Budget officer presents multiyear plan showing shrinking fund balance; officials warn of a fiscal cliff by 2028

The assistant county administrator presented the county's multiyear financial plan, which incorporates 2025 actuals and projects fund balances through 2030 under a set of assumptions: a 2% property-tax cap, flat sales tax after 2025, 3.25% annual expense growth, benefits set at 44% of salaries, and 2% annual increases for equipment and contracts.

"Our revenues are not keeping pace with our expenses," the assistant county administrator said, noting that the Office of the State Controller recommends maintaining an unappropriated fund balance of about 16.7%. The presenter told the committee the plan excludes major upcoming capital needs such as culvert replacement and a municipal-center roof and warned that without new revenues or expense reductions the percent fund balance will decline steadily through 2028 and beyond.

Supervisor Connell and other supervisors questioned assumptions about the timing of sales-tax receipts and cautioned that rising costs for health care, petroleum and equipment could worsen the outlook. The chair characterized the projections as illustrating the need to identify additional revenue or significantly reduce expenses in coming years.

The committee did not take immediate action on the multiyear plan; the presentation was provided for review and will inform budget discussions and capital planning moving forward.