Board OKs preliminary levy that includes more than $1.5M in cost shifts

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The Rice County Board of Commissioners on Tuesday approved a preliminary 2027 levy and budget with the levy 8% higher than this year, largely due to funding shifts from the state and federal governments totaling more than $1.5 million.

Changes related to SNAP (Supplemental Nutrition Assistance Program), the federal program which provides food benefits to low-income families, will cost the county an additional $560,000 in 2027, according to county estimates. About 70% of that will come from an increase in the share of administrative costs (from 50% to 75%) required of the county. The remainder is a new obligation for the county beginning in October 2027: a percentage of the SNAP benefits it issues.

State cost shifts for long-term services and supports that take effect on July 1, 2027, are anticipated to add another $355,000 to next year’s budget.

County officials have included an additional $600,000 in the budget following the August approval of new state rules that increase training and oversight for jail personnel. Sheriff Jesse Thomas says the new rules will require his office to hire five additional correctional officers.

The board also approved a preliminary 2027 levy for the Housing & Redevelopment Authority of $306,884. County Administrator Sara Folsted said the increase accounts for anticipated reductions in federal revenue.

Increased personnel, health care and fuel costs are also factored into the preliminary 2027 budget. Per state law, the levy can be decreased before being finalized in December, but it cannot be increased.

Although county staff, anticipating some of the funding shifts to mandated services, began looking at ways to cuts costs earlier this year, Folsted told the board Tuesday that that work continues.

“We know taxpayers are dealing with higher costs, particularly at the grocery store, the gas pump and for health care,” said Board Chair Charlie Peters. “Anywhere we’re able to cut – even a little bit – puts more money in residents’ pockets.”

A public hearing on the preliminary levy is set for 6 p.m. Thursday, Dec. 10, 2026, in the Rice County Government Services Building, 320 Third St. NW, Faribault. Approval of the final 2027 levy and budget is expected during the Tuesday, Dec. 15 meeting.