Council members debate whether to cut rate further as budget questions linger

Several council members pressed for more work on the budget and asked whether the tax rate could be lowered further to ease pressure on property owners, even though staff said the adopted total rate is lower than last year’s.

One council member criticized the city’s visible returns from increased revenue, saying, “Y'all have nothing to show that y'all are working hard for us,” and asked where the additional money will go. Staff responded the budget increased by about $400,000 from the prior year after a bond payoff and utility rate changes and that roughly $28,000 of the revenue change was tied to new or newly assessed property.

Council and staff discussed the timing tradeoffs: reducing the tax rate now would require revising the newly adopted budget and possibly significant program or staffing cuts. Counsel and staff told the council that planning earlier in the budget cycle would make an across-the-board rate cut more feasible without risking city operations.

Councilmembers said they wanted to prioritize early budget work next year so future rate decisions could align with clearer spending priorities.