Franklin County, N.C. — When the housing market struggles, builders don't construct as much. Local governments don't collect as much in permit fees and projected taxes.

In larger counties like Wake, the loss of revenue is easier to absorb, but smaller counties including Franklin, are feeling the pinch.

In the county, septic tank permits are down, causing nearly $70,000 to be taken unexpectedly from the county health department.

Fewer construction permits has left the planning department is down $55,000.

“We weren’t anticipating the decreases we’re seeing in some of our revenues,” said county finance director Chuck Murray.

The county could lose $570,000 of projected revenue.

“It’s kind of a trickle down effect from the whole thing. We’re not getting the sales we need and they’re not getting the revenues that they kind of counted on,” said Tracy Jones of JVC Homes.

Murray said it is too early to tell if the loss of revenue will mean programs have to be cut.

Franklin County Commissioner Don Lancaster says he doesn't believe the county will need to cut any programs. He says the county will make up its lost revenue from the county's fund balance.