Fiscal Sustainability Plan looks at county’s past, future

Both county boards were briefed on the Pulaski County Fiscal Sustainability Plan during a special session on Aug. 6. The plan was prepared for the county by Baker Tilly. There are multiple reasons why the plan was prepared. It aims to evaluate the county’s long-term position, identify future funding gaps, assist elected officials with developing the budget and other financial planning and assess the impact of recent state legislation on county finances. The plan evaluates both the current financial health and long-term sustainability of the county. It reviews both historical financial performance from 2024 to 2025 and projects suspected revenues, expenditures and fund balances through 2031. The plan found that Pulaski County remains financially stable overall, but several operating funds are facing structural deficits over the planning period. Recent state legislation is changing future property tax revenue and Local Income Tax (LIT) distributions. Operating fund balances remain above the minimum cash reserve recommendations overall, but some individual funds are projected to experience declining or negative balances. It concluded that this long-term financial planning will be essential to preserve service levels that the county is currently providing without relying on one-time case reserves.