Commissioners See Only Two Options: Cut Services Or Raise Taxes

By Reagan ConnellyFew subjects are more contentious in Nebraska politics than property taxes. For local governments struggling with ever-increasing inflation, as well as the ongoing staffing shortages that also currently plague the private sector, they find themselves caught in an untenable position.On Tuesday, July 5, Jefferson County Commissioners discussed setting the budget for the next fiscal year. Commissioners made very clear they have exactly two options: raise the tax levy or cut services.Facing rising inflation and competitive pay in other counties and private entities, the commissioners are struggling to find a way to recruit and maintain a quality workforce without raising Jefferson County citizens’ taxes.After the union contract was signed last week, the Sheriff’s Office will be getting a raise this year. The Highway Department is also expecting a raise this year.However, as previously reported by FJN, the ever-rising cost of fuel as well as supply chain issues have also put a strain on the budget.“The budget will be especially challenging this year,” said commissioner Gale Pohlmann, echoing sentiments raised by all three commissioners on numerous occasions. Pohlmann cited inflation as the driving factor behind the challenge.“We are in competition for our services,” Commissioner Mark Schoenrock said.“Wages are going up as inflation gets higher and higher and higher,” Commissioner Michael Dux added.“We have to plan this budget like it’s a normal year, but we have to include these increases,” Pohlmann said. “We know that the Sheriff’s Department and Highway Department are going to be higher.”Pohlmann added that if the commissioners were to make a blanket requirement that each department can only increase their budget by five percent, including labor costs, it might control some costs for most departments but it would not work for the Highway Department nor the Sheriff’s Office.Pohlmann said. “It might work here in the courthouse but it’s just not going to be a blanket thing that’s going to work out. There are too many things working against a couple of our departments.”Pohlmann also noted that the increased wages in the Sheriff’s Office and the Highway Department may lead other departments to expect a raise as well.Pohlmann said that he had crunched the numbers to discover the result of this course of action. If each department were to get the same wage increase, it would cost the county $9,421 more each pay period, Pohlmann said.This increase would result in costing the county $286,000 per year in labor costs alone. This increase would of course increase property tax in Jefferson County.Ralph Tate, a Jefferson County resident who attended the meeting, asked the commissioners, “Do you realize the state and local tax burden in Nebraska is the 12th highest of all 50 states?”Tate asked. “And do you realize that the property tax rate that we charge in Nebraska is the 4th highest in all 50 states? So, the idea of raising property taxes, from my perspective, is a nonstarter.”“What’s your solution if you don’t want to do that?” Schoenrock asked Tate. “What services do you want to cut?”“My priority would be safety,” Tate said. “However, I would suggest that we get creative in our use of our current resources.”There are limited sources of alternative funding for the county. One possible sources of additional tax revenue are wind farms. Much of that funding would go towards schools. However, there has been strong opposition to any further wind energy development in certain quarters. Danielle Schwab, an opponent of wind farms, sent a text message to commissioners during the meeting, “I know you don’t want to hear this…but people from the bigger cities (California, NY) move here for the peace and quality of life…adding giant (90 + 500-600ft commercial (sic) wind farms) is not gonna draw people to move here.”Commissioners have expressed frustration in the past at the lack of community involvement in the budget process. The commissioners hold a meeting open to the public four Tuesdays every month. They have all states that they would like to see more attending these meeting and offering suggestion. This year, that will be especially important if citizens want to have input as to what services do and don’t get cut, or how much the levy goes up.

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