Rock County board rejects plan to use $1.9 million in unanticipated interest to hold 2025 levy at 0%

The Rock County Board of Supervisors on Monday considered a resolution that would move about $1.9 million in unanticipated interest earnings from the 2024 budget into an assigned fund balance to be applied to the 2025 debt service levy, with the aim of keeping the overall levy at 0% for 2025.

Supervisor Towns, who moved the resolution, told the board the transfer would allow the county to apply the one-time funds against debt service and avoid a levy increase that appeared in the administration’s recommended 2025 budget. "This resolution…moves to transfer unanticipated interest earnings from the 2024 budget into an assigned fund balance account, which would be intended to be used to cover part of the 2025 debt service levy," Towns said.

County staff cautioned that using one-time interest now creates tradeoffs for future years. "Reducing the debt service levy this way does not reduce our future ability to levy, but it could require us to use an estimated $7.6 million in sales tax in 2026 to keep taxes low," said Josh, county staff responsible for the fiscal explanation. He said the change would reduce near-term taxpayer burden but could limit funding available for capital projects in later years as debt-service timing shifts.

Supervisors split along fiscal-principle lines. Supervisor Schwartz supported returning the unexpected funds to taxpayers amid continuing cost pressures, saying the board had opportunities to protect wages while not raising taxes. "We have the opportunity to get this money back to the taxpayer and keep them from having to have an additional increase," Schwartz said. By contrast, Supervisor Gorman said she was "very conflicted" and worried the board was relying on one-time funds to manage recurring obligations; she indicated she was likely to vote against the resolution.

Supervisor Schneider moved to end debate; that motion passed on a roll-call vote (Yes 26, No 1). The substantive measure required a two-thirds majority of the entire body (20 votes) to pass. On the final roll call the resolution failed, 19 in favor, 8 opposed, with 2 members absent.

Because the proposal failed, the board left the recommended 2025 budget and its proposed levy treatment unchanged; staff and supervisors noted the issue and tradeoffs may return in later budget discussions.

The board moved on to other agenda items, including plan updates and personnel-policy changes, before adjourning.