Council amends FY25'26 budget, pays off winter-freeze debt and moves funds into reserves

City staff presented an amendment to the fiscal 2025'26 operating budget that reallocates year-to-date surpluses and reflects higher-than-projected revenue from sales tax and utility sales. Staff said the amendment moves funds into vehicle reserves for the electric department, sets aside approximately $152,000 toward an additional RO holding tank, and includes a $48,000 line item to pay for an aerator accepted in a prior bid.

"We are very lucky that this fiscal year...our sales tax had gone up and so did our property tax compared to what we had projected," staff told the council and outlined the yellow (over) and purple (under) line items that compose the amendment. The packet shows a $95,000 remaining balance on the winter-freeze debt; staff recommended using available monies to make that final payment and said doing so would reduce meter fees tied to the freeze surcharge. Council voted to accept Resolution 1607 by voice vote.

The amendment also sets aside roughly $188,31 (transcript shows $188,31) into a vehicle reserve account for the electric department and earmarks infrastructure funds to cover the anticipated RO pump purchase should bids require it. Staff emphasized that several of these reserve allocations remain movable by future council action and that auditors historically accept this kind of mid-year adjustment.