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Bourbon County sets 62.5 mill levy as maximum, schedules public hearing for Aug. 11
Summary
The countybudget advisory committee recommended a 62.5 mill maximum to preserve options while the commission works to lower the rate before a public hearing set for Aug. 11; commissioners cited depleted reserves, deferred maintenance and rising insurance costs.
Bourbon County commissioners voted to set a maximum mill levy of 62.5 and scheduled a public hearing for Aug. 11 at 5:35 p.m., the county's budget advisory committee reported at the July 14 meeting.
The advisory committee told commissioners it had reviewed audits and the first draft of the 2026 budget and concluded the county cannot safely adopt a revenue-neutral rate this year because cash reserves have been drawn down and several budget areas need replenishing. The committee recommended a 62.5 mill maximum (compared with the current 59.9 mills) while it continues working to lower the rate before the required public hearing process.
The committee said county reserves are below levels that would support borrowing for capital projects and that prior budgets had deferred transfers into equipment-replacement reserves. The committee also identified a statutory sinking-fund requirement for the landfill being paid from the public-works budget rather than the landfill fund and reported about $1 million in deferred courthouse maintenance.
"If those audits are not clean, it gives you great pause when you're going through the budget numbers. Are these numbers real?" a budget advisory committee member said during the presentation, praising county staff for producing clean audits. The committee emphasized rising costs outside the commission's control, including liability, health and property insurance.
The draft 2026 budget submitted by departments initially called for about a 6-mill increase; after committee review the maximum the committee recommended was a 62.5 mill rate (up from 59.9). Committee members said that setting a higher maximum preserves options while the commission and staff pursue savings and re-prioritization ahead of the final budget deadline.
Commissioners discussed immediate priorities, including a roughly $100,000 elevator repair and longer-term rebuilding of cash and equipment-replacement reserves. One commissioner urged departments to submit their top three priorities to help the commission make targeted cuts.
The commission approved the motion to set the 62.5 mill levy as the maximum and scheduled the public hearing for Aug. 11 at 5:35 p.m.; the motion carried on roll call (Milburn, Tran and a seconding commissioner recorded as voting in favor). The county clerk must receive the certification related to revenue neutral status by the statutory deadline in mid-July; commissioners said they will continue working with the advisory committee and department heads to lower the rate before final adoption.
Why it matters: the mill levy determines local property tax rates; setting a higher maximum now preserves flexibility to raise revenue if needed to address deferred maintenance and other obligations, while the public hearing gives taxpayers an opportunity to weigh in before a final rate is adopted.
