How Serious Is This Problem?
The problem of the Kane County budget shortfall is quite serious. There is a large projected funding shortfall in Kane County’s General Fund beginning in FY 2026, which covers essential services and day-to-day operations.
In the Kane County Board’s July 24, 2024 Finance Committee, a projection of revenues, expenses and reserves for the General Fund through Fiscal 2027 was presented to the Committee. This forecast, shown below, indicated that revenue in the General Fund fell short of the amount necessary to cover General Fund expenses in 2023 and 2024, and are projected to fall short again in 2025 – 2027, with the amount of the shortfall increasing each year.
As a result of this gap, the funds available in the County’s Reserve Account, beyond the amounts available in excess of the County’s 90 Day Reserve Target, will be fully depleted in 2025, leaving an unfunded budget shortfall of $35.5 million in Fiscal 2026 and $76.7 million in Fiscal 2027.
Given that Kane County is forecasting approximately $109.1 million in revenues and $144.1 million in expenses in FY 2025, it’s difficult to identify where the county could cut enough to reduce its spending by $76.7 million in the next year.
Table 2: General Fund – Forecast and Reserve Target
Read the Full 2025 Taxation Series
- 2025 Budget Situation Part 1
- 2025 Budget Situation Part 2
- 2025 Budget Situation Part 3
- 2025 Budget Situation Part 4
- 2025 Budget Situation Part 5
