Flathead County commissioners on Tuesday afternoon approved a preliminary budget that includes a focus on long-planned infrastructure projects.  

The preliminary budget calls for $140.2 million in expenditures for fiscal year 2026, an increase over the previous fiscal year's budget of about $10 million.  

County Finance Director Amy Dexter pointed to two main areas of increases resulting in an uptick in spending. The budget shows an increase of $2 million in salaries and operating costs, and an increase of $8.4 million in spending for capital improvement projects.  

“This is money that we’ve saved,” Dexter said referring to the capital projects. “It’s money that we’ve put aside in the past to spend in the future.”  

The budget total expenditures for fiscal year 2025 was $129.7 million. The total in fiscal year 2024 was $115.8 million. 

The preliminary budget calls for the county to levy the same tax mills as in the previous fiscal year, which would mean no increase in property taxes as long as the final budget remains the same. The final budget will be approved by commissioners after the state Department of Revenue in August releases the county’s updated tax information, including newly taxable property.    

Commissioner Pam Holmquist praised county staff during the budgeting process.  

“Every year it blows my mind what our department heads and employees are able to accomplish,” she said. “Our employees and the whole county structure are so well put together. We set the tone in January, and the departments deliver.” 

County Administrator Pete Melnick said uncertainty at the state and federal levels made for a difficult budgeting process.  

“This has been an extremely challenging budgeting year particularly when you factor in uncertainty with new laws and legislative action taking place,” he said. “Add that with a new president taking over in January. We are building a budget when we have no idea what is going to happen with grant money, including money that goes to the state.” 

The budget factors in a 2.5% cost of living increase for county employees. Commissioners approved the salary increase for elected officials on June 5, which is required under state law to set employee salaries.  

The sheriff’s salary will be $118,322; the two justices of the peace increase to $103,009; the county attorney’s salary increases to $144,275; and the county commissioners, clerk of district court, county treasurer, county clerk/recorder and superintendent of schools all increase to $89,282. 

The county is planning on spending almost $20.9 million on capital projects in fiscal year 2026, according to the capital improvement plan adopted by commissioners on Tuesday. 

The Solid Waste Department is set to spend $6.29 million.  

Public safety expenses total $8.34 million, which comes from $3.57 million for the proposed new county detention center and $2.5 million for expansion of the 911 system. The Sheriff’s Office is set to spend $1.15 million on vehicles and equipment upgrades and replacements.  

Also, on the list is $1 million for the remodel of the Health Department. The fairgrounds plans to spend just over $1 million to finish the north bleacher replacement and for barn replacements and equipment.  

The fiscal year 2026 budget also calls for putting $11 million away for future capital expenditures, noted Dexter.  

“That’s us looking forward and putting what we need in the bank to get those projects done in the future,” Dexter said.  

The county’s capital improvement plan outlines plans for fiscal years 2026-2030. The document is used by the county to identify the future timing of capital needs, estimated capital costs and funding sources. 

The document projects the need to spend $213.8 million over the next five years. 

The largest amount of capital expense dollars falls within public safety at a total of more than $143 million. The construction of a new jail is included with a cost of $126.8 million spread over three fiscal years.  

Deputy Editor Heidi Desch may be reached at 758-4421 or [email protected].