Salina City Commission Summary
Week of June 23, 2026
City commission leans against revenue-neutral rate for 2027 budget
City plans 3 percent total pay increase for employees in 2027
City employee health insurance premiums slated to rise 5 percent
Commission greenlights outside agency funding requests for 2027
Commission approves $1.09 million property and casualty insurance renewal
City outlines extensive cleanup costs and FEMA tracking following severe storm
Commission authorizes $12.5 million in bonds for Lee Lofts Phase 2
Special improvement district established for Virginia Drive extension
Historic H.D. Lee Flour Mill sign approved for reinstallation
City commission leans against revenue-neutral rate for 2027 budget
SALINA, Kan. — The Salina City Commission reached a consensus to maintain the city's current property tax mill levy for the 2027 budget rather than dropping to the state-defined revenue-neutral rate. Finance Director Debbie Pack projected a $738,000 shortfall in the general fund to cover projected expenses if current tax rates are maintained, a deficit that would grow if the rate is lowered to the revenue-neutral level. Holding the current 28.568 mill rate will generate roughly $605,000 more in property tax revenue than the revenue-neutral rate of 27.526 mills, keeping taxes flat for a $200,000 home. The commission agreed that capturing the natural growth in property values is necessary to keep up with inflation and maintain vital municipal services. A final decision on the maximum mill levy rate to publish will be made at the July 20 meeting.
City plans 3 percent total pay increase for employees in 2027
SALINA, Kan. — The city commission agreed to include a 1.5 percent cost-of-living adjustment and a 1.5 percent maximum merit pay increase for municipal employees in the 2027 proposed budget. The general fund cost for the 1.5 percent cost-of-living adjustment is roughly $316,000, while the 1.5 percent merit raises will cost $162,000. City Manager Jacob Wood noted that recent pay adjustments have been highly effective at retaining staff, leaving the city more fully staffed in the police, fire and streets departments than in previous years. The combined 3 percent increase will be formalized when the final budget is adopted in August.
City employee health insurance premiums slated to rise 5 percent
SALINA, Kan. — The Salina City Commission reached a consensus to increase employee health insurance premiums by 5 percent for the upcoming budget year. The city's self-insured health fund fell short of its $2.9 million target balance by roughly $439,000 at the end of 2025. While a 10 percent increase was presented as an option to more quickly rebuild the fund, the commission opted for the 5 percent hike, which will cost employees on a family plan an additional $19 a month. The city splits premium costs, historically covering approximately 80 percent of the premium while employees cover 20 percent.
Commission greenlights outside agency funding requests for 2027
SALINA, Kan. — During a budget study session, the city commission gave consensus approval to fund outside agencies at their requested levels for 2027. The requests represent a $63,000 total increase to the general fund over the previous year. The allocations include funding for the Salina Area Chamber of Commerce and Visit Salina, which operates under a recently reworked agreement. Finance Director Debbie Pack noted the new agreement strictly limits city transient guest tax dollars to tourism-related expenditures and overhead, ensuring taxpayer funds are not used to subsidize general chamber activities.
Commission approves $1.09 million property and casualty insurance renewal
SALINA, Kan. — The city commission unanimously approved a $1,091,474 comprehensive property and casualty insurance renewal with Travelers and Chubb. The overall premium increased by slightly more than 12 percent over the previous year, which Risk Manager Nancy Schuessler noted was under the 15 percent jump anticipated by industry consultants. Commercial auto policies saw the most significant rate increase, which Schuessler noted on the record was driven by a combination of market conditions and recent city claims. The city's property premium came in less than expected, as one insurer committed to a flat rate for its first renewal with the city.
City outlines extensive cleanup costs and FEMA tracking following severe storm
SALINA, Kan. — During the meeting's administrative updates, City Manager Jacob Wood outlined the city's extensive response to the June 8 severe storm, noting that public works and parks crews have logged more than 3,000 overtime hours. Wood stated the city successfully kept water and wastewater systems running on generators during widespread 12-hour power outages to prevent sewage backups in residents' basements. The city is tracking all overtime and rented equipment costs to submit for reimbursement under county and state disaster declarations through the Federal Emergency Management Agency.
Commission authorizes $12.5 million in bonds for Lee Lofts Phase 2
SALINA, Kan. — The city commission unanimously approved an ordinance authorizing the issuance of $12.5 million in industrial revenue bonds for the Lee Lofts Phase 2 project, developed by Overland Property Group and Flint Hills Holdings Group. The bonds provide a sales tax exemption on construction materials for the downtown residential development. The city originally approved a resolution outlining the exemption in 2023. Monday's official action formally closes out the completed project, issues the bonds and fulfills the city's agreement with the developers to assist with the downtown revitalization effort.
Special improvement district established for Virginia Drive extension
SALINA, Kan. — The city commission unanimously established a special assessment improvement district to fund the estimated $1.3 million extension of Virginia Drive south of Menards. The city will cover 50 percent of the project's cost upfront, while the remaining 50 percent will be assessed to the adjacent property owners in the district. City Engineer Rex Ritter noted the city will eventually recoup its half of the cost through benefit fees when the vacant parcel south of the current development petitions to connect to the new street extension.
Historic H.D. Lee Flour Mill sign approved for reinstallation
SALINA, Kan. — A piece of Salina's history will return to the downtown skyline after the city commission unanimously approved historic designation for the H.D. Lee Flour Mills Company sign. The designation waives standard industrial zoning restrictions, allowing the newly restored sign to be split into two structures and reinstalled on the lower head houses of the mill at 343 N. Santa Fe Ave. The new orientation will face north and south, making the iconic red letters and marquee-style bulbs highly visible to traffic along the Santa Fe corridor.
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