In 2026, the city will operate with a budget of $1,763,200 in projected income. That is a $186,450 increase from 2025.

The general fund showed the biggest increase of about $211,700. Much of that (an estimated $160,000) comes from a public safety tax that voters passed last year.

A couple of things occurred last year that affect the comparison of the 2025 versus the 2026 budget.

A major repair to the city’s Waste Water Treatment Facility (WWTF) was paid for from a reserve fund. This transfer of funds shows as income for the sewer fund last year. Therefore, this year’s anticipated income for that fund shows a slight decrease.

Another big change to city finances comes as the transportation tax, approved by voters in 2012, ended. City Administrator Nick Grube reports that the tax enabled the city to resurface most streets. Preventative maintenance will be covered by the current budget, without the additional tax money.

Last year’s hike in sewer rates should allow that department to work comfortably within their $396,200 budget. That fund must cover the annual payment of about $111,000 to pay the debt on the WWTF.

The water fund reflects an increase of income of $25,000. Grube plans to increase the water reserve collection (savings earmarked for upgrades and renovations) by $23,600 which will bring  fund’s total to $50,850 by year’s end.

Police Chief Jim Helton says he plans to continue to supplement his budget by aggressively applying for grants. His 2026 budget includes $58,100 in grant funds applied for in 2025, but which will be reimbursed in 2026.

The Park Fund shows only a small increase of $1,950. The budget projects the increase to be used for improvements.