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Council denies probation department wage increase after financial adviser review

5334313 · June 13, 2025
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Summary

Reedy Financial Group advised the council that proposed probation wage increases (16–22%) would be fiscally imprudent given pending state changes; the council voted to deny the additional appropriation and salary ordinance amendment, asking probation to consider the request during the 2026 budget process.

The Kosciusko County Council voted to deny a requested additional appropriation and salary ordinance amendment for the probation department after receiving written guidance from the county's financial advisers.

Kathy read a letter from Reedy Financial Group (RFG) that reviewed the probation department’s proposal to raise probation wages by roughly 16%–22% depending on years of service. RFG recommended against the raise at this time, citing newly enacted Senate Bill 1 (signed April 15, 2025) which RFG said could reduce property-tax revenues and create longer-term fiscal uncertainty; RFG also warned that probation user fees might not sustainably support wage increases and that the county could be left funding permanent raises.

On a motion by Dylan, seconded by Joe, the council voted to deny the probation additional appropriation and the proposed salary ordinance amendment. The chair recorded one opposing vote; the motion carried. Council members asked probation to re-present the request during the 2026 budget process when more financial information is available.

Why it matters: RFG recommended a cautious, county-wide approach to wage adjustments and urged that employee raises be considered during the regular budget process to account for the potential impacts of state-level tax changes and long-term fiscal obligations.

What’s next: Probation staff were asked to include the wage request in their 2026 budget submission for reconsideration with updated financial information.