Council reviews 2024 budget and approves new water and sewer rates effective April 1

Kevin Smith (S12) presented the city’s 41-page proposed 2024 budget and invited questions; he said the budget is larger than in recent years because of multiple projects and that ARPA funds must be appropriated this year even if they are spent later.

"The water fund is still gonna require a $150,000 transfer from the general fund just to get through this year," Smith said, and he warned the EMS fund will need adjustments soon. Council discussed projections, rate changes and the timing of new rates. Smith said new utility rates were prorated to account for a planned April 1 effective date.

During the session council conducted second readings and recorded roll calls for Ordinance 24-0-3215 (new water rates effective 04/01/2024) and Ordinance 24-0-3216 (new sewer rates effective 04/01/2024); both measures were moved, seconded and carried. Council also introduced large budget-transfer ordinances that would move $3.8 million from the income tax fund into the general and capital improvement funds and other transfers that will be considered in subsequent readings.

Council members asked that staff prioritize clear reporting on ARPA balances and flagged the need to monitor the water fund transfer and the EMS fund’s sustainability.