Freeport council reviews $4.74 million in community investments, weighs tax-rate options

Freeport officials met in a July 11 special workshop to review the proposed fiscal year 2026-27 budget, which staff said includes $4,743,235 in new community investments, 10 requested new positions and a conservative tax-rate assumption while county-certified property values are pending.

Finance director Miss Hurst summarized changes since the prior workshop and said staff added $370,000 in new investments. "A total of $595,000 worth of beautification initiatives is budgeted and $4,148,235 worth of infrastructure initiatives is budgeted for a grand total of $4,743,235 worth of community investments," Miss Hurst said, urging the council to focus early on the tax-rate conversation because certified values will be received from the county later in July.

The presentation detailed fund reorganizations and position requests: solid waste proposed to move into a renamed utility fund; code enforcement moved from the police budget into a combined community development department; the golf course and EMS funds were shifted to enterprise funds; and staff included 10 new positions across parks, streets, community development and IT. "The budget has a total of 10 new positions included," Miss Hurst said.

Doctor Kelly provided permit and workload context, saying development activity has increased and supporting the need for a dedicated plan-reviewer/permit-coordinator. "March 2025 through September 2025 there were 420 permits pulled since that time; September 1 to March of this year, there have been 972 permits pulled," Doctor Kelly said, noting the jump in remodeling and construction activity.

Revenue adjustments were highlighted: staff reported an expected $130,000 decrease in sales-tax receipts driven by statewide trends and said a change in law reduced the city's garbage franchise fee from 10% to 2%, an estimated 8% revenue loss to that fund. Miss Hurst said staff applied preliminary value estimates conservatively — counting 6% of an 8% preliminary rise — and are keeping the current no-new-revenue rate in the draft until certified values arrive.

The workshop included extended public comment and council discussion about staffing and code enforcement. Resident Sam Reyna urged the council against further pay raises and for greater spending on street equipment and capital work. "We cannot afford more pay raises," Reyna said, arguing dollars should be directed to excavators, backhoes and other heavy equipment. Another resident, Melanie Oldham, called for a city infrastructure master plan to map aging pipes and prioritize replacements as development grows.

Council members and speakers also debated whether code enforcement staff and building officials have sufficient credentials and whether individual complaints had been handled properly. Council members repeatedly encouraged meeting with department staff to get both sides of a complaint before taking action.

City staff reviewed property-tax mechanics and Truth in Taxation rules, explaining the no-new-revenue, voter-approval and de minimis rate options and the election triggers tied to each. Miss Hurst reminded the council that certified appraisal values are due July 25 and that tax-rate calculations are expected from the county by Aug. 8; the council will meet on Aug. 17 to propose a tax rate and set public hearings.

Mayor called for a motion to adjourn at the end of the workshop; the meeting was moved and seconded and the chair called for the ayes. The council did not take other formal votes on budget adoption at the workshop; staff will return with updated figures after county certification.