Gadsden County budget workshop flags $2.4M shortfall as ARPA support ends; EMS, equipment and mowing contracts highlighted

Gadsden County officials spent more than two hours on budget risks and options during an Aug. 4 budget workshop, hearing from staff about a roughly $2.4 million shortfall between projected revenue and planned expenditures if current assumptions hold.

The finance presenter told the board that ad valorem property taxes supply about 65% of the county general fund and that a hypothetical, broad change to state property-tax policy could reduce county receipts by about $22 million. The presenter also warned that American Rescue Plan Act (ARPA) funds used this year to offset some recurring costs — notably about $1.9 million used to support EMS salaries — will largely expire by December 2026.

Why it matters: County leaders said those shifts would force cuts in staff, programs or services, or require use of reserves, bonding or other revenue measures. Commissioners pressed staff for more precise costs and options for leasing versus buying heavy equipment, possible contracting for roadside mowing, and funding for public safety and parks.

County finance outlook and major cost drivers

A county staff presenter summarized revenue and expense items the board will consider before its tentative budget hearing in mid-September. The presenter said a 9-mill tax rate would yield roughly $1.3 million net this year (after the 5% statutory adjustment); other restricted revenues and special levies could add to that. At the same time, staff are projecting operational cost increases of roughly $2.5 million driven by rising insurance premiums, utilities and one-time capital needs such as a new jail chiller.

The presenter said, “ad valorem taxes right now make up about 65% of the general fund,” and that if state-level property-tax proposals were to pass in a manner that cut the county’s ad valorem base, that could mean as much as a $22,000,000 reduction to the general fund in a worst-case scenario. The presenter cautioned that those state proposals are not settled.

ARPA, FEMA, Medicaid and other external risks

Staff noted several external policy risks that could increase county costs or reduce external reimbursements: the scheduled end of ARPA flexibility, possible reductions in federal disaster (FEMA) support, proposals affecting Medicaid and SNAP that could shift costs to local governments, and paused federal grants in certain programs. The workshop included repeated cautions that these items remain unsettled but are “on the horizon.”

EMS, staffing and insurance

County staff and several commissioners discussed EMS funding specifically. Staff reiterated that roughly $1.9 million of ARPA had been used to offset EMS salary costs and that those transfers will have to be covered from other sources after ARPA funding lapses. Staff also recommended considering a market adjustment (a proposed 3% cost-of-living adjustment) and several new or reclassified positions across departments; staff estimated those personnel recommendations would add roughly $1.1 million including benefits if fully implemented.

Insurance costs were flagged repeatedly. Staff said current estimates of health insurance increases could be about $400,000 if the county absorbs the full rise; liability and property insurance increases were estimated in the low hundreds of thousands. Property insurance was noted as especially uncertain because property values have not been fully revalued since 2020, which could increase premiums.

Public works equipment: lease vs. buy

Public Works proposals drew prolonged discussion. Staff presented quotes from a dealer and a plan to refresh heavy equipment used for road maintenance and debris response. Commissioners and staff outlined two options: pay off the remaining lease balance (about $1.11 million) or enter a new lease that would increase annual debt service from about $340,000 to roughly $400,000 — an added annual cost of about $60,000 — while replacing aging equipment including a utility bucket truck and a jetter/jet truck.

Commissioners and staff debated lifecycle maintenance, in-house repair capacity and certification costs for mechanics. Several commissioners urged comparisons between total life-cycle cost of purchase versus lease (capital cost, maintenance and downtime), and asked staff for detailed quotes and financing schedules.

Roadside mowing, contracts and inmate work programs

The board discussed recurring service problems for roadside mowing and debris pickup. Staff said some counties now use “piggyback” contracts with the Florida Department of Transportation or seasonal bids to expand mowing coverage; commissioners pressed staff to return with estimated contract costs. Commissioners also discussed re-expanding inmate work crews and other supervised work programs as a low-cost option for vegetation control and debris pickup; staff said some logistical and liability restrictions apply and that inmate availability has declined since earlier years.

Parks, one-time projects and grant matches

Commissioners asked about several parks projects and one-time needs. Staff noted $3.4 million in one-time amounts available from October–December ARPA carryover but warned that most ARPA funds are expended or time-limited. Other items flagged for board consideration included a $125,000 local match previously committed to a historic-preservation grant and unresolved elevator repairs at the Woodham building.

Public comment on millage rate

During the public-comment period, resident Marcella Blocker addressed the board about the millage rate, urging officials not to raise property taxes. “People are hurting, and a dollar more is too much,” Blocker said, noting that the board set the current millage at 9 mills for fiscal year 2024–25 and urging the board to adopt the rollback rate.

Formal action

At the end of the workshop, board member Millie Strand moved to carry one remaining agenda item to a future meeting; a commissioner seconded the motion, the board voiced assent and the meeting adjourned. The record shows the item was continued by voice consent; no roll-call tally was recorded in the transcript.

What’s next

Staff were directed to supply the board with: (1) detailed cost comparisons for leasing versus purchasing major public-works equipment (including annual debt-service projections and lifecycle maintenance assumptions); (2) firm cost estimates for outsourcing roadside mowing (including options to piggyback DOT contracts), and (3) a tight list of items that could be completed before the tentative budget hearing on Sept. 15 so the board can decide what to include before the fiscal-year deadline. Staff said they will return with those numbers in follow-up workshops leading up to the tentative budget adoption schedule.

Ending note

Commissioners said they intend to hold additional short workshops in August and early September to refine options before the tentative budget hearing. Staff and commissioners repeatedly emphasized uncertainty: several federal and state proposals remain unsettled, and the county must weigh short-term relief against preserving reserves for possible disaster or programmatic shocks.