Jackson County presents balanced FY 2627 budget draft, warns of multi‑million shortfall in later years

Jackson County staff told commissioners at a July workshop that the draft FY 2627 budget is balanced but that the county faces larger revenue risks in 2728 and 2829 if a proposed homestead exemption change is enacted.

"We have a balance budget that we're presenting today," the presenter told the board, adding that contingency for the coming fiscal year is projected at about $500,000. Staff said the total budget is $108,500,000 including grants, and $81,800,000 excluding grants for the year beginning Oct. 1.

The presenter summarized conflicting projections for lost ad valorem revenue if a $150,000 homestead exemption is adopted: the state revenue estimating committee estimated a $2.7 million loss in the first year and $3.7 million across two years, while the county property appraiser estimated about $4.0 million for the first year and $5.2 million over two years. County staff said they are using conservative revenue and expense forecasts to preserve reserves.

The draft includes recurring obligations such as a $1,511,776 annual bond payment and combined annual water loan payments of $209,911; staff also budgeted a 3% increase in property and casualty insurance (including workers' comp) and limited the health insurance cost increase to $22,800 based on prior board direction.

To meet an upcoming statutory $15 minimum wage final phase, staff proposed increasing pay ranges by $1,650 for all employees, which the presenter said would cost about $424,335 in the coming year.

Because capital requests from departments totaled roughly $9.0 million, the presenter said the county would prioritize essential outlay items and fund purchases from carryover only if available; staff estimated a conservative carryover number near $1,000,000 but said the final figure will be clearer as the fiscal year closes.

Commissioners and staff discussed options to close longer‑term shortfalls, including placing an EMS/fire assessment on property tax bills (statutorily required to be used for EMS/fire operations but which could free other general fund dollars), mandatory solid‑waste collection assessed on the tax roll (estimated to generate over $250,000), selling nonessential properties, freezing vacant positions, offering retirement incentives and, as a last resort, reductions in force.

The presenter also raised an equipment financing decision: 10 leased motor graders come off lease in February; buying all 10 could add roughly $900,000–$1,000,000 in annual debt service, while purchasing five would be about $500,000 per year.

Staff offered to meet individually with commissioners for more detail and named Lindsay (on Zoom) as available to answer line‑item questions.

The workshop was informational; no formal board action was taken. Staff said it will prepare requested follow‑up information — including examples of solid‑waste assessment ordinances, a prioritized capital list, and refined carryover estimates — for future consideration.