Why This Measure Matters​

This measure helps Skagit County ensure we are being effective stewards of taxpayer dollars while maintaining public trust and funding essential services without reducing our reserve fund balances or accumulating unsustainable debt. 

Tracking the actual expenditures compared to revenues for the general fund is critical for controlling our most flexible source of funds and maintaining financial health for the organization. If the actual general fund balance becomes significantly different than the adopted budget, then we need to evaluate how those budgets were calculated in the future and if changes need to be made in the short term to maintain our financial sustainability. 

What’s the Story?​

Skagit County continues to face a significant structural budget imbalance. If the 2027 budget were adopted with the same service level as 2026, grown with inflation, current projections indicate there would be an approximate $10 million deficit in the General Fund for 2027. This deficit is not the result of a single decision, department, or economic event, rather it reflects a continuing trend in which expenditure growth is outpacing sustainable revenue growth. The County will be evaluating long-term sustainable changes to services and programs to ensure financial stability. In 2025 and 2026, Skagit County eliminated 94 staff positions, implemented voluntary furloughs and a permanent hiring freeze, offered an incentive for voluntary separation that directly resulted in a budget savings, and eliminated or reduced discretionary programs; however, these reductions are not sufficient to overcome the limited revenue available to county governments for operations.

Target

Maintain desired reserves and a healthy balance of county expenditures and revenues, with actual under budget.

Reporting Frequency​

Annually