Warren County government employees won’t receive any raises this year. Warren County commissioners said expenses have simply increased faster than revenue.Southern District Commissioner Hubie …
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Warren County government employees won’t receive any raises this year. Warren County commissioners said expenses have simply increased faster than revenue.Southern District Commissioner Hubie Kluesner said a mix of factors has contributed to the county’s financial situation.“We’re tight right now, but we don’t have any long-term debt, and we’re still able to provide the services we promised to citizens,” Kluesner said.The county has over $4.4 million budgeted for around 125 employees in 2018, nearly unchanged from last year.The county’s largest revenue source, sales and use taxes, have shown little growth over the last year, according to the county’s 2018 budget.Property tax revenue, on the other hand, has increased. The tax is projected to bring in $100,000 more than last year, despite a slight reduction in the actual tax rate. Commissioners attributed the increase to continued growth and development in the county.However, that gain is offset by a 20 percent jump in the cost of medical benefits for employees, which will cost Warren County an additional $160,000 this year. The county expects to spend almost $944,000 on medical benefits in 2018.The cost per employee increased by about $1,500.Commissioners said the county covers 100 percent of the cost of medical benefits for employees. But employees pay the cost for family benefits, and those costs will go up.The reason for the increase is that claims on employee health plans were particularly high last year, commissioners said.“We had massive claims last year. More than I’ve ever seen since I’ve been here,” said Northern District Commissioner Dan Hampson. “A number of individuals had very high medical expenses that were beyond our control, but it affects the entire group.”To help reduce the cost of medical claims, commissioners said the county’s insurance agency will run programs to educate employees about how they can reduce their health care costs while receiving the same services.There are some things employees can do, such as getting physicals and controlling chronic illnesses, that would help with costs. But major, unexpected medical costs are the reason insurance exists in the first place and are not in anyone’s control, Hampson said.Warren County could see some relief if voters approve a half-cent sales tax this April to help fund the sheriff’s department.County law enforcement, including the Warren County Jail, is slated in 2018 to receive $755,000 from the county’s general revenue fund, which pays for most other county services. Some, but not all, of that $755,000 could be freed up by new tax revenue.“The passage of (the sales tax) will ease the financial crunch,” said Presiding Commissioner Roger Mauzy.The hope for future years is that population growth in the county will eventually draw in new businesses and generate higher tax revenues, commissioners said.If revenues improve, commissioners said it’s possible employees could receive modest wage increases. In 2017, employees got raises of 50-70 cents per hour to make up for several previous years of wage freezes.But commissioners were hesitant to predict the future, especially when it comes to sales taxes.“The way county finances work, it’s pretty much year by year,” Kluesner said.Correction: A previous version of this story incorrectly stated Warren County pays part of the cost of family healthcare coverage for employees.Warren County Administration Building