During a recent government meeting, officials discussed the financial outlook for fiscal year 2027, highlighting concerns over projected expenses exceeding revenues. One council member emphasized the urgency of addressing these financial challenges, particularly in light of the upcoming Sunset reservoir construction, which is expected to significantly impact the budget.

The conversation revealed that the city is preparing to issue debt to manage its finances and that there were no anticipated rate increases for 2024. However, officials acknowledged the need for a rate increase in fiscal year 2025, as the timeline for decision-making is pressing. The council is also exploring additional financing options, including a potential WIFIA loan, which could help reduce rates for residents if successful.

Council members expressed the importance of involving the new general manager in upcoming financial decisions, recognizing the significance of their input as the city navigates these fiscal challenges. The meeting also touched on the necessity of peer reviews and consultations with external experts to ensure the robustness of financial strategies, although it was noted that such consultations would require formal arrangements.

Overall, the discussions underscored the city's commitment to minimizing the financial impact on residents while maintaining essential infrastructure, amidst a backdrop of broader challenges faced by urban areas, such as aging infrastructure issues seen in cities like Atlanta.