Fannin County, Texas -- All five members of Fannin County Commissioners Court were present for a special meeting held Monday, August 11, 2025 at 10:30 a.m. to discuss the 2025-2026 fiscal year budget requests, salaries and revenue.
No one addressed the court in public forum.
Fannin County Pct. 1 Constable David Thompson was the first department head to address the court and Thompson said he believes he has the training and staff that could enable his office to provide a better and more cost-effective service as bailiff for the Fannin County Court at Law.
This would involve a budget adjustment to move the salary for this bailiff from the county court at law line item to the Pct. 1 constable line item.
Thompson's office would expand from two to three deputies in order to perform this task, while slightly decreasing the overall cost to taxpayers by $5,500.
Commissioners court unanimously approved Thompson's request.
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Fannin County District Clerk April Gibbs addressed the court to ask for a county-issued cell phone at a cost of $540 annually in order to avoid conducting official business on her private phone.
"I want to be available, if I can, to help out the office and answer questions," Gibbs remarked.
Commissioners approved issuing a cell phone to Gibbs.
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Fannin County Pct. 1 Constable Louise Goodwater recalled how the county formed a committee last year to decorate the courthouse for the Christmas season, with the majority of donations coming from Judge Goodwater and Fannin County Auditor Alicia Whipple.
"I think the inside of the courthouse was magnificent," Goodwater told the court. "The outside needs some help."
Goodwater asked the court to dedicate $4,000 of Hotel Occupancy Tax (HOT) funds to decorate the exterior of the courthouse for Christmas. HOT tax funds can be used for any function that encourages tourism.
Commissioners court unanimously approved Goodwater's request.
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Commissioners court entered into a general discussion regarding the 2025-2026 fiscal year.
"The entire budget is $39,103,480.82," Fannin County Auditor Alicia Whipple began. The General Fund is $19,880,655.52, of which, revenue expected to be collected is only $18,734,766.66, which put us in a deficit of $1,145,888.86. Bear in mind $1 million of that is earmarked for furniture for the Justice Center. So, if we take out the Justice Center furniture, we were upside down $145,888.86 with all the changes made. That will come out of reserve cash to balance the budget."
"And do we have enough reserve cash?" asked Judge Cunningham.
"Yes sir," answered Whipple. "We do."
"Over the last five years, how many times have we had to go to our reserve cash to balance the budget?" the county judge asked the county auditor.
Whipple recalled that the county dipped into reserves in 2020, 2023 and 2024.
"So this is something that happens and it's not something that's terribly unusual or life-threatening," Cunningham stated.
"Not as long as we have reserves to cover it," Whipple replied.
Whipple noted that in addition to $1 million of reserves earmarked for the Justice Center furniture and $637,500 restricted for the Highway 121 project, the county is expected to retain at least 25% of its annual budget in reserves.
The budget for the first quarter last year was $3.56 million; even with that amount set aside, the county should have approximately $2 million in reserve.
Whipple went on to explain that Texas counties with a population less than 75,000 are subject to a 3.5% limit on property tax revenue growth without voter approval.
"As of right now, our Voter Approval Tax Rate is at 0.350311," Whipple noted. "That is the highest rate we can go without putting it on the ballot in November."
At a Voter Approval Tax Rate of 0.350311, the rate per $100 of value decreased by 8%, while the average homestead taxable value increased by 6.59%.
"The tax on the average homestead decreased by 1.94% and the total tax levy on all properties saw an increase of 5.74% over the previous year," Whipple reported.
Cunningham wanted it on the record that no money has been budgeted for inspections and/or repairs at the courthouse.
Pct. 4 Commissioner Doug Kopf asked about buying new furniture step-by-step at the Justice Center, while using current furniture or used furniture in some of the Justice Center at first.
Pct. 3 Commissioner Kurt Fogelberg pointed out that the most expensive furniture would be for the two courtrooms.
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Cunningham asked about mechanisms to move money from precinct-to-precinct if needed.
Funds are allotted based on miles in each precinct.
Whipple said any additional juggling of these special funds between precincts must be approved by commissioners court and passed before the budget is adopted.
Cunningham and Kopf indicated that a comprehensive upgrade of all county roads, including purchasing right-of-way and rebuilding fences in order to widen roads, would be cost-prohibitive.
Pct. 1 Commissioner Troy Waggoner offered a proposal that addressed the condition of roads for the court to consider. Waggoner noted that the original budget for the Justice Center was $11 million and the county has already spent $17 million.
"If we take 22% of that, $1,320,000, and from the land sales, 22% of the $1.9 million in land sales is $431,505.36," Waggoner told the court. "Add those two together and it's $1,751,505.36 that Road & Bridge should be able to use, if needed."
Waggoner suggested dividing $1 million between the precincts and installing a concrete parking lot at the Justice Center with the remaining $751,505.36.
"That will at least show our constituents that we are trying to add a little money to the Road & Bridge fund," Waggoner stated.
"Well, let me speak against that," Cunningham countered. "We need to get the Justice Center finished. We've done this drill before where we gave, I think $500,000 to each precinct and you can't see any improvement."
Cunningham said that, once the Justice Center is completed, perhaps any surplus could go into Road & Bridge.
"I can let you know that right now, based on what we still owe Crossland and Eikon [the construction manager at risk and the engineering firm], there's only going to be about $80,000 left," Whipple advised the court.
"Also, that doesn't include the parking lot," Fogelberg points out.
"That's why I said it's going to take about $750,000 to do that parking lot," Waggoner said.
The grade on the parking lot will need to be corrected, apparently because of a mistake by the engineer.
The opening of the Justice Center has been pushed back to first part of November.
One bit of good news -- Frontier says fiber optics can be run to the Justice Center from a splitter across the street at no cost.
Whipple gave a breakdown of the numbers for the Justice Center project.
Cash on hand $4,796.28; ICS (bond money) $3,895,676.86; CD (land sales) $1,940,311.12; for a total of $5,840,784.26.
"As of August 5 when we last paid Crossland, we still owe them $5,731,767.09," Whipple advised the court. "Now, if you add that $600,000 from NTMWD that we've earmarked, that gives you a little bit to play with. What I'm telling you is, what you have in cash, the ICS account which is the bond, and then the CD which is the land money, it's barely enough to pay Crossland. I believe we will have about $70,000 left after we pay Crossland."
"It'll probably take all of that to do those two change orders, every bit of it," Waggoner predicted.
"And we don't know what other surprises we will run into," Cunningham said.
"So, we will have to go into reserves, no matter what," Waggoner stated.
Whipple was asked to relay the latest estimate of what the Justice Center will cost.
"It will be a little over $17 million," Whipple told the court.
"It's going to be a little over $17 million, and that's with no changes," Waggoner noted, "and that's not even counting the parking lot. So, we're going to have to pay for the parking lot out of reserves."
"We just need to make sure we get the Justice Center finished and we don't have to borrow money to get it done," Cunningham stated.
"I don't think you are going to have enough money," Whipple warned the court, "because if Commissioner Waggoner is anticipating $750,000 for the parking lot, at best you've got $600,000, which means I'm going to have to pull some more money out of reserves and move it over to the construction account."
Waggoner said he is awaiting a firm estimate for a concrete parking lot.
"I need a round-about number so I can finish this budget before Monday when it has to be adopted," explained Whipple.
Whipple estimated the county will have $2.3 million in reserves, after setting aside 25% of the annual budget to mitigate emergencies, $1 million for the Justice Center furniture and $637,500 that's restricted for the Hwy. 121 project.
"You've got a little over $2 million," Whipple told the court.
"Let's take the remainder of whatever it's going to take to do that parking lot out of reserves," Waggoner suggested.
Whipple explained the necessary process to make those funds available.
Pct. 2 Commissioner A.J. Self pointed out that there was some money already budgeted for an asphalt parking lot that can be factored in, but Fogelberg cautioned that correcting the grade in the parking lot will likely cost more than expected.
Whipple reminded the court that she needs to know how much to budget for the parking lot.
"I need a number," Whipple insisted.
Commissioners court set another special meeting for 9:00 a.m. Friday, August 15, 2025.
Whipple summed up the situation: "Right now, we're taking $1,145,888.86 out of reserves to balance this budget. A million of that is for the furniture and $145,888.86 is cash I will have to put in to balance the budget. If you take out the furniture, we are upside down, expenses over revenue, $145,888.86."
Commissioners asked how much overtime money Cunningham has in his budget and was told $2,500. In addition, the facilities manager has $2,500 of overtime in his budget.
Waggoner reminded the court that, more than a year ago, commissioners court budgeted $4,000 to correct the level of concrete in the courthouse basement to prevent water from pooling near electrical panel, and to date nothing has been done.
Commissioners court set the proposed Voter Approval Tax Rate at 0.350311.
Commissioners court adjourned at 11:58 a.m.
