2027 Tax Rate Options

A 5‑Cent Option for the Board to Consider

FY2027 is a challenging budget year for Warren County. The Board has already adopted a spending plan that reflects years of deferred needs, many state mandates, and external cost pressures. The remaining question is how we fund that plan in a way that is fiscally sound and fair to residents and businesses.

The maximum advertised real estate tax rate for FY2027 is an increase from 0.479 to 0.579 per $100 of assessed value - a 21 percent increase, or about $350 more per year on a median‑valued home. Advertising that rate is required by law; adopting it is not.

I have prepared an alternative tax rate option for my Board colleagues and the community to consider. The full six‑page proposal can be downloaded above.

The core idea

• A 5‑cent increase instead of 10 cents:
  This option pairs a 5‑cent real estate tax increase (half the advertised maximum) with a four‑year "bridge" strategy that still funds the adopted FY2027 budget.
• A planned, limited use of excess reserves - taxes previously paid:
  Cash‑flow analysis over five years suggests that up to 10 million of the current excess reserves can be used over several years while still meeting the 15 percent reserve policy and maintaining a cushion above it. About 1.7 million would go to closing the annual operating gap created by adopting the lower rate; up to 8.1 million could support deferred capital projects (like roofs).
• Debt payments drop on the county's own schedule:
  The county's published debt schedule shows annual debt service falling by roughly 843,000 in FY2029 and nearly 3 million per year by FY2030 compared with FY2027, reducing the gap that needs to be bridged over time without new Board action.
• Board‑directed revenue efforts:
  The option assumes the Board will actively pursue:
  • A negotiated Valley Health community benefit agreement
  • Sales of county‑owned property that is not serving an ongoing public purpose
  • Measurable returns from the restored Economic Development office, whose mission is to grow the non‑residential tax base.

Oversight before new taxes

The proposal also suggests two oversight steps that could help strengthen public confidence before any new tax increases are adopted:

• An agreed‑upon procedures (AUP) engagement by an independent CPA firm focused on the recurring audit issues since 2021, with clear findings and remedies reported to the Board.
• A review of compliance with the dedicated school meals tax, by obtaining from the Treasurer a list of all businesses that remitted the tax in 2025 (names only, no payment data), to help confirm that existing tax obligations are being met.

What this gives the Board

Adopting the advertised maximum rate would fully fund the FY2027 budget but would also lock in a 21 percent increase when future budget increases are not expected to be this big.

The option outlined here is offered as an additional path for the Board to consider: a smaller rate increase, paired with a defined use of reserves, scheduled debt relief, and specific revenue efforts, while preserving the county's reserve policy.

The full details, assumptions, and numbers are in the PDF linked above. My intent in publishing this brief summary and the full document is to give the Board and the public a clear, concrete scenario to weigh alongside the advertised rate.