Commissioners authorize updated Baker Tilly financial review after SB 1 tax changes

Decatur County commissioners on May 5 approved engaging Baker Tilly to update a financial review the firm prepared last year after the state’s SB 1 property tax changes substantially altered revenue projections.

Commissioners said the earlier Baker Tilly analysis — a five‑year revenue and expense projection used in prior budget planning — needs revision because the state property tax reforms changed local property tax and local income tax (LIT) receipts. County leadership reported preliminary modeled deficits for the county government alone of about $517,710 in 2026, $615,520 in 2027 and $781,450 in 2028; those figures exclude schools, townships and other taxing units. The commissioners said they want an updated review to inform budgeting, capital projects and potential policy actions such as revisiting local income tax distributions or other revenue options.

Paige Sonnson (Baker Tilly contact referenced in meeting materials) supplied the prior engagement and county staff said the update should be smaller than the original engagement. Commissioners recalled last year’s contract cost of about $25,000 and estimated updates could be in the $5,000–$10,000 range depending on scope; county staff said ARPA funds included a $30,000 allocation that may cover the update.

Commissioners voted to proceed with securing Baker Tilly’s updated analysis so the county can proceed with the budget workshop and capital planning. The board said the updated financial review is necessary to set capital priorities, such as the county turf project discussed elsewhere, and to give council members a more accurate picture of revenue shortfalls and options ahead of budget decisions.