County balances preliminary budget but more work needed in upcoming weeks

Kootenai County is shooting for a zero percent property tax increase in the coming year’s budget and commissioners are confident they will adopt it.

The county’s current $101.6 million budget will likely increase for the 2021 fiscal year, but the $49 million received from property taxes will remain frozen, Commissioner Chris Fillios said.

Despite the property tax freeze, fee increases, an uptick in grant money and tax increment financing may add new revenue to the budget.

“We can still take new growth into our tax rolls,” Fillios said.

The tax freeze is a result of Gov. Brad Little’s plan to provide property tax relief to homeowners. The $188 million state plan entails paying counties 3 percent more than the county’s reimbursement to law enforcement, fire and medical personnel for COVID-related lost wages.

Commissioners said they had no plans to raise taxes on homeowners, but announcement of the governor’s program made it imperative.

“We were headed in the direction, anyhow,” Fillios said. “We can raise the budget, but not the property tax component.”

Although the county tentatively balanced a preliminary budget, several hitches exist.

Commissioner Leslie Duncan said she is opposed to adding cost of living increases for county employees to the fiscal 2021 budget since much of the rest of the county — including business owners and furloughed employees — are still working through hardships.

Commissioner Bill Brooks disagreed.

”We need to keep up with the COLA,” Brooks said.

Although the Idaho Supreme Court approved paying two new magistrate judges for Kootenai County, their staff will be paid by the county and is included in the latest budget proposal.

Commissioners said it was still too early to release a dollar amount for the 2021 fiscal budget because of the unknowns that include solid revenue numbers and health insurance costs.

The county has frozen adding new positions for the time being, commissioners said although prospective employees in the latter stages of hiring won’t be denied.

“We will honor those,” Fillios said.

Commissioners hope to have a firm hold on the latest budget numbers by mid-July.