Johnson County cuts $20M from budget, furloughs staff as COVID-19 depletes revenues

As the coronavirus pandemic takes its toll on local revenue, Johnson County has furloughed more than 260 employees and has a plan to cut about $20 million from its budget, officials announced Thursday.

But Johnson County commissioners warned that those cuts will likely only begin to address the shortfalls as the outbreak continues to overturn nearly every facet of life.

Scott Neufeld, budget director, estimates the county could lose between $18 million and $38 million in tax revenues. Officials project sales tax revenues will take the biggest hit, although the county could also see a significant reduction on investment income due to the Federal Reserve’s emergency cuts to interest rates.