Although Butler County officials have wiped out a $1.7 million deficit in the proposed 2009 budget of $185.6 million, they now have a new $1.1 million deficit to overcome.

County officials attribute most of the new deficit to county workers' rejection of a final offer on new contracts affecting nearly 500 of the county's 800 employees.

The county would save about $600,000 if all of its full-time employees paid a portion of their health care costs.

However, the workers Tuesday overwhelmingly rejected proposed 2-year pacts offering a 2 percent pay hike and a 1.5 percent health care contribution deducted from their paychecks in the first year.

Commissioner Dale Pinkerton, board chairman, said after a budget presentation at Wednesday's meeting the county may have to cut programs and services to balance the budget.

A proposed 5 percent property tax hike doesn't offset the deficit and the county can't raise the rate further.

Since the county commissioners earlier this year raised the property tax assessment ratio from 75 percent to 100 percent of 1969 values, the county is permitted to raise taxes by no more than 5 percent.