Auburn faces $8.6M preliminary budget gap; council adopts CIP, awards biosolids consultant and approves several budget transfers

The Auburn City Council received a preliminary budget presentation on April 3 showing an $8.6 million shortfall for fiscal year 2025–26 and took several financial steps intended to keep city operations running while staff works toward a balanced budget.

Marybeth Leeson, who led the budget presentation, told the council the gap includes a 2% tax‑levy increase that would add about $550,000 in general‑fund revenue but that the city currently lacks available fund balance to use as a bridge. "Our preliminary budget shortfall right now is at $8,600,000 that includes a 2% tax levy increase," Leeson said. She said staff will return with a balanced budget proposal on April 24, and that departments were identifying cuts and possible new revenue streams.

Councilors and staff discussed several funds that are contributing to the shortfall:

- Solid waste: Rising tipping fees were highlighted as a major pressure. Public Works staff reported the city is currently paying $43 per ton to Seneca Meadows under its most recent extension; the contract originally started at about $29 per ton. Public Works Superintendent Tim Talbot told council the solid waste fund covers curbside garbage and recycling collection, four free landfill drop‑off days, yard‑waste pickup and limited walk‑off service for medical exceptions; those services mean the fund is likely undervalued versus true cost. Talbot said curbside collection runs roughly 9,000 tons per year.

- Power utility fund: Leeson said the general fund currently subsidizes other municipal funds and that the power utility fund’s support has amounted to roughly $2.2 million in past years. Staff said the power utility fund has stabilized but must be managed to allow for payback and future…