Oconto County will rely heavily on its reserve funds to retain its debt-free status for a fourth consecutive year. The Oconto County Board on Thursday unanimously approved the 2014 county budget.
“The Finance Committee did a great job in better years putting money away for a rainy day. But we are now at that rainy day,” said Kevin Hamann, administrative coordinator. “We can use the general fund balance for maybe another year or two, and then it’s going to dry up.”
The county tax rate, or mill rate, will increase 1.5 percent, to $5.227, from $5.149, per $1,000 assessed property value.
The tax levy will increase from $17,987,812 to $18,168,492, up 1 percent from last year. The county’s equalized value dropped about $18 million from a year ago.
The county will draw $7 million from its reserve funds, with $4.7 million for one-time spending and $2.3 million for ongoing operations.
Helping to keep the county tax hike to a minimum, $530,400 will be transferred from the Highway Department fund to the general fund. Another $760,000 will be applied from the general fund to help reduce the property tax levy.
County expenditures will jump 13.47 percent in 2014, largely due to the $3 million set aside for the proposed law enforcement facility. Higher employee compensation, operating costs, workers compensation and property insurance rates are also adding to the increase.
Offsetting the expenditures are increases in state and federal aid for child support, land conservation, Health and Human Services and delinquent tax revenues, raising the total revenue amount 10.1 percent.
The distribution of taxes for a property valued at $100,000 will be about $178 for public safety, $144 for Health and Human Services and $100 for the Highway Department.
Looking forward to 2015, the county will need to consider a significantly decreased fund balance available to offset any cost increases, Hamann said. Operating costs, such as personnel, fuel and utilities, are expected to increase, he added.
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