BY MARK J. CRAWFORD
Rising costs and dwindling reserves are once again among the topics addressed during discussions of Bradford County’s next budget.
Finance Director Dana LaFollette presented a balanced but incomplete budget for 2025-26, one that will be impacted by spending and decisions made through the end of this fiscal year.
The budget is based on anticipated revenues and expenditures, as well as fund balances through the end of the second quarter, although the reserve amounts were adjusted to reflect the purchase of the fairgrounds’ debt in April.
Property tax revenue was based on the current 10-mill levy. Other revenue from state or local sources were based on the current year. Revenue from the fire assessment has not been added to the budget, but it will be following approval of the first implementing resolution the morning of the budget workshop.
The budget includes a 12.7% increase in the cost of employee life and health insurance, although rates are still being negotiated. It also includes a 3% cost of living raise. All department and constitutional office budget requests were included.
The budget totals $86.9 million. Of that amount $13.4 million is grant-funded spending, and $29.9 million is transfers out from the general fund, the fines and forfeiture fund, and the American Rescue Plan Act revenue, $3.9 million of which is going to the city of Starke’s utility extension project. More than $11.8 million are reserve funds used to balance the budget, including the general fund’s $9.48 million fund balance. But of that $9.48 million, around $7 million should remain set aside as emergency operations funding. That leaves a general fund reserve balance of just $2.4 million.
“For comparison purposes, last budget year, there was around $5.1 million in reserves after the $7 million Emergency Fund was established,” LaFollette said.
Chief Deputy Clerk Rachel Rhoden said even with the projected $1.6 million in new revenue from the fire assessment — assuming it reaches final approval — the fund balance from the general fund is still in decline. The new revenue slows the decline but does not eliminate it.
She reminded the commission that the fund balance in solid waste is also nearly spent, meaning in 2026-27, the board will have to transfer a half million dollars from the general fund to balance the solid waste budget.
One way to offset that and help the department break even would be to increase the garbage assessment again, according to County Manager Scott Kornegay. It previously went from $75 to $125 for households.
“Our reserves were growing and now, based on some major expenses and based on some new recurring expenses, our reserves are now starting to look like it’s declining. And I think that’s just important for us to report that to you all, so you can be aware of what our trend is looking like as you’re considering other budgetary matters,” Rhoden said. These include decisions over management and maintenance of the fairgrounds and a new youth recreation program. (See related stories.)
Speaking to other matters, Rhoden also said when the new fiscal year dawns in October, the clerk’s and manager’s offices need to meet and have a “very serious conversation” on what the budget will look like if the state eliminates property taxes, which could cut millions from the county budget and lead to serious cuts to services.
Kornegay said there’s a “glimmer of hope” that fiscally constrained counties like Bradford would be assisted. But “that’s just being optimistic,” he said.
Rhoden said commissioners should be prepared to have a conversation if the final fire assessment resolution is not approved next month. More than $600,000 was added to cover additional personnel for the fire station being constructed in Brooker. Without the revenue, cuts may be needed, she said.
Given the rising cost of insurance, Commissioner Chris Dougherty also revisited the idea of having employees contribute to the cost of their medical coverage. Currently they only pay for family coverage.
“I know I’m not the favorite person in the room for saying things like that, but I mean, we have to be real. I mean, because, again, some of these counties that even generate a lot of revenue. through their tourism or whatever else they have going on, they’re not offering the same benefit that we are,” he said.
For years, the benefit was used to balance the lower salaries paid when compared to other counties, Rhoden said. Now, with reserves being depleted and property taxes under attack, she said the county can’t avoid such conversations about cuts, with internal cuts coming before cuts to services.
“I don’t know how we can avoid it, even if it’s just a maybe not the full amount, but a small amount,” she said.
But Rhoden also said the insurance benefit does help reduce turnover. The clerk’s office has a hard time keeping employees after they’ve been hired and trained. They leave for higher paying positions elsewhere in the circuit, she said. Kornegay said employee turnover is a problem in many departments. The fire department has recently filled 19 positions.
Commissioners Carolyn Spooner and Danny Riddick said it would be difficult to lose the incentive without making things worse.
