Kane County treasurer projects $10$12 million in interest for FY26, says reserves improved

Treasurer Lawson told the Kane County Finance & Budget Committee on Jan. 28 that December interest income totaled "just under 1 and a half million dollars" and that his working projection for fiscal 2026 interest earnings is $10 million to $12 million. "I still have an aspirational goal of $20,000,000," he said.

Lawson reviewed charts and narrative in his written report, noting the county has roughly $300 million invested and that, at an approximate 4% yield, that holding would generate about $12 million annually. He said investment balances are declining as reserves are used, but the fall in balances alone does not, in his view, make the projection unattainable.

Lawson also summarized year-end results for fiscal 2025: the general fund used approximately $18.5 million in reserves, an improvement from a budgeted use of $27.2 million. He said revenues finished about 3% higher and expenses about 4% lower than budgeted, which helped narrow the use of reserves.

Committee members asked detailed questions about the assumptions behind the interest projection and whether the county is prepared for a lower-rate environment. Lawson said the projection is based on rough, conservative math (about $300 million at current yields) and that he remains comfortable with a $10$12 million range while continuing to pursue additional earnings opportunistically.

Finance Director Hopkinson and others described ongoing work to finalize 2025 closings, automate personnel forms and finish the county audit, which is due by May 31. Chair and staff said they will convene a budget-planning meeting within the next two weeks and follow up with elected officials and department heads over the next two months to begin FY27 negotiations earlier than in past years.

The committee did not take a separate vote on Lawsons report; next steps are continued budget planning and follow-up briefings to the committee.