Board keeps real-estate tax rate at 58¢ amid budget gap and rising school and health costs

Tazewell County supervisors voted March 3 to keep the real property tax rate at 58¢ per $100 while staff warned of a sizeable budget gap driven primarily by schools and rising employee-health costs.

County staff reported a projected revenue shortfall and a net gap of about $2.724 million based on departmental requests and current revenue assumptions. A major driver is the state-required increase in the county’s contribution to public schools — staff estimated that obligation could rise by about $2,466,000, a roughly 16% jump that is set by the state budget process and not finalized until later in the spring.

On employee benefits, staff said Anthem notified the county of a roughly 17.8% premium increase. To close budget gaps, the staff recommended shifting enrollment away from the county’s $250 deductible plan toward a $500 deductible option and realigning employer contribution percentages (reducing employer share for the $250 plan). That change was estimated to save roughly $300,000 in the budget, though it would raise maximum out-of-pocket exposure for employees and require communication during open enrollment.

After public hearing and discussion, the board adopted the tax-rate ordinance to leave the rate unchanged at 58¢ and directed the budget committee and staff to pursue measures to narrow the budget gap. Board members emphasized the need to watch the final state school funding numbers and to convene the budget committee before final decisions later in the spring.