City Council considers 2-mill property tax increase for 2026 budget
City staff proposed a 2-mill property tax increase during a June 17 budget study session, citing rising operational costs and near-full staffing levels as key factors driving the need for additional revenue.
The proposal represents the first step in the city's 2026 budget planning process, with no final decision made during the study session.
Rising Operational Costs Drive Budget Pressures
City officials said core operating expenses have increased significantly over the past five years, with some costs rising as much as 66%. Fuel, utilities, equipment and insurance costs have created budget strain that threatens the city's ability to maintain current service levels without new revenue sources.
"These inflation-driven expenses are placing greater strain on our ability to maintain services without new revenue sources," according to city staff.
Staffing Levels Near Capacity
The city currently has 11 vacant positions, a dramatic reduction from 52 unfilled positions last year. Previously, salary savings from vacant positions helped offset other budget needs, but near-full staffing now requires the budget to reflect complete salary and benefit costs.
City staff said the proposed tax increase would help stabilize funding, maintain service levels and prepare the city to meet growing demands.
Next Steps in Budget Process
The June 17 meeting served as the first public hearing for the tax proposal. The City Council will discuss the proposal again during its July 1 meeting, along with determining the city's 2026 Revenue Neutral Rate.
State law requires the city to report its Revenue Neutral Rate to Kansas by July 20. A final budget must be adopted later this summer to meet state compliance deadlines.
City officials said they will continue providing updates and encourage residents to stay informed throughout the budget process.
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