[0:02] Somebody online.

[0:18] » I think she has she

[0:26] the professional Do you want me to text Kim and tell Kim

[0:31] to mute her thing? >> Yeah.

[0:34] » So, you can't see it back here. >> It's too far away.

[0:43] » Yeah, I want to go back to that. But I need to be able to see this at the same

[0:47] time because this keeps out. So, I have to keep the button.

[0:58] Hammerhead

[1:23] people have

[1:35] Yes,

[1:38] » I sent a text saying mute yourself. >> I got it.

[1:48] » Okay, Steve. Now, what were you gonna do? So, you want to just share your

[1:52] screen so they can see your PowerPoint? >> But I still need to be able to see what

[1:57] I'm doing, too.

[2:05] » Need to share a tab. Yeah.

[2:14] Go to window. Yeah, there you go.

[2:21] Now you should be able to see both. I don't know if you'll be able to click

[2:25] through. That's the tricky part. You still have to click through the

[2:30] presentation.

[2:34] » So now if you minimize that, they still see that presentation.

[2:39] » Minimize >> the the PowerPoint.

[2:45] » Yeah. So they're still going to see that PowerPoint, but

[2:48] » Okay. So then go back to year to here >> for us.

[2:53] » Yeah. So, but you'll still have to Yeah, there you go.

[3:04] » Okay. Is that where we're at? >> Need need two monitors.

[3:06] » I'm sorry. I need a lot of things. >> Okay. Um, page five is next.

[3:17] So now on page five, I'm moving from 2025 Senate Bill one to what was

[3:22] approved in 2026 this year. Uh so House Bill 1210,

[3:29] uh that structure we just talked about on local income tax, it moved from 2028

[3:34] implementation to 2029. So they push it back one year. So the county will have

[3:39] to adopt the rates in 2028 to be effective in 2029. the county council.

[3:45] Um the first adoption, the way it reads in

[3:50] the statute shows a three-year adoption and then after 2031, it's readopted

[3:56] every year after that. So the first year you adopt in 2029, last through 2031,

[4:02] and then read every year thereafter. Uh now instead of the 3500 population

[4:10] number, now all cities and towns going to opt in to the under 3500 rate

[4:19] which the county sets and like I mentioned before

[4:24] that is what we have found that's much more beneficial

[4:28] to those city the most cities and towns in the state to opt into that rate

[4:33] compared to doing their home. So, I did have a question. Has anybody reached out

[4:38] to you guys like Syracuse, Warsaw? >> Not in any official um Okay. capacity,

[4:46] but the state law does say that we to do the committee.

[4:52] » Well, it's it's not required. Not required. And And it does have uh

[5:00] language in there that says if you make a decision, it must be unanimous. I

[5:03] don't think you have to make it. Suan may have a different but what I read is

[5:07] you don't have to make a decision. If you do, it has to be unanimous.

[5:12] » It's Yeah. >> Yes. Yeah. So, I'm sure they will be

[5:16] reaching out to the county because, >> you know, they benefit more from the

[5:21] county setting the rate than doing their own, the ones that are over 3,500 in

[5:25] population. Yeah, >> Trish Trish G sent a me yesterday from

[5:30] Milford asking about the must committee. >> Yes.

[5:34] » To see if anything been done. I just sent one back and said nothing but dead

[5:38] yet, but we know it's off the horizon. >> Yeah. Yeah. They call it the must task

[5:43] force. So it's one member from county council and then a fiscal officer from

[5:49] each one of those city sts is what it'll be. Um, so I will help you guys on the

[5:56] numbers. You may have them already, but I can help you out with that on the

[5:59] formula as well. Um, >> so just to clarify, I'm sorry. Then you

[6:04] keep asking seated netit, we would be able to continue to collect that until

[6:09] such time as we switch and then seed it goes away.

[6:14] » That goes through 2028. >> Okay. But then it goes away. It has to

[6:19] be a part of your bigger structure. >> Yeah. So I didn't mention that earlier

[6:22] and I apologize. So local income income tax the current structure is you're

[6:28] seated uh or coach county >> ko county. So everybody has votes right

[6:35] when you set an income tax rate everybody in the in the county

[6:38] » no the county controls it >> the county controls it from your side.

[6:41] Okay the county controls it. So when you set an income tax rate, then it's

[6:47] distributed by an allocation formula based off previous property tax and

[6:51] income tax distributions. So that's how it's currently set. Uh this new one,

[6:56] like we discussed, uh the county will set their rate and

[7:01] then for this uh for the county rate, the county gets all of those dollars and

[7:06] then the city and town rate that we were just talking about, that will be

[7:10] distributed by population. So, that's the formula that we can help

[7:17] you out with once we get there. Um, we talked about the task force.

[7:26] I show I I did do the formula. I show about the county would receive about 28%

[7:31] of that rate, whatever they set that rate at. 28% of the dollars

[7:50] that would be on top of the county rates that you said.

[7:57] And then finally, they capped fire districts uh property tax rate at 40

[8:02] cents. They did fire territories last year by 40 cents. Now fire districts are

[8:07] at 40 cents.

[8:11] Any other questions on House Bill 1210?

[8:16] » Well, it says this municipal unit strategic task force may be established.

[8:22] That's what you were saying. >> Maybe. Yeah, I put the word maybe in

[8:25] there because it's not required. >> But if you don't, doesn't the state come

[8:29] in and tell you what they'll do? I think that's the next paragraph after that.

[8:36] » No, I mean we don't we're recommending not to agree to anything because you

[8:41] don't know what legislation is going to do next year on tax rates. Like you they

[8:45] do say if you agree by October 1st that will be the rate but you know as you

[8:51] know they've been thinking about reducing the county's cap. Right now the

[8:54] county's cap is 1.2%. they come in next year and say 7% then how does that

[9:00] affect what the task force did right >> well especially if the new rates aren't

[9:06] even going to be coming into effect and you're make we're meeting before in this

[9:11] year when we even be >> our new rates won't take effect until

[9:16] 2029

[9:19] » correct >> seems kind of like

[9:22] » it's just another one of those >> you wouldn't starting

[9:26] What do you think? >> It's just another one of those things.

[9:30] » Sounds to me like you wouldn't want to start the committee till after next

[9:32] session. >> Yeah.

[9:34] » Yeah. >> Yeah. It I agree. I think

[9:37] » closer to >> I think it's early.

[9:39] » Yeah. >> Uh but they did put an October 1st

[9:42] deadline on >> to form the committee or to make

[9:45] » form and make decisions. If you make a decision,

[9:49] » doesn't mean you can't form the committee and meet and not make

[9:52] decisions. Yeah. >> Right. You can discuss it. Yeah. Right.

[10:01] Okay. Um, >> you could go down and testify to as a

[10:06] committee and talk to them about how your county looks. Like you do form the

[10:10] committee this year. >> And you I would say not everybody's

[10:15] represented by Financial Group or Baker Tillies of the world. So they don't even

[10:20] know what their losses are going to be yet with property tax, right? I would

[10:24] say some of them don't know. So how can you come to a conclusion on rates when

[10:30] you don't know all the data my

[10:35] but yes you can still get together and discuss.

[10:39] Um page six

[10:45] uh Senate Bill 179. Sure Steve knows about this one. Um CCNG second call

[10:53] approved for an extra 75 million for the units that didn't get matches in late

[10:58] 2025 and fall 2025. >> That's what we received already. So we

[11:05] got the award letter uh right after the commissioners meeting last week we went

[11:09] in. We were part of that extra 75 million. So that's what to extend out

[11:15] Packard and Ar. >> Yeah.

[11:18] Um, so something new wheel tax. So if a so if Warsaw for example would

[11:28] now go in and do their own wheel tax, the county could no longer when it when

[11:33] it takes effect can no longer collect off the reg registered vehicles in that

[11:39] area. Um, now the ones that the counties that

[11:44] had stack taxes before had a county and municipal wheel tax, those are

[11:48] grandfathered in. But if it takes effect after

[11:52] uh December 31st, 2026, then it's separate. Now, I will say

[11:59] I'm working with the county. it actually benefit them when

[12:04] municipality did their own wheel tax because

[12:08] they now have a higher even higher proportion of the road mileage and

[12:12] population. But I don't think that's the case for everybody. I think it's a case

[12:15] by case thing. So just something to keep in mind if you hear about other

[12:20] municipalities wanting to do to do a wheel tax, it could impact your wheel

[12:24] tax revenues.

[12:29] Um, again, will taxes need to be submitted

[12:35] by September 1st to be effective January 1st of the next year.

[12:52] Does that say

[13:09] » hit that? That's what I was thinking. Yes, we're still there.

[13:17] » Show my What's this thing? show my screen.

[13:23] » Okay. >> Still need to show the presentation.

[13:29] » The one, excuse me, the one to the right.

[13:34] » Yeah, they go to the right.

[13:41] » Any question?

[13:45] » I'm gonna have to have a conversation with the IT.

[13:48] That's all right.

[13:52] Uh, page eight, just getting into 2025 number.

[14:02] » So, um, the county, everybody on PTA, the county grew cash by 7 million in

[14:10] 2025. Um, mainly due to unused appropriation. So that's common for the

[14:17] county. Um had quite a bit. Maybe there wasn't as much bridge projects as you

[14:22] originally thought. I can't remember on that.

[14:25] » Carry over our bridge. >> Yeah, you carry over.

[14:29] » Um and then there I'll have another page

[14:33] that shows all the unused, but that was the main brunt of the 7 million and in

[14:38] growth for all your funds. The general fund had a surplus, so

[14:44] revenues over expenses of 2 and a half million.

[14:48] Um, as you guys know, your bridge rate

[14:51] increased. 057, which equates to about $622,000 in levy.

[14:58] So that amount in the bridge, whatever you increase or decrease that

[15:03] amount to, that pulls from the general fund and all your other property tax

[15:08] levy funds. So, um, if you see that maybe you have enough cash for 2027 and

[15:14] you need to reduce a little bit, that pushes into the general fund for

[15:17] operations. Um, and then your net assessed value, like

[15:22] we talked about earlier, even with the slight increase in deduction, it still

[15:27] grew 8.23% in 2026. So, you guys have strong growth

[15:32] right now. the more you can continue to have strong growth, the more you can

[15:35] offset some of the Senate Bill One impacts.

[15:41] And since 2022, your property tax rate has reduced four and a half cents, which

[15:47] is quite a bit. And I'll show uh I'll show that on

[15:51] another page as well. Page nine, this is just an overview of

[15:59] the major funds that I keep track of. for the county.

[16:06] » Oh, that's okay. Um, you can see from starting from the left, you have your

[16:11] funds and then I have your beginning cash balance, expenses, revenues, if you

[16:18] surplus or deficit in that fund, and then ending cash balance. But the yellow

[16:22] column is what I wanted to show you on the unused. Um, now this it was the

[16:27] unused was high in 25, but typically the county does have unused appropriations,

[16:32] which is a good thing for building cash. Um, but I'll show you here in a second

[16:37] how that might change in the future. Um, but as you can tell, there's just quite

[16:41] a quite a bit of unused that led to a lot of savings and cash,

[16:47] which I think you'll need down the road. >> But we also need to look at what was

[16:51] encumbered. >> Yes.

[16:53] » That's going to make That's correct. a whole lot different.

[16:56] » So like your general fund, you encumber wages every year a lot. So that's going

[17:02] to increase your unused because they may have worked at the end of 2025, but you

[17:08] actually pay it in 27. I think that's why you would cover those amounts. So

[17:13] » So all that gets deducted from the >> Yeah. The same thing for the bridge

[17:18] fund. Like when we talk about like and I gave him my projections for the next

[17:22] five years, these have to because they're fiveyear projects. So you have

[17:27] to build up. We only get 800 and some thousand. Well, you all know bridge

[17:31] doesn't cost that, right? Even the 20% well over that. So what we have to do is

[17:37] bank that money to be build it up so that when these projects do hit that we

[17:42] can afford those. But still that's what you know the projection that I gave Rey

[17:46] here I don't know a couple months ago shows you in 2027

[17:51] you were getting pretty tight. >> Yeah. So and I keep track of that. He

[17:55] gives me his projections. I keep track of that in the financial plan. Uh you'll

[18:00] see that in all these other uh tabs in this binder. But I keep track of that

[18:05] just to try to make sure you have enough money in the Kingbridge fund uh to pay

[18:09] those local matches. So, any questions on 2025?

[18:22] So, this is one of my favorite slides. Uh, page 10. So,

[18:28] the top purple line is your net assessed value and the black line and bars at the

[18:34] bottom is your property tax rate. So, as I was saying earlier, your net assessed

[18:42] value growth has always been higher than the growth quotient that the state not

[18:47] always since 2022 on this graph has been higher than the growth quotient that the

[18:52] state sets every year. So, your net assessed value is growing

[18:56] higher than revenue growth. Your tax rate is going to go down. And then you

[19:01] can see your tax rate since 2022 is, like I said, down four and a half%.

[19:07] Um, now I expect as we get further along in

[19:12] Senate Bill one that those two lines will get closer together. They'll

[19:17] flatline on both sides and maybe even start creeping toward each other. So,

[19:23] but if you continue strong growth, you delay that.

[19:29] And then, uh, 2025's property tax rate. I compared 19 other counties to you guys

[19:35] based on net assessed value. You are the 19th lowest.

[19:40] Pretty good.

[19:44] And that data is in this mind too. I can show you later if you want to find it.

[19:49] Um in question.

[19:56] Okay. Cash reserves in your general fund only. So on this graph I have the year

[20:03] 2022 through 2028 and the blue line the blue bars are your

[20:10] revenues the red are your expenditures and then that purple line at the top is

[20:14] cash year in cash balance. Um as you can tell 2022 through 2025

[20:22] the blue line's higher than the red but then I've built in Senate Bill one

[20:26] impacts starting in 26 27 and 28. You can see how the red line starts to creep

[20:32] closer to the blue line and then your cash balance flattens up. So that's what

[20:39] we're going to see. I'd have a base like 5% assumed growth in your assessed

[20:45] value. If you keep growing at 9% that purple line's going to be a little

[20:49] bit higher, right? Depending on how much you spend, but um it just depends on how

[20:55] assessed values come in in the future. uh nothing to be alarmed uh because you

[21:00] guys are prepared for it. But just know that when you're

[21:05] making future budgets that the ex the reason that blue line gets closer to the

[21:10] red line is because circuit breaker is going to increase

[21:14] » because what >> circuit breaker. So

[21:17] circuit breaker is the amount of your property tax bill that goes over

[21:22] the cap. So, if you have a $100,000 home, the max you're going to pay on

[21:28] that is 1%. It's $1,000. But if your tax bill equals $1,200,

[21:34] that $200 is circuit breaker. It's not collected. It's not collected. So the

[21:40] reason circuit record is going to go up is because those increased deductions

[21:44] that we talked about increases your tax rates and therefore

[21:50] properties get closer to the caps because of that. And then also the

[21:55] homestead credit which I call circuit breaker 2.0. It's not really circuit

[21:59] breaker but it's I call it circuit breaker 2.0 because it's a pot of money

[22:03] that you're not collecting on top of the tax caps. So basically what you're

[22:07] saying as we get closer to 2028 our circuit breaker losses are going to be

[22:11] greater which is why those are coming together.

[22:15] » Correct. That's the main reason. So tax caps because of deductions in your home

[22:20] state credit. >> Yeah.

[22:24] Now like I said the more you if you grow above what we have projected here it's

[22:29] not going to be as significant.

[22:34] And then also one thing they've capped the growth quotient. So the state sets a

[22:39] percentage that the county or that all units can grow the revenues by each year

[22:45] and it's been capped at 4% the past few years. They didn't cap it for next year.

[22:50] So what I saw in the statutes, they were estimating it. They said 6%. So that

[22:58] could increase circuit breaker even more. I mean it's kind of a blend of

[23:01] increasing your revenue. We're getting in in the weeds here, but uh that could

[23:06] increase your circuit breaker, but also increase your revenue slightly. It just

[23:10] depends on assessed values. >> When you did expenditures, did you

[23:14] figure in like inflation and wage increases?

[23:17] » Yeah. So, I have 2% on wage increases built in to this. And then other things

[23:24] I have like 1% a year. I know some some years it's a lot more and some it's it's

[23:30] tricky because there's a lot of lines in there. Um but like capital and supplies

[23:36] I have 1% but I know there's a lot of like contracts in those lines as well

[23:40] that stay flat every year. So I have a 2% on wages and like 1% on on capital

[23:46] and then there's some capital like what Steve gives me that I have built into

[23:51] the plan. So it's not a percentage growth. It's based off what he gave me.

[24:01] So yes, I have increases in there.

[24:09] All clear.

[24:16] So this is just an overview of what I have projected for 2026.

[24:20] I'm conservative. So I project unusual preparations for you guys because we

[24:24] have it every year and I'm conservative. So you'll see some deficits in deficits

[24:30] in there that may actually be surpluses by the end of the year. But this is what

[24:35] I have projected in the financial plan. Uh

[24:39] I think in August last year I met with you guys. I talked about your highway

[24:44] funds, wheel tax. um cambridge you you increase your rate so

[24:51] but those funds you know gas tax revenues and wheel tax revenues tend to

[24:55] stay flat they don't grow like property tax revenue and lit has so you may start

[25:01] to see those but u your expenses versus your revenues and those funds get a

[25:05] little tighter um but you guys can more than offset that with income tax

[25:11] starting in 29 the new structure we'll see if they do anything different next

[25:15] year. Um, so I did present a couple options last year like will tax and

[25:21] things like that, but definitely with the new local income tax structure, you

[25:24] could make that for some of these depths of spend these funds because it's one

[25:29] thing I didn't mention also the new LE it's general purpose so you can use it

[25:33] where you want. It's not like current lead where it's

[25:36] public safety or economic development or judicial etc. It's general purpose, so

[25:44] you can plug it wherever you'd like. Um, I don't know if the SPOA will like that.

[25:49] We'll see.

[25:53] This is just all projections 2026 that I have so far.

[26:01] Next page. Uh, quick capital discussion. This is,

[26:07] as I mentioned, you were asking about expenses. This is the capital I have to

[26:12] the financial plan. Um, so you can highway department is all the red here

[26:19] and then I have commissioners and sheriff department. I know you probably

[26:23] have a lot more than this, which is why I need to probably get with Alyssa

[26:27] for you to reach out. Usually I reach out straight to Steve, but other

[26:31] departments, if you have any big capital items coming in, let me know and I can

[26:35] plug it into the financial plan so that when you do your budget,

[26:39] um, I can see where we need to put that right now.

[26:45] Like your edit fund is a good resource for capital, which I think the

[26:49] commissioners are using. Um, but you have like $15 million in there, so just

[26:54] good for for capital use. Um but if if uh revenues and expenses start get

[27:02] getting a little higher in the future because of Senate Bill one, this becomes

[27:06] important. You know what I mean? Planning out your capital expenses and

[27:11] seeing where you can pay those crimes. Um CPG and lane mileage. So

[27:20] you've been getting CCNG for a while, but now there's a lane mileage grant.

[27:24] But because the county has a will tax, you qualify for that already. But my

[27:29] understanding is the combined between CCNG and the lane mileage will not be

[27:35] above the 1 million that they approve. Right.

[27:38] » So with with the Senate Bill 169 or 179, what has happened is that we will get a

[27:44] lane mile distribution. Remember that that's different than a just it's by

[27:49] length rather than total mileage which we receive our MBH from right now. So if

[27:56] we exceed the match of the total grant of the community crossing. So like let's

[28:01] say that it's $1 million is a match. Well, if we exceed that in a lane mile

[28:06] distribution, we will no longer be qualified to apply for the community

[28:11] crossings matching grant. So now I do have some projections on what we're

[28:16] going to get and I like I said I don't think we'll be able to apply this point

[28:20] forward. They're saying that they are going to do a distribution in May. Um

[28:25] which means that we won't see it until maybe June or July if if it comes out

[28:30] this year which they're still working out.

[28:32] » Is that CCG or the lane mileage? >> It's a lane mileage.

[28:35] » Okay. >> So for community crossing we

[28:38] » I may talk to you about that later too about how they're calculating that. We

[28:42] use the formula. LTAP has done it for most locals to kind of figure out if

[28:48] they and they have it on their website. >> Okay.

[28:54] » Files because the cities multiple

[28:59] lane highways. >> Yeah.

[29:03] » Remember they if they don't have the wheel tax, they won't get that lane mile

[29:07] distribution. So yes, if they don't have the wheel tax, they won't receive that.

[29:11] Yeah. So you'll I mean we've already seen

[29:14] quite a few municipalities do will tax last year. You're going to see more and

[29:18] more of that and that's why they got rid of that

[29:21] double tax county and municipality. So

[29:30] um next page continue capital um not not hugely important for you guys on

[29:37] page 15. It's just what I have projected in the Q bridge fund which Steve gave me

[29:42] and then commissioner and share of capital. So I'll get with I'll get with

[29:47] you guys on any other capital that I may not have had in the money right now

[29:57] page 16.

[30:01] So I kind of mentioned this earlier with Cassie going back to uh future Senate

[30:07] bill one impacts for property tax. So searcher breaker equals property tax

[30:12] revenue revenue not collected due to properties getting tax caps. Um and then

[30:18] also you have the homestead credit of 10% up to $300. So what this graph shows

[30:24] is here's your 2025 circuit break. The blue was the circuit

[30:31] record of the general fund and then the red was the total circuit record. You

[30:36] can see now these highle projections. Okay, you can see how that circuit

[30:41] record increases up to 2030. It'll actually increase to

[30:45] 2031, but I wanted to keep the graph short. But 205 and 289 289 total in 2025

[30:53] and then I've got 3 million in 2030. So that circuit breaker is shared amongst

[30:59] all your property tax levy funds. So it won't be just three million in the

[31:03] general fund. It'll be general

[31:07] CCD and things like that. So that just shows

[31:14] the impact of those deductions and home state credits

[31:19] and everybody's going to be basic. It's not just

[31:27] question. Okay,

[31:31] this is local income tax from Senate Bill one. So I have 2026, 2027, 2028 and

[31:40] then I have four different projections for 2029. So this is the amount of lit

[31:46] local income tax revenue that you're receiving in 2026.

[31:51] uh projected 27 and 28 and then 2029 the first blue column is a.3% rate the

[32:00] second 6 third.9 and fourth 1.2 too. So you can see how much more revenue is

[32:06] possible for the county.

[32:10] Um now this is just the county rate only. This doesn't include the under

[32:16] 3500 rate that we talked about or I said we get 28% of that as well. So when it

[32:21] comes time to make these decisions, we'll have to look at what do we want

[32:25] the county rate to be? What do we need the municipal municipal rate to be to

[32:31] make those units whole and also help the county

[32:38] and then you also remember you'll have a fire EMS rate and a non municipal rate

[32:44] as well.

[32:49] And then on the right, uh the the municipality rate, uh there's a bullet

[32:54] points that show the dollar amounts on the the different rates.

[32:59] That's not included in the graph.

[33:08] That makes sense. Okay.

[33:17] Uh

[33:23] Okay. Can I ask a question? Okay. So, this shows that the income tax,

[33:28] » but it doesn't show how how the property tax changes. In other words, it's not a

[33:35] combined. Here's here's the changes,

[33:38] » right? >> Okay.

[33:39] » Yeah. So, um can you you go back to page 16?

[33:49] you just look at 2030. >> Yeah. Okay.

[33:53] » Um you can say that total number $3 million reduction.

[34:00] And then if you look at page 17,

[34:06] you can see how many dollars

[34:11] are collected by each rate. And then you can compare that to 26

[34:16] through 28. So you know you in 2029 if you get a 6% rate just on the county

[34:23] um you're looking at 6 million more just on that rate

[34:28] compared to what you're currently receiving. So that offsets more than

[34:32] what you're property tax rate. >> Yeah.

[34:36] » Thank you. >> But yeah, I can put one together that

[34:40] combines it if you want. I think

[34:45] » okay.

[34:54] » Yeah.

[35:02] » Um, as I mentioned, circuit breaker will continue to

[35:08] increase. Um the county can offset those losses with lit if they choose. Um but

[35:14] this may not be the case for the municipalities. Um her budget is going

[35:18] to be a lot tighter. So they'll want to be made whole. You

[35:22] know, you have to take them into consideration as well determining the

[35:25] rates. Um as mentioned before also the new lit

[35:30] is general purpose. So you don't it's not earmarked to just one bun. you can

[35:36] place it where you like. It's the way it stays right now. That could change.

[35:42] And then obviously RE will continue monitoring uh legislation. Um there was

[35:48] already talk this year about counties having a lower cap.

[35:54] So that may come up next year.

[35:58] Listen,

[36:02] part of the problem though, the people that live in the municipalities,

[36:08] there is truly no way to break out exactly what their income tax payments

[36:12] are going to be because they are not segregated in any way.

[36:18] » Yes, >> this has been a longgoing project. They

[36:20] came to the AIC five years ago and asked if they if we wouldn't give them

[36:24] $500,000 to start that process and here we are five years later and now they

[36:30] think they can get it done in two years which I believe is a part of the push

[36:33] back. >> I have a Seymour address but I don't

[36:36] live in Seymour. >> Yeah. Yeah.

[36:37] » You know >> I have address

[36:42] and uh >> Yeah. I mean I I work Clarksville. They

[36:48] have Sersburg addresses. >> Yeah.

[36:50] » In Clarksville. How do you >> How do you

[36:54] » We are not unique. You nor us are unique. Every county has that same

[36:58] issue. Yes. >> So until they get the first year or

[37:01] they've actually pulled out and then it will separate cities, municipalities

[37:07] from the counties, nobody's going to know what anybody's basically.

[37:12] » Yeah. >> In my own.

[37:13] » And that's probably another reason for the one-year delay.

[37:16] » Yes. And they may delay next year to the 23rd.

[37:20] » They may delay it another year and say, "You know what? We had one bad maybe."

[37:25] » Yeah. Yeah. So, yeah, I agree with you. I don't know how they're going to do

[37:29] that at this point. So, I could be mean to how do you

[37:36] » where's the line >> create that data, right?

[37:39] » Yeah. Because you can't use addresses. So

[37:43] um cash reserves obviously county has

[37:48] healthy cash reserves but keep an eye on the highway funds

[37:53] um probably

[37:57] in the near like especially for the will tax fund I think that's the cash

[38:01] reserves are getting really low on that so you may have to move that somewhere

[38:05] else or just keep that in mind or when we look at budgets

[38:12] So uh hbridgeidge fund

[38:17] as I mentioned any reduction in tax rate or increase moves it out of the general

[38:23] fund. So keep that in mind. You know if we're in 2029 or 2030 and certain

[38:28] records hot eye and you have plenty of cash in your bridge fund you can

[38:33] reduce that amount again still pay for your bridges but put a little bit more

[38:37] money in general fund. Um 911 bunt that keeps spinning down as

[38:44] well as you know that may have to be moved. You guys may have a plan for that

[38:48] already. Um but that's spending down close to zero and might have to be moved

[38:54] in the future to the general or somewhere else. Uh and then obviously

[38:59] continue to be prudent when developing budgets because we just don't know

[39:03] what's going to happen right now. Um will tax rates be cap? There's talk talk

[39:08] of cap tax rates which is a whole another discussion. I don't know how

[39:13] they would do that because a district's going to have to be cap district rate

[39:18] and that's challenging I think. Um so um as I mentioned at the bottom right

[39:26] the the wage increase I have in the financial plan in this planner is 2%. as

[39:32] of now, but as we get closer to budget, um we can look at different options

[39:39] for wages. So, uh this in April, the DGF will

[39:45] release circuit breaker. That'll be very helpful because it's kind of a I mean,

[39:50] we've estimated it, but we don't know 100% for sure what it's going to be. Um,

[39:55] and then later on we'll get assessed values and then we'll be able to plug

[39:59] that in and see what your revenues are going to be and then look at wage opt

[40:02] options

[40:10] and then next steps. I would like to meet with you guys again for budget

[40:13] purposes. I think we met in August last year but I can meet again in August or I

[40:19] can meet earlier. I >> think August is too late. Yeah, I can be

[40:24] earlier. >> The department does have to have their

[40:26] budgets completed and turned in to you guys by what? Mid June,

[40:32] » second week of June, somewhere along there.

[40:37] » May end of May. >> Yeah.

[40:40] » Yeah. I know there's continual adjustments on the Yeah.

[40:43] » What does that have to be developed and turned in so they can put everything

[40:45] together for us to do our budget hearings,

[40:48] » right? Yeah. And I was thinking maybe July.

[40:52] » Yeah. Their their budget meetings with the departments are scheduled in August.

[40:55] » In August. Yeah. >> So what do you think Melissa when would

[40:58] you like to and I'll be sort of thinking >> before the budget meetings from the

[41:06] department >> towards the end of July?

[41:09] » End of July. End of July. I think last year was beginning.

[41:13] » I think it would I think it would maybe be helpful if we had the information

[41:17] from the departments and then have a meeting.

[41:22] Yes. >> Yeah. I'd like to have that at least.

[41:25] » Yeah. Then you would have what >> at least

[41:27] » because if not you're just coming and talking in general. We're not looking at

[41:31] specific. >> Yeah. And I know June is the typical

[41:34] date to get those but there's adjustments after that. So

[41:38] » the early July is best. >> I would think so.

[41:42] » Okay. Do that. >> So yeah. Do you want to shoot us a

[41:45] couple dates then? >> Okay. I'll do that.

[41:51] Okay, I'm I'm staying out of that. I'm letting you guys work that out.

[41:57] I'm throwing the guys that out. Just let me know.

[42:06] » Yeah, I'm sure more things will come up by then, too, for budget.

[42:17] Are we done or >> that's that's all I have.

[42:20] » Can you go back to page 17 and just explain the 35,000 book view

[42:27] for me of how we're currently at 1% live? Yes. But then even with the rate

[42:36] in 2029, Yeah. if it went down, revenue still goes up. So the reason you're

[42:42] currently at 1% and it's only the countyy's only receiving 12 a.5 million

[42:47] and 26 is because that 1% is distributed to all the units.

[42:51] » Oh >> whereas

[42:54] the 6 in the blue all goes to the county.

[42:58] » I see. So there's no sharing. There is sharing, but you're going to have a rate

[43:04] just for the county, a rate for fire, a rate for non-municipal, and a rate. You

[43:10] will have another rate that's shared. That makes sense.

[43:15] » Yeah. >> So, in general, it's because we're

[43:19] sharing all we have to share all those. They're certified shares, so it's split

[43:23] among how many tax. >> Yeah.

[43:29] And then Yeah. So that's just the county rate that I have in the blue. And then

[43:33] on that right side is the municipal rate that's shared. And I have at each each

[43:40] tax rate what I think the county would receive based on that rate. So you can

[43:44] just you can take the 19 million and the 6% plus whatever rate you want to adopt

[43:51] on right that dollar amount.

[43:58] There's so many scenarios, it's hard to create one graph for all the variations.

[44:04] We'll figure something out. >> So, so on the tail end of the bills

[44:10] where you're supposed to either get 1% or $300 max.

[44:14] » Uhhuh. Yes. >> Where is that coming off at?

[44:20] » That's coming off your final bill. You're you're I I get that, but it was

[44:24] never calculated any place in what we are expecting

[44:28] » on the abstract. That was never done anywhere.

[44:32] » So that says that's just the net loss. Whatever those are all added up is what

[44:37] we're just not going to get. But we don't know what that figure is yet.

[44:41] » I don't know.

[44:45] » I know they'll have it on the tax bill like coming off the end on the abstract.

[44:49] I don't know. I don't know if I know >> collectively,

[44:53] » right? >> That's going to have a big impact if we

[44:56] think we're gonna get, you know, X million and it winds up this takes off.

[45:00] » Yeah. >> I mean, it probably won't take off all

[45:02] that much. It's more $300 >> per property, but still

[45:05] » and even less than that. >> It's not even per property.

[45:09] » So, I mean, I' I've looked at mine and mine 10% would be $72 for my property.

[45:15] » Yeah. But when you had a whole bunch of 72 or you had a bunch of 300.

[45:20] » Yeah. >> I mean pretty soon you're talking about

[45:22] real money, >> right? For that

[45:25] » but I just didn't um we actually

[45:31] let me get with you after the meeting. >> Yeah,

[45:34] » the DGF actually has a uh estimated number. They released a sheet and I'll

[45:41] pull that up for the fact. Yeah. But I don't know if they'll surely they'll

[45:46] have that number in the abstract, I would think. But I'll have to I'll check

[45:50] on that because you have to know how much you're

[45:54] going to collect, right? >> But what you're going to collect

[46:02] Yeah. You're

[46:06] » also have to know what you're going to distribute. That's pretty

[46:09] » Yeah. dealing on the second.

[46:13] » Okay. I'm sorry.

[46:20] » I'll I'll pull it up here after we're finished.

[46:23] » Okay. Carrie gave me a list of questions. Sorry he couldn't be here.

[46:27] » That's all right. >> So, first one, uh, we have projects

[46:30] planned. Is there concern over using edit dollars to complete these projects

[46:36] debtree? for example, the um you know they have the

[46:41] » parking garage >> park garage is that

[46:44] » and as of what I have in here now no there's no concern now if there's been

[46:48] additional I still don't think there would be concern but um I have

[46:55] let me look at my capital >> so in other words you had one page that

[46:59] we didn't go over that had the capital >> if you go to

[47:03] » edit funds for the county commissioners >> if you go to the capital improvement

[47:08] plan tab on the very left. >> So the the tab

[47:14] » got there.

[47:19] » Thank you. >> Yeah, no problem.

[47:22] » Uh >> so you

[47:26] see the commissioners department. Oh yeah, I'm sorry.

[47:32] » So you see the commissioner's department at the top.

[47:34] » Yeah. Um that's how much how many total dollars I have for commissioner's

[47:40] capital built into the financial plan. But then if you go to the table below

[47:44] that you can see uh general fund commissioner department you can see the

[47:49] dollar amount by year edit department. >> I've got 7 million and 26 and six and a

[47:56] half and 27. >> Okay.

[47:59] » Built in. And >> does that make sense?

[48:02] » Yeah it does. >> Okay. Um, and then so that's all I have

[48:06] for now. That's what I'm saying. Like there's more than that. There could be.

[48:10] Um, >> so that does include the parking garage.

[48:13] » Yes. >> Okay.

[48:15] » And then not to I don't want to uh confuse anybody, but

[48:21] you go to >> But what you have on there is because

[48:26] commissioners have a capital improvement plan and that's given you.

[48:29] » And I'll ask you. >> Yeah.

[48:32] » Correct. And I'll ask you again if there's been any updates or anything

[48:37] because it's a threeyear plan. So >> yeah,

[48:40] » next year or amended depending on what's going on.

[48:44] » Yeah. >> Then the other unknown is what it's

[48:47] going to cost us to fix this building. >> That's another question.

[48:51] » That's coming up. >> Okay. And then in that regard, what did

[48:55] he ask about that? Um pros and cons of using rainy day. Okay. for the

[49:03] repairs is do you see a pro or well the repairs that that they're talking about

[49:09] is there a benefit of using either the rainy day funds or edit funds for that

[49:14] do you see any >> I think

[49:17] I think let's get the numbers and then see where the best is what is my opinion

[49:24] so if you uh if you look at page 29 in the financial plan Um, it's behind the

[49:32] capital improvement fund ad

[49:44] » that is the that is the edit fund and as you can tell I have the capital

[49:51] uh so between the two green lines is 2025 and then I have 2026 through 28 to

[49:57] the right >> and you can see the red. That's the uh

[50:02] how much the fund's going to spend down in those two years because of the

[50:05] capital I have for the commissioners. >> Okay.

[50:07] » But you can tell if you look at the very last line at the bottom, you can see the

[50:10] cash any cash balance. So, no, that's a good use of edit funds in my opinion.

[50:16] » Okay. >> And I would keep it in edit

[50:19] » if if we can afford it. >> Yeah. I mean, I it just depends on what

[50:24] the dollar amounts are. >> Okay.

[50:28] Yeah, >> I wanted to show you that fun too

[50:30] because I have all these funds in in this binder that you can look at.

[50:35] » He has a question mark but I think you've answered this. No change in edit

[50:38] dollars till 2029 when must be established. That's what the question at

[50:43] will basically ask. And then um projections for receipt oh projections

[50:51] for receipts of edit funds 2026 2027. That's you already put that in. Yeah.

[50:58] So, >> see the green in that graph?

[51:02] » Yeah. Yeah. >> That's a projection. I'm just using 3%.

[51:06] » Okay. >> It's not like really detailed projection

[51:09] or anything. I'm just assuming 3%. Um, >> so in other words, even though like we

[51:15] have budgeted $4 million in the 2026 for the parking garage, because our edit

[51:21] funds, in other words, it's going to still stay flat what we have available

[51:26] because of the money we're bringing in, the revenue we're bring.

[51:29] » You haven't Yeah. You haven't changed the rate. So, the amount of revenue,

[51:32] it's going to it grows typically every year, but it's going to stay flat.

[51:36] » Okay. >> Yeah.

[51:38] » Um, yeah, about that. just repairs 750 budgeted and additional 750K in 2026.

[51:50] » Maybe I should just show you. >> You can email me. Yeah. Question.

[51:54] » Okay. Maybe I'll just I tried to figure out how to send this.

[51:57] » I typed it up because I can't. >> Oh, okay. Oh, well then I'll let Marsha

[52:02] be in charge of this. >> Oh, no.

[52:05] County general fund. He wanted to know what would be considered a conservative

[52:09] balance. County General itself

[52:12] » Rey Financial recommends 50%. >> 50%.

[52:15] » But you guys are above that. I mean, >> yeah.

[52:18] » So, you got to write Nick take notes on this for me.

[52:23] » And the reason we >> the reason we use 50% number is because

[52:27] property taxes are received June and December, you know, every six months.

[52:31] » And then the same with the edit fund. uh edit fund can different counties use

[52:38] edit funds for different purposes. If you're using it for capital purposes,

[52:43] capital funds, we just try to balance the cash and you know it depends.

[52:49] Sometimes we'll try to build cash if you have a bridge you need to pay for,

[52:52] right? And in four years we'll try to build cash up to that point. But if

[52:56] you're using edit fund to pay operational expenses, then 50% cash

[53:01] balance >> and there are some operational expenses

[53:03] there. Yeah, I know insurance in the past.

[53:06] » Yeah, but

[53:08] » you have multiple options for insurance where you pay it from.

[53:23] » I think most of these are just statements like the justice building

[53:26] repairs. Um, we have to do a Brook here pretty soon. So, 750,000.

[53:32] Um we're looking at that fund that is in uh CCD I believe. Um

[53:40] » so CCD is another one that >> because we have it we have this year

[53:46] 2027 we have 750,000 in there. We are increasing it 250,000 year over year to

[53:53] cover expenses for the justice building courthouse repairs. Yes. So we would use

[53:59] part of it possibly at the end of this year and what is in there for 2027

[54:05] because of that expense. >> Yeah. CCD let me check something with

[54:15] CCD is one that continues to you still have you have $5 million in there but it

[54:21] spins down every year. So you're that's a good use of that for now. If you want

[54:26] to use the CCD fund, you can. Now, if you were a county that had 200,000 in

[54:31] your CCD, I would recommend moving it to edit, right? It just kind of kind of

[54:35] have to balance where you have cash reserves and where you can spend it.

[54:40] » Yeah, I think that's okay. So I think the way that conversation went and that

[54:46] guy came and I remember Joanie was the one that asked what would we need a year

[54:52] to make improvements in that year. Mhm. >> So, I don't think that it was ever

[54:58] intended that it would be done the way it's been being done in all

[55:05] honesty because in the end you're going to wind up with

[55:12] if you were given $250,000 in one year said fix whatever you can fix with that,

[55:17] whatever you didn't spend in that year might be able to be moved forward to the

[55:21] next year and then you'd get another 250 plus what you didn't spend back there.

[55:26] » But I don't know that it was ever intended to double on itself and add 250

[55:31] to it every year. >> The end was supposed to be because it

[55:34] took us $2 million to fix out of our money. And Joanie asked the question,

[55:40] what would it cost every year if we kept up the maintenance? What would it cost?

[55:45] That answer was $250,000 based on his his estimate.

[55:49] » An additional 250 every year, I would think.

[55:52] $250,000 this year, $250,000 next year. Okay. 50,000.

[55:57] » But what they wanted to see happen was to cover like the Justice building um

[56:03] the money that we use for the renovations for that. You know, they say

[56:07] we replace a carpet like that in a building like this every six years. So

[56:12] they wanted to be sure when we got to six years that money was sitting there

[56:16] in the pot. >> Yeah. So that's how you're building it.

[56:21] Yeah, >> I like just okay, let's do a capital

[56:25] plan. Let's just do every six years it's going to cost this much and then that

[56:28] year we budget it. You know what I mean? Instead of

[56:31] » carrying it o carrying over appropriations like interesting

[56:34] » with people at that point in time. I don't know that that was the appetite

[56:38] because nobody liked that we had to have that big of a chunk of money all at

[56:41] once. >> So that's why

[56:45] » personally just tell me what you want to do. And now instead of doing

[56:51] those maintenance things on a more regular basis, I doing great keeping

[56:58] stuff fixed >> and and addressed and I think that may

[57:03] work itself out. >> Well, it's the active approach rather

[57:07] than reactive. >> Yeah.

[57:10] » Then you're bound to be better and fix it.

[57:15] It's funny. What line was that in the CCD?

[57:20] » Uh, it was

[57:25] » the question the question about the tax loss from the credits. I found that on

[57:31] the gateway. >> Yes.

[57:33] » And it's like 6.9 million. >> So that's not terrible. $7 million in

[57:41] the big scheme. That's a lot of money.

[57:46] Is that the estimate tax cap estimation sheet?

[57:49] » It's the it's the um total tax credit. >> Oh, okay.

[57:57] » Okay.

[58:05] » I mean, sorry, CCD. >> CCD.

[58:09] » Okay.

[58:13] Did you answer that? Am I interrupting? >> Well, I'm gonna I'm gonna ask for

[58:18] capital request. You guys can fill that out.

[58:22] » I think that's

[58:28] pretty much what this word.

[58:31] » Yeah.

[58:35] » Thank you. >> Yeah, no problem.

[58:39] No problem. Thank you. >> Thank you so much. Very interesting.

[58:43] » Good job.

[58:54] » Um, let know in the meeting. I reviewed what

[58:58] was sent and I will also watch the meeting.

[59:06] I'm gonna pull up the DJs estimated tax. >> Yeah, because I I just looked at the the

[59:15] credit detail.

[59:31] » Green tea. green tea. >> Yeah,

[59:33] » I do too. >> Because I used to do the coffee

[59:40] like >> quit drinking.

[59:44] » Yeah, I don't do fruit coffee just like

[59:53] » Yeah, no problem.

[59:58] Yeah, >> I have a couple questions for you and

[1:00:01] I'll email you for redevelopment purpose.

Reedy Financial Session 3/31/2026

Transcript