County Administrator Steve Ewing said the Pipestone County Board of Commissioners reduced roughly $800,000 from the preliminary 2026 budget, lowering the county’s proposed levy from 12.46% to 5.24.

"We reduced the budget by $800,000 this morning," Ewing said. "So instead of a 12.46% levy, we're down to a 5.24%." He told attendees at the Truth in Taxation meeting that the board will take official action when it adopts the budget at its Dec. 23 meeting.

Why it matters: the county administrator and staff said a combination of higher personnel expenses, rising insurance costs and reductions in some state program aid were the main drivers of the initial levy increase. Ewing said the county employs about 92 people and has multiple union contracts up for negotiation for 2026–27.

Key figures and drivers: Ewing said estimated program aid for 2026 is about $737,000 and that the health and human services levy is up to roughly $1.9 million (an 8.79% increase). He told the meeting the county saw about a 9% average increase in health insurance costs and a 12.6% increase in property/casualty insurance, which he estimated at approximately $197,000 for the county.

Road and bridge plans: Highway Engineer Nick Bergman presented a proposed Road & Bridge levy of $2,044,454, about an 11.7% increase over 2025. Bergman listed planned equipment and facility savings: a motor grader ($186,930), a plow truck ($137,500), a pickup ($45,000), a pickup topper ($2,500), survey equipment ($12,000) and $300,000 put aside toward a new highway maintenance facility.

Capital projects and reserves: Ewing said the county budget includes about $200,000 for building and grounds projects in 2026, such as tuckpointing and repainting the courthouse clock tower. He told the meeting the board chose to use about $400,000 of reserves as part of the $800,000 reduction to limit the levy increase.

Other items: Ewing noted wind-production tax receipts have been volatile and said the county used conservative revenue estimates for 2026 (he cited an $800,000 estimate). He also listed modest increases or steady support for local institutions: the museum requested an increase in appropriation and county library contributions remain small.

Next steps: Ewing emphasized that the figures shown tonight are informational; the board set the preliminary levy in September and can only lower (not raise) that figure before final adoption. The board is scheduled to adopt the final 2026 budget and levy at its Dec. 23 meeting, after which the auditor will prepare tax statements for distribution in early 2026.