Where does Hays County’s $354 million budget go?

In September, the Hays County Commissioners Court adopted a $354 million budget for fiscal year 2023, a 7.5% decrease from the year prior. The court also adopted a “no new revenue” tax rate of $0.3125 per $100 valuation, which was the lowest county tax rate since 1989.

The new tax rate was significantly less than last year’s $0.3867 rate, dropping by $0.0742 in an over 19% decrease. This is a remarkable tax cut for residents in Hays County, which has been recognized as the fastest growing county in Texas and the U.S. among counties with populations of 100,000 or more, growing over 53% in the past decade.

Although this growth increased needs for additional personnel and infrastructure, county budget officer Vickie Dorsett said the resulting increase and surplus in property taxes helped the county to lower its rate.

“Hays County has continued to experience a high growth rate,” she explained. “New improvements  added to the tax roll were close to $2 billion [this year], which generates additional revenue as well as increases in property valuations.”

Dorsett said establishing the lowest tax rate in more than three decades was challenging, but she said she is proud of the work performed to still provide the services county residents expect and continue the county’s road and parks bond programs.

“We believe it is a major accomplishment to adopt a balanced budget at the NNR rate and still provide a high level of service for Hays County residents,” she said. “This budget also allows us to offer increases in salaries for both law enforcement and civilian positions.”

The FY 2023 budget includes $3 million for personnel to create the new 483rd Judicial District Court with assistant district attorneys and support staff; to create parks positions for the new Sentinel Peak Preserve; and to hire additional school resource officers, elections staff, administrative staff and road staff. Forty-seven positions (that had been vacant for six months or more) were removed from the budget to help offset these expenses by $2 million in savings.

While the exact amounts for most individual salary increases are still under consideration, the funds budgeted for pay improvements are equivalent to approximately a 6% increase on average, according to Dorsett.

“The county is currently undergoing a salary study for civilian staff,” she said. “The court will determine how to administer the funds once the study is complete, which could be increasing the minimum salaries for positions, merit or cost of living increases or a combination of these.

New beginning salaries for law enforcement positions within the Collective Bargaining Unit have already been decided. with approximately a 9% increase on average.

The commissioners court also included $2.6 million for salary adjustments for civilian staff and department heads to implement a market compensation study currently underway.

Approximately $2.2 million was included for new and replacement equipment to support current and newly created positions and services throughout the county. An additional $13.3 million was included for capital improvements to the Hays County Jail, multiple public buildings, park improvements and flood mitigation efforts as needed.

Hays County continues to support local agencies through funding received from the U.S. Treasury as part of the American Rescue Plan Act. Approximately $15.3 million in ARPA funding is included in the FY23 budget to support the Hays-Caldwell Women’s Center, Emergency Medical Services and Emergency Services Districts, among others. The ARPA budget also includes funding to establish a Public Defender Office, to provide additional magistration for those being held in the county jail and to create a Mental Health Specialty Court.

The budget also includes $58.5 million for the voter-approved Hays County 2016 Road Bond projects. Approximately $23 million is included for the voter-approved Hays County 2020 Park Bond Program for park improvements, open spaces, conservation lands and other recreational opportunities.