El Dorado approves 2026 budget, levies property tax above revenue-neutral rate
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Summary
The El Dorado City Commission on Sept. 15 adopted the 2026 budget and approved a property tax rate above the revenue‑neutral rate, a change city staff said will generate about $384,000 in new annual property‑tax revenue to help cover rising personnel and capital costs.
The El Dorado City Commission on Sept. 15 adopted the city’s 2026 budget and approved a property tax rate that exceeds the state’s revenue-neutral calculation.
City staff said the 2026 mill levy proposal is 58.71 mills, compared with the revenue-neutral rate of 55.669 mills and the current levy of 58.417 mills; the difference between the revenue-neutral rate and the proposed levy represents about $384,000 in new annual property tax revenue. The commission voted to adopt the budget following a public hearing and roll call on the levy resolution.
The city presented the budget as a package of public safety and infrastructure spending and personnel changes. A staff presentation said the mill‑levy revenue will help fund public safety retention and recruitment informed by a recent compensation study, and that utilities and equipment reserves will also receive additional funding. Staff told the commission the mill‑levy change and proposed utility adjustments combined would raise costs for an average El Dorado homeowner. At the final budget presentation staff said a $155,000 house would see about $54 more in property taxes in a year and about $32.40 from proposed utility changes — a combined increase of about $86.40 for the year (roughly $7 per month).
Public commenters urged the commission to reconsider increasing the levy. Carrie Sherburne, a resident, said her property value dropped after a high‑voltage transmission line was built nearby and asked that the city consider the local financial strain: "My property went from 121,500 down to 15,000," she said. Mark Studebaker, who said one of his properties has been condemned because of flooding, asked whether taxes would be adjusted on properties that are uninhabitable. Tim Kaffeller urged commissioners not to raise the levy, saying many residents are struggling.
Mayor Bill Young and city staff explained the city’s choices at the hearing and encouraged residents to attend work sessions or contact commissioners for more detailed budget discussions.
The commission voted to approve the resolution to levy a property tax rate exceeding the revenue-neutral rate and later adopted the 2026 budget.
City staff said the new revenue will be allocated to public safety (including funding recommended by the compensation study), continuing investment in infrastructure and parks, and equipment reserves; utility rate changes will finance capital work in water and sewer funds. The staff presentation listed planned capital projects including Glenview lift station work, water‑treatment plant filter valve replacement, downtown parking‑lot rehab, and an airport runway project with a 90% federal match.
The city will publish the adopted budget online.
Looking forward, residents who raised concerns were told staff and commissioners will continue outreach, and the commission encouraged citizens to attend work sessions to follow budget deliberations.
