By Randy Picking
Tuesday morning Saline County Administrator Matt Stiles recommended actions for the Saline County Commission concerning the 2027 Budget.
Due to the meeting schedule and statutory deadlines, the Commission must determine whether to authorize notification of intent to exceed the Revenue Neutral Rate (RNR). The RNR notice must be returned to the County Clerk by July 20, 2026.
For budget year 2027, the Revenue Neutral Rate is 38.724 mills. The proposed needed tax rate is 42.142 mills. To meet the RNR rate, the proposed budget would require reductions of expense or additional revenues totaling $2,597,694. The RNR is the mill levy that would generate essentially the same amount of property tax revenue from theexisting tax base as was levied the prior year. In general, when assessed valuation increases, the revenue neutral rate decreases because a lower mill levy is needed to produce the same amount of revenue.
Adopting a mill levy above the RNR means the county would collect more property tax revenue from the existing tax base than in the prior year. The RNR applies to the jurisdiction’s total property tax revenue and does not determine whether an individual property owner’s taxes will increase or decrease.
The property tax requirement in the budget is based on proposed expenditures, offset by other available revenues. Final assessed valuation is not certified until November, so the final mill levy will be adjusted at that time to generate the amount of property tax revenue adopted in the budget.
For 2027, assessed valuation is currently estimated to increase by $17,555,824, from $742,434,948 to $759,990,772, or 2.4%. Proposed expenditures are estimated to increase by $830,183, or 1.3%.
The commission on a 5-0 vote, approved to publish a notice to exceed revenue rate at a suggested amount at 42.142 Once it's published you cannot exceed the amount published but could reduce the final levy amount.
Stiles also recommended the commission set the combined Revenue rate and budget hearing September 1st at 9am.
Stiles suggested discussing potential options before the hearing date. Reduction in services or other financial action would require a majority action.Stiles also recommended monitoring financial conditions for the rest of 2026 and modify actions as needed.