window.

- Employee costs and insurance: The draft separates employee health insurance and workers' compensation because they affect all departments. Nancy said the draft includes a $476,000 increase for employee health claims and higher stop-loss fees, about $42,000 for workers' compensation, and roughly $300,000 for property, equipment, auto and liability insurance based on a 20% premium estimate. She described those insurance numbers as conservative pending final quotes expected in late May or early June.

- Positions and reallocation: The draft contains requests for four full-time positions and one part-time position. Nancy said the county moved three employees dedicated to fire training to the unincorporated fund and adjusted the EMS/fire split from 90% general fund/10% unincorporated to 88%/12% based on call activity.

- Department and program changes: Nancy said constitutional offices' budgets rose about 1.58% while county departments overall declined about 3%. She said the Joint Development Authority (JDA) requested a 33% increase overall; the draft includes a $250,000 increase for the JDA from the county, although the JDA requested $1,470,000. She said the district attorney had requested an increase to nearly $1.9 million but that the draft retains DA funding at $773,000. The public defender requested an increase of $58,000; that is reflected in the draft.

- Libraries and local projects: Nancy said the Kingsland Library saw increases in salary and retirement costs and Woodbine Library requested an additional $10,000 above its current $30,000 allocation. The draft also shows capital requests and shared assets for the sheriff that raised total requested capital to about $7.8 million, with the county proposing to fund $4.7 million of that.

- Enterprise and special funds: Nancy said solid waste authority figures differ year to year because fiscal 2025 included about $3 million from state and federal proceeds tied to a JIFA loan for expansion; without that the county expects a revenue decrease of roughly 13% for the authority. She said Two Rivers gun range revenue and expenses decline about 22% in the draft because fiscal 2025 included a $120,000 transfer in for capital outlay that is not repeated in FY26.

- Grants and reimbursements: Nancy identified several grants and reimbursements still outstanding that could affect FY26 fund balance, including FEMA disaster reimbursements for Hurricane Helene and Debbie-related costs and a RAISE grant that is on hold. County staff said one stormwater contractor invoice of just over $20,000 has been received and that some stormwater work was paused pending federal input.

Staff comments and meeting process

Sean, a county staff member, confirmed receipt of a stormwater invoice "for just over 20,000" and said contractors were instructed to pause certain work until federal guidance is received.

Nancy told the group the county must meet legal notice requirements before adopting a budget: "We have to advertise in the Tribune Georgian. We have to advertise our public hearings and give notice, so we have to keep that in mind as well." She said the next steps include deciding whether additional work sessions are needed or whether to present a proposed budget at the June 3 meeting.

Discussion, direction and formal action

The May 20 session was a work session for review and discussion; the transcript records no formal motions or votes. Staff presented the draft and answered technical questions; no formal adoption or directive to finalize the budget was recorded. Nancy and staff were asked to return with finalized insurance quotes, updated grant and reimbursement statuses, and any changes needed to produce a balanced proposed budget.

What comes next

County staff said final insurance premiums and the timing of federal grant reimbursements—particularly FEMA—will affect whether the county must increase revenue estimates, reduce expenditures further, or draw more from fund balance. The board may revise the draft at further work sessions or move to present the proposed budget for public hearings in June.