County finance staff tell supervisors revenue likely to be similar to last year; collection timing, interest income cited

Essex County finance staff told the Board of Supervisors on March 4 that the county’s revenue picture for the coming fiscal year looks broadly similar to the prior year, with few large one-time gains expected and several line items dependent on collection timing and state reporting rules.

At the informational budget work session, staff presented a series of revenue estimates for property taxes, personal property, business licenses and other local receipts. Staff said the county’s billed real-estate roll is roughly in the $11 million range but noted collections historically run about 96–97 percent; based on current reports staff said they expect collections closer to "$11,020,000" rather than the higher booked amount. Staff added that a hypothetical 1¢ increase in the tax rate would raise an illustrative $26,642 in additional revenue if adopted.

Staff also highlighted timing issues that affect revenue recognition. "By state code, public service does not have to report their values until September," a finance staff member said, explaining that the county runs an initial book on prior-year values and then makes abatements or supplements once current figures arrive. For personal property the staff said projections are preliminary and that a closer estimate will be available at the board’s next meeting on March 24.

Delinquent accounts were flagged as a modest risk. Finance staff reported delinquent real-estate balances at about $355,000 and said roughly $90,000 of 2023 taxes were still on the books and could proceed to land sale if unpaid by the end of the month. Delinquent personal-property projections were raised to $220,000 from about $90,000 last year, though staff noted $153,000 has already been collected and another $70,000 might come in.

Board members questioned several lines. One asked whether vehicle-registration withholds are pass-through items; staff confirmed they are fees passed through from DMV. Another member asked about the consumer-utility tax and how receipts are verified; staff said the county receives a check and has limited visibility into the rate-setting method and committed to follow up.

Interest income, which had been a strong source in prior years, is declining with market rates. Staff told supervisors that FY25 interest earnings were about $543,000 when yields were higher, and projected roughly $415,000 this year at lower rates.

Chair (functional) and board members thanked staff for the detailed review and said they would return with follow-up questions as the work sessions progress. No budget decisions were taken at the meeting; the review was informational and intended to guide later appropriation discussions.