Shawano County is expected to borrow $3 million and use another $2.9 million from its general fund reserves to balance the 2026 budget, as approved by the executive committee Sept. 3.
The county’s mill rate will decline from $3.98 per $1,000 of assessed value to $3.72.
“Maintaining a consistent mill rate provides stability for taxpayers and positions the county more favorably if we pursue bonding for new buildings in the future,” said Nichole Zuehl, finance director. “A steady rate demonstrates fiscal discipline and helps strengthen our borrowing capacity.”
The budget calls for $1.2 million in capital projects and another $929,000 for proposed raises for county employees. The raise equates to a 2% raise in the fourth quarter of 2025 and another 3% in 2026.
Supervisor Tom Kautza was the only vote against the proposed budget, due to the suggested pay raises.
“I think we’re asking too much from the John Q. Public,” he said. “Explain why we’re giving out another raise. I’m not going to vote for it with the 2% in there.”
“Because we didn’t do it before,” said Supervisor Tess Serrano. “These people deserve it. Do you want to make this county the employer of choice?”
She said Calumet County pays correctional officers $4 an hour more than Shawano County, and potential employees will make that drive for that amount of pay.
Supervisor Kathy Luebke pointed out the lower mill rate even with the pay raises included. Kautza said because property assessments increased, the public will pay more in taxes even with a lower mill rate.
Serrano noted that the county has paid thousands of dollars for studies that show Shawano County employees are underpaid compared to surrounding counties.
“It’s never been done (correcting the wages),” she said. “Why wouldn’t you want to do what’s right? We’re so far behind it’s not even funny. Get these people where they need to be, so we have people pounding down our doors trying to get into this community as an employee.”
Supervisor Randy Mallmann agreed with Serrano.
“I hate throwing money at people. It doesn’t necessarily mean we’re going to get more productivity out of people,” he said. “But our problem right now is we have a lack of people, and that’s never going to get any better unless we’re willing to step up and pay them what we feel they’re worth.”
The county needs $21.2 million in tax levy dollars, and its allowable amount, in addition to bridge aid and chargebacks, is about $18.2 million. That leaves the county $4.4 million short, before adding in amounts for capital projects and proposed raises, and deducting amounts for a highway grant and using highway reserve funds.
Borrowing $3 million through a short-term loan will cost the county about $14,000 at 5.5% interest.
To balance the 2025 budget, the county borrowed $2 million.
A county policy requires the general fund reserves to total 20-25% of the following year’s budget (general fund, public health, human services and library). For 2026, that total is $46 million.
At the end of 2025, that fund balance is projected to be $14 million. By using about $2.9 million, the balance will decrease to $11.1 million, about 24% of next year’s expenses.
The proposed budget will go before the full county board in the fall.
kpasson@newmedia-wi.com
