Cowlitz County reviews 2025–27 budgets, staff proposes one-time cuts and levy path to cover shortfall

Cowlitz County finance staff presented a revised general-fund budget and a menu of one-time and recurring options Tuesday as the county faces a projected 2026 shortfall and a larger gap in 2027.

Kathy, presenting Budget Boss figures, told commissioners the county’s largest revenue stream — taxes including property and sales taxes — produces about $63 million for 2025 and roughly $61.9 million for 2026 and 2027. She said personnel is the single largest expense, with salary and benefit budgets shown at about $46.9 million for 2025 and a projected $48.0 million in 2027.

The nut graf: staff projected that, under current assumptions, expenditures will exceed revenues and reduce the county’s reserved fund balance. Kathy said the budget as presented would produce about a $2.4 million negative difference in 2026 versus revenues and an $8.1 million gap between total expenses and revenues in 2027. The county’s designated budget-stabilization and related reserves were noted in discussion as roughly $5.4 million in restricted accounts.

To address 2026, staff proposed a combination of one-time and recurring moves. One-time measures included drawing on internal reserves (staff noted an IT reserve of more than $5 million and proposed a one-time use that could reduce general-fund impacts by about $1.0 million), reducing billings and…