Henry County presents $287.8 million FY26 budget proposal, holds public hearing; adoption set for May 28

Henry County officials presented a proposed $287,800,000 general fund and special service district budget at a public hearing May 6, 2025, maintaining the current millage rate of 15.733 mills and proposing no change to the county’s tax rate. The proposal funds public safety expansions, road and parks investments and 78 new positions, and county leaders set a second public hearing and formal adoption vote for May 28 at 6:30 p.m.

County financial staff said the FY26 proposal is $28.1 million, or 10.8%, higher than the FY25 adopted budget and aims to avoid relying on fund balance for recurring operations. County leadership said the recommended budget supports three specific additions: the North Mount Carmel Recreation Center, a newly established Henry County Police Academy (classes scheduled to begin July 2025), and preparations for opening two new fire stations in FY26–FY27. Major line items highlighted include $6 million for debt payments; $4.2 million for longevity and cost-of-living adjustments; $3.2 million for insurance and pension increases; $3.3 million for inmate medical and additional jail personnel; $2 million for additional fire personnel for Stations 17 and 18; and $1.8 million for other critical personnel needs.

Financial services told commissioners departmental requests totaled $36.4 million for personnel and operating expenses, of which $9.7 million was recommended; county leaders said the recommendation trims about $27 million from original requests because of uncertainties including tariff impacts, potential litigation over impact fees, and grant-audit related delays. The county reported losing $337,000 in grant funding during FY25 and expects reimbursements of approximately $390,000 tied to FY24 grant expenses once outstanding audits are completed.

Commissioners and staff debated revenue assumptions and the effect of last year’s 3-mill increase. Commissioner Johnny Wilson pressed staff on the budget’s insurance and pension increases and asked whether the county should consider rollbacks or spending reductions because the county projects roughly $10.4 million in additional property tax revenue growth. Financial staff and the county manager explained the FY25 3-mill increase supported special service districts (public safety, parks and recreation) and that much of the additional revenue is committed to those districts or to capital purchases; staff said meaningful reductions without layoffs would require cuts across many nonrevenue departments. County leadership pointed to growth assumptions (1.35% real growth plus 2.65% inflationary growth) and said the budget was constructed from priorities commissioners identified in one-on-one meetings.

Public safety needs took up substantial hearing time: Fire Chief Pat Wilson said Henry County handles about 40,000 calls per year and estimates the county will ultimately need about five more stations beyond the three currently planned (Stations 17–19) to keep pace with growth and response-time targets; county staff also noted the Insurance Services Office (ISO) recommendation of 25 stations for the county compared with 16 currently in service. The budget includes funds for additional fire personnel and apparatus; staff said public safety represents roughly 52% of the county operating budget.

CFO staff said the county has completed the FY2023 audit and is working on FY2024 with a target completion date of June 30 to July 2025; staff said completing audits is a prerequisite to restoring previously delayed grant funding. Speakers from the public and commissioners emphasized the need to protect seniors on fixed incomes affected by last year’s millage change while preserving funding for roads, parks and public safety.

The hearing closed without a vote on the budget; staff said adoption would be requested at the May 28 meeting after the second public hearing. Members of the public who spoke were invited to submit further comments during the interim and staff offered to meet with commissioners to review district-level spending details.