Marion County budget committee approves $743.3 million spending plan, sets $3.0252 tax rate

The Marion County Budget Committee approved the county’s 2025–26 proposed budget and forwarded it to the Marion County Board of Commissioners for adoption, and the committee recommended an ad valorem property tax rate of $3.0252 per $1,000 of assessed value.

The adopted budget totals $743,294,651 and reflects a mix of ongoing operating needs, large capital programs and one-time federal and state grants. Jan Fritz, Marion County chief administrative officer and budget officer, told the committee the plan “sustains current levels for departments” while accommodating board priority decision packages and a number of one-time projects funded with federal American Rescue Plan Act (ARPA) and other grant sources.

Why it matters: The budget includes the county’s general fund and dozens of department programs that deliver public safety, health and human services, infrastructure and administrative services countywide. Committee discussion focused on rising personnel costs, the county’s long-term fiscal health, and how state and federal policy changes could affect revenues and program eligibility.

Most important takeaways - Budget total and tax rate: The committee endorsed the budget at $743.29 million and recommended a property tax levy of $3.0252 per $1,000 of assessed value; both items were forwarded to the Board of Commissioners for final adoption. (Motion and second recorded in public meeting; committee voted to approve.) - Cost drivers: County leaders said steadily rising personnel costs — including wage increases, health-insurance cost sharing and PERS employer rate increases — are the largest single pressure on the general fund over the next biennium. - One-time funding and transitions: ARPA and other federal grants funded major community recovery projects and interest income tied to ARPA balances has supported the budget; those one-time sources decline over the next two fiscal years, the budget office warned, increasing fiscal pressure. - Major systems and capital priorities: The budget includes funding for a countywide ERP (enterprise resource planning) modernization (Oracle Fusion in the cloud) to replace legacy systems, and capital programs that include North Fork Road landslide stabilization, ferry operations and Canyon-area wastewater and recovery projects.

Key details cited in committee discussion Jan Fritz, the county’s budget officer, called this budget “a big challenge” in part because the county faces many external uncertainties: changes to state-level funding formulas, potential cuts to federal programs, and pressure from rising personnel and benefit costs. "The theme this year is expect excellence, a high performance government," Fritz said during the presentation.

Personnel and benefits Fritz told the committee the total cost to county personnel has grown substantially and now reflects a composite employer PERS rate of roughly 34% and higher health-insurance costs. The budget books show a net reduction of some county FTE overall compared with the prior year, largely because several decision packages were limited and some positions remain vacant. Committee discussion flagged that the general fund is being drawn down and that a number of programs historically funded with federal or state dollars (or one-time funds) will need local funding or restructuring if those outside dollars are reduced.

ERP modernization The county is investing in an enterprise resource planning modernization (Oracle Fusion in the cloud). The county expects an intensive implementation to begin midsummer with a 16–18 month timeline. Fritz and staff described the work as the central systems for finance, payroll and HR and said the county will fund temporary project support (including a temporary payroll hire funded from ARPA earmarked for the ERP project).

Public safety and corrections Sheriff Nick Hunter and his team briefed the committee on county jail costs, emphasizing sharply rising outside medical and pharmaceutical costs for adults in custody. Committee members and the sheriff described a recent multi‑year rise in medically fragile detainees and higher costs for specialized drugs and hospital procedures that must be paid out of county funds. The sheriff also submitted a decision package to cover anticipated increases in medical expenditures for adults in custody.

Juvenile services The Marion County juvenile department reported an increase in juvenile caseloads and more violent offenses involving youth. Troy Gregg, juvenile director, said juvenile filings and chronic-offender counts have risen toward or past pre‑COVID levels and noted a new contract to house a Washington County pod at Marion County facilities — a 6.5‑FTE addition funded by that contract. Gregg and others said juvenile case complexity, gang‑related violence and youths released from Oregon Youth Authority supervision are among the drivers of local juvenile workload.

Behavioral health and crisis response Health and Human Services staff described reinstating a mobile crisis team funded by a federal grant, restoring a co‑response model in which deputies are paired with mental‑health professionals for certain calls. The department also plans to expand housing‑related supports as the Medicaid 1115 waiver (where eligible) now allows some housing and social‑needs support to be paid through Medicaid.

Capital and infrastructure Public Works presented large capital projects in the public works grants fund, including stabilization work on high‑priority landslide sites (North Fork Road), ferry operations and the Canyon wastewater and recovery projects. The capital program budget for non‑public‑works facilities includes courthouse parking and sidewalk repairs, juvenile facility improvements and a new evidence storage building for the sheriff’s office.

ARPA, grants and one‑time items Fritz reminded the committee that interest and investment income boosted the county during the ARPA period because ARPA balances were invested; once ARPA is spent (deadline obligations extend through calendar 2026 for many awards), some of that supplemental interest income will decline. The budget preserves ARPA‑funded community projects but also assumes spending down those relief balances.

Legislative matters mentioned in committee Committee members and staff called out several pending or enacted bills that could affect county budgets and services: Senate Bill 1189 (a time window to allow start of construction for the Mill City wastewater plant), Senate Bill 916 (discussed in the meeting as unemployment pay for striking workers) and House Bill 4002 (state funding tied to impacts grants and public safety deflection programs). Staff noted the Mill City wastewater programming was dependent on a narrow statutory window and subsequent rulemaking; the department described SB 1189 as allowing a construction-start window that was “a very narrow window” for the plant.

Votes at a glance - Tax rate: Committee recommended an ad valorem tax rate of $3.0252 per $1,000 in assessed value; outcome forwarded to the Board of Commissioners (motion carried in committee). The committee recorded the standard procedural motion and approval. - Budget motion: The committee approved the proposed FY 2025–26 budget totaling $743,294,651 and forwarded it to the Board of Commissioners for final adoption (motion carried in committee). The committee’s votes were taken by voice vote during the meeting.

What committee members asked staff to follow up on - Several commissioners sought additional details on jail medical cost trends and whether state/federal policy changes might reduce county exposure. The sheriff and finance staff agreed to provide more line‑item detail and trend projections. - Commissioners asked for more clarity on the probable fiscal impact if key state or federal revenues were reduced (including potential Medicaid and grant shifts). Budget staff agreed to provide scenario analyses over the summer.

Context and next steps The Budget Committee’s approval forwards the proposed budget and the recommended tax rate to the Board of Commissioners for final adoption. The Board’s adoption date and the budget‑hearing schedule were noted during the meeting; staff said final adoption was scheduled with the Board of Commissioners at the regular June meeting cycle.

Ending Committee members thanked budget staff and department leaders for the presentations and the many hours spent preparing the documents. Jan Fritz and the county finance team noted the awards the finance department has won and the staff effort required to prepare a balanced budget amid an uncertain state and national fiscal environment.

Quoted speakers (from the meeting transcript) "The theme this year is expect excellence, a high performance government," Jan Fritz, chief administrative officer and budget officer. "The why of our existence is really, public safety," Paige Clarkson, Marion County district attorney.

(Article combines budget adoption action, presentation highlights and department summaries that were presented during the June 4, 2025 Marion County Budget Committee meeting.)