County Administrator Bobbie Hillery presented the current draft of the 2025 budget at the September 10 board meeting. She detailed added cuts that have been agreed to by department heads. Hillery said, “Department heads did a great job.”
The latest numbers show an increase in the levy of $4.48%, or $588,238, over 2024.
Sheriff John DeGeorge and Chief Deputy Lance Boyum were comfortable with the suggested cuts totaling $93,000 from the Sheriff’s budget. County engineer Ron Gregg and office manager Pam Schroeder agreed to cuts totaling $113,000 from the Highway budget. A part-time staff adjustment in the Sanitation department saved more than $13,000. Many of these adjustments were made looking back at expenses over the last five years to make a determination of funding needed for budget items like fuel, overtime salaries, and more. Hillery maintained there still will be a cushion in these areas.
The cost of health insurance rose 7.65%, much less than the potential 30% figured into early budget drafts.
The county holds $150,000 in an operating expenditure account (contingency fund). Chairman Duane Bakke felt the budget number presented was a responsible number. No action was taken this day on the 2025 budget. The board will need to approve a preliminary 2025 budget at their next meeting.
The discussion moved to future funds that will be needed to update equipment like the trash compactor and buildings at the recycling center. Bakke said this is the next capital improvement the county will need to make. “We will have to bond for these improvements if we can’t get grant funding; solid waste needs to be a priority.” There is no reserve fund for these improvements. Hillery said they could start setting aside funds in a reserve fund. The board asked her to look into what resources are available (grants and loans).
The revenue coming in from solid waste is not keeping up with expenses. Hillery noted it costs the county to get rid of recyclables. Commissioner Marc Prestby said the county needs to raise their rates. Commissioner Mitch Lentz agreed rates need to be raised so we are not losing money.
Other Business in Brief
•A letter regarding rural recycling sites has been drafted and is to be sent to Harter’s Quick Clean Up. There continues to be issues at remote recycling centers. The letter reminds Harter’s that the contract with the county states they are responsible to collect recyclable materials at least once per week. The agreement also states that materials left at these drop-off sites which are not acceptable for recycling will be properly disposed of by Harter’s.
The letter notes sites have not been left litter free. Also, the county has had to dispose of items not acceptable for recycling.
•Finance Director Christy Smith reported that a $200,000 CD held for seven months at First National Bank in Spring Valley is maturing. The interest earned is about $5,850.
Smith recommended the funds be reinvested into MAGIC (Minnesota Association of Governments Investing for Counties) for six or twelve months. The board approved the reinvestment into MAGIC for twelve months at an interest rate of 5.3%.
•A public hearing will be held at the September 24 meeting on the five-year Capital Improvement Plan for roads and bridges.
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