Winneshiek County Plans for FY26 Budget with Lower Property Tax Levy and Focus on Essential Services

Strong communities start with trustworthy reporting—give to local news now! DECORAH — The Winneshiek County Board of Supervisors held a public hearing Monday to discuss proposed property tax levies for the 2026 fiscal year. The board approved and scheduled a budget hearing to finalize financial plans. The meeting included explanations from county auditor Ben Steines about how these changes would impact different taxpayers and why the county was able to lower its levy while maintaining essential services. Steines emphasized that the discussion focused only on the county's property tax portion, which accounts for about one-third of rural residents' tax bills and less than a quarter for city dwellers. The county levy will drop by roughly six cents per $1,000 of assessed valuation as part of an effort to create a more sustainable tax structure while addressing budget constraints. "If a property's value doesn't change and our levy rate is going down, taxes will actually decrease," Steines explained in response to a resident's question about their farm's potential taxes. Steines further elaborated that while this change benefits many residents, property owners should still review their assessments and consider the broader tax landscape to understand their final bills. However, the board noted that other taxing bodies—such as school districts, cities, and emergency services—set their own levies. For example, the Decorah School District's recent bond issue is expected to offset the county's reduction for some taxpayers. A follow-up public hearing to review the full FY26 budget was scheduled for April 28 at 9:30 a.m. The board unanimously passed a resolution to formalize the date. Additional budget details are expected to be released in the coming weeks, allowing residents to review projections before the final vote. Public Health Funding Debate Later in the meeting, supervisors debated public health funding, comparing Winneshiek County's $481,000 net expenditure to neighboring counties like Fayette and Clayton, which partner with hospitals for services. The discussion highlighted key differences in how each county allocates resources and the potential benefits of collaboration with outside providers. Supervisor Steve Kelsay suggested exploring agreements with local providers WinnMed and Gundersen Health to reduce costs, arguing that such partnerships could allow for significant savings without reducing essential services. "We owe it to our populace to pursue any possible savings," Kelsay said. Supervisor chair Dan Langreck agreed with Kelsay, stating that the supervisors should "urge the Health Board to move forward and figure out what could be done." Concerns were raised about maintaining non-mandated services, including radon testing, medical loan closets and confidential STI testing. Supervisor Shirley Vermace noted that cost-cutting measures could lead to reductions in these critical health services, disproportionately affecting vulnerable populations. "I don't want to see us lose any services in this discussion," Vermace said, stressing the need to balance cost-cutting with preserving essential programs. She pointed out that while fiscal responsibility is crucial, especially in the face of the "unknown at the state level," public health investments often prevent more significant expenses down the line by addressing issues before they become larger crises. "I'm not saying we can't look at some partnerships and combinations," Vermace clarified, "but let's not lose what we have already in this county." The discussion ended with a request for additional research into potential savings strategies. The board plans to revisit the topic in a future meeting once more data on alternative public health funding models is available. Feed your curiosity! Subscribe to the free newsletter and indulge in all that's local. Your friends will be impressed.