On Tuesday, several Kane County Board members lamented the county’s budget woes – and began to make suggestions for the future – at the first board meeting since the county’s proposed sales tax referendum put to voters on April 1 appears to have been shot down.
Unofficial results of the 0.75% sales tax referendum show the measure being defeated dramatically, with “yes” votes at less than 25% on election night with all precincts reporting. A number of county board members advocated for the ballot measure in the lead-up to the election, proposing it as a solution to the county’s impending funding shortfalls.
But now, without the promise of the more than $50 million in revenue the tax was projected to generate annually, the county is faced with decisions on spending, workforce reductions and revenue sources – all in time to begin making next year’s budget.
Kane County Board Chair Corinne Pierog first brought up the referendum at Tuesday’s meeting prior to the public comment period, saying that the recent imposition of tariffs under the Trump administration and now a lack of revenue from the sales tax referendum “will significantly influence Kane County’s budget through the interconnected factors involving local industries, consumer prices, economic growth, revenue resources and federal funding.”
Pierog suggested that tariffs on imports like steel and aluminum could increase production costs for local manufacturers, local farmers could face reduced market access and less ability to export goods and consumers could see higher costs for imported goods. Reduced spending in the county because of higher prices would then reduce the county’s existing sales tax revenue, she noted. This is coupled with continued uncertainty over federal funds, which has arisen as a concern at prior county board meetings.
The county’s financial situation has been a subject of debate in recent months. Without significant cuts or a new source of revenue, Kane County is on track to dip into its required 90-day general fund reserves for the 2026 budget, officials have previously said, assuming spending levels remain similar to the 2025 budget passed in November. The county has been using millions of dollars in general fund reserves each year since 2023 to balance its budget, according to past reporting.
“Last year, we had a budget of $139 million,” Pierog said. “We brought in, in revenue, about $115 million. The rest of it was backflowed by funds that are now depleted.”
Pierog said that, without the passage of the referendum, cuts are going to be necessary.
“We have to be realistic and proactive in our planning, along with strategic budget adjustments including, unfortunately, potential reductions in workforce and programs,” Pierog said at the meeting. “We will be challenged to support the needs of our residents during these uncertain times.”
At the meeting, District 15 board member David Young, who voted against putting the referendum question on the ballot in September, noted that the future of the Trump administration’s tariffs is uncertain, and that the intention of them is meant to increase manufacturing and economic growth in the United States.
“I hope it (the tariffs) works out in the long-run, but in the short-term, we have people that were getting ready to retire next month,” District 8 board member Michelle Gumz added on Tuesday. “We have people that are going to be losing their jobs next month.”
Several county residents also addressed the referendum at the public comment period of Tuesday’s meeting, discussing the results of the vote and airing concerns about the amount of funding being allocated toward SAFE-T Act requirements.
A few board members also took the podium to talk about the county’s budget concerns.
During public comment, Young offered a list of Department of Government Efficiency, or DOGE, cuts being enacted by the Trump administration at the federal level, suggesting that Kane County also needs to make cuts to the same effect.
District 4 board member Mavis Bates, who had been a vocal supporter of the referendum question, said there is “little waste in Kane County to cut,” saying that “the tax-haters came out loud and strong” in the election.
Gumz also spoke during the public comment period about impending funding concerns, particularly for public safety expenses, which were the departments set to receive the funding that would have been generated by the sales tax. She said that “the responsibility of this challenging financial moment does not fall on Democrats alone” because the board has approved budgets in previous years with “nearly unanimous support” that have led to the county’s current financial situation.
She advocated for avoiding workforce reductions as the county moves toward making cuts.
“If cuts must be made in the next budget, be specific,” Gumz said Tuesday. “Tell us exactly where. But please do not balance this budget on the backs of the very people who make this county run.”
In the past, board members have floated numerous ways to fill the gap, according to past reporting – from cutting between 100 and 150 employees to eliminating funding for all vacant positions (essentially creating a hiring freeze) to cutting spending.
The county has already delayed beginning its budgeting process for next year to wait for the results of the referendum, officials have noted at previous meetings.
Going forward, county board members are set to begin considering cuts and the budgeting process at meetings in the next month, District 12 board member Bill Roth told The Beacon-News after Tuesday’s meeting. The county board has to approve its budget for next year by Dec. 1, the first day of the county’s fiscal year, according to past reporting, but must approve a draft budget before then.
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