Budget numbers may be inflated, supervisor says

MARENGO — Tightening budget requests from county departments could keep property tax increases in Iowa County under 5% for the next fiscal year.

Iowa County Supervisors are asking some department heads to explain why their budget requests are significantly higher than their actual expenditures.

Supervisor Abby Maas said during Friday’s meeting of the county Board of Supervisors that she noticed a huge difference between what some departments are asking for and what they’ve spent in the past.

Paying for all of those requests would increase property taxes by more than 11%, she said, something Supervisors say they will not do.

Maas presented tables and graphs showing actual expenditures from 2022, 2023 and 2024, the average expenditures for those years and what the departments have requested for the next fiscal year.

Departments are over-budgeting, said Maas. If they are more accurate with their numbers, the county can ask taxpayers for less money.

Public Health has spent less than $500,00 in the three fiscal years before FY2025 and averaged $475,000, according to Maas’ numbers. Yet the department is asking the county for $731,000 for FY2026.

“They’ve lived off of just over $500,000 a year on average, but they ask for more than $700,000,” said Maas.

If they budget too low, they might not have the money they need, said Supervisor John Degen.

They’d have to do a budget amendment or just live with what they get, Maas said.

“They’ve never spent that much,” said Supervisor Chris Montross.

Numbers for the ambulance department included money for a new ambulance, yet expenses were at $674,000, $1.0 million and $718,000, but this year the department is asking for $1.29 million.

Maas said she knows wage increases and increases in health insurance will increase a budget, “but is there a way to dial this down?” she asked. Maybe $200,000 less.

Iowa County Conservation has spent $283,000, $409,000 and $393,000 in three previous fiscal years but is asking for $571,000, Mass said. Could the county cut that to $500,000?

Montross, who sits on the conservation board, says he’s sure that won’t be a problem.

Supervisor Seth Meyer said the courthouse budget could be cut as well. Average expenditures have been $553,000, but the ask for FY2026 is more than $200,000 higher.

“We’d have to sit down with department heads,” said Maas. They might have specific reasons for asking for a substantial increase in their budgets.

But Maas suspects they are budgeting for worst-case scenarios, and that has to stop, she said.

The county tries to keep a balance of 18% of its expenditures on hand to start each new fiscal year, but the actual number is usually much higher, said Maas. The county is projected to have 30% at the end of this fiscal year.

The money left over each year is used in the following year’s budget. Cutting the money this fiscal year will give the county less to start the next fiscal year with, said Supervisor Jon Degen.

But the county will need less money if it uses accurate figures rather than padding the budget, Maas said.

Supervisor Kevin Heitshusen warned against cutting budgets too closely. Departments need a cushion for unexpected expenses, he said. He suggested trying it for a year to see how it goes.

If the county cuts $71,000 from what Conservation is asking, $200,000 from the public health budget request, $186,000 from ambulance, $100,000 from the courthouse, the county can keep a property tax increase around 6% and still give 2 1/2% pay raises to non-union employees and continue paying insurance premiums for employees, Maas said.

Transportation budgets $150,000 but spends only $50,000, said Maas. Supervisors could cut a few dollars there, too.

Supervisors will discuss cuts in requested budget amounts with department heads this week. They may have a reason for asking for more money, said Degen.

“It’s not taking them down to the wire on anything, said Maas, but if the county can get the budget increase down to $400,000, the property tax increase could drop below 4.8%

The county attorney, auditor and recorder all come in near budget, Maas said.

The treasurer’s budget typically underestimates revenues, said Maas. In fiscal year 2024, the treasurer returned more than $373,000 to the general fund, she said.