Mayor’s FY 2026 proposal funds in‑house ambulance service, flags property‑tax reassessment impacts

Wilmington’s mayor on March 20 proposed a fiscal 2026 operating plan that would hold the city’s property‑tax rate steady while adding $14 million to fund an in‑house ambulance service and creating a $2.5 million neighborhood stabilization pot, officials said at a Finance Committee hearing April 2.

The proposal, presented to the Finance Committee by the mayor’s office and the Office of Management and Budget, would keep the property‑tax rate unchanged, increase water and sewer rates by 6.5 percent and stormwater rates by 6 percent, and budget a general‑fund surplus of about $2.8 million as presented. The administration said the water/sewer fund would total about $95 million and the capital program roughly $199 million under the proposal.

Why it matters: the budget would expand emergency medical services staffing and create neighborhood repair dollars while the county’s court‑ordered reassessment of property values could alter which property classes pay more or less tax. Those two items—the EMS expansion and the reassessment—drove much of the committee’s questioning.

Major program and revenue highlights - Emergency Medical Services: The proposal includes a roughly $14 million allocation to bring ambulance service into the Fire Department. The administration said that change would add 30 EMS positions and one civilian position and cover related costs. - Neighborhood stabilization: The budget proposes a $2.5 million transfer from the tax stabilization fund to a neighborhood stabilization account. That transfer is split in the presentation as $500,000 for the Wilmington Neighborhood Conservancy Land Bank and $2.0 million for a home‑repair program, officials said. - Utility rates: The administration proposed a 6.5 percent water/sewer rate increase and a 6 percent stormwater rate increase for FY 2026. - Overall totals: The administration presented a proposed general fund showing a budgeted surplus (about $2.8 million as presented). The water/sewer fund was shown near $95 million, and the capital program around $199 million.

Property tax reassessment: county mandate and local follow‑up Committee members pressed the administration about a recent, court‑mandated property reassessment conducted for Newcastle County by vendor Tyler Technologies. The reassessment is based on market rates and is intended to be revenue neutral at the county level, the administration said, but it “may cause an increase in some residential customers’ property taxes, and there may be a shift with more commercial properties paying lower property taxes,” the committee was told.

Deputy chief of staff Stephanie Merkler said the city will "continue to work with the county, to review the accuracy of the overall assessment" and determine whether systemic adjustments are possible. Merkler added the administration is developing a draft plan for tax assistance but that plan "is not quite ready to present tonight."

Discussion versus decisions Committee members discussed options but took no formal vote on tax relief or other changes. Merkler and OMB staff said they would continue work with Newcastle County and bring follow‑up information to council. The hearing record shows requests to track follow‑up items and for the administration to present more detailed assistance options when available.

Other departmental items mentioned - Cultural affairs and events: the mayor’s office presented increases in Cultural Affairs programming, including expanded summer concerts, artist residencies and higher production and artist fees. The administration moved $200,000 for HBCU programming into an admin grants line but said it did not increase net spending for that item. - Grants and capital partnerships: presenters referenced existing capital grants and one‑time commitments (for example, a $10 million city commitment tied to a community education building that would only be released if the project proceeds). - Emergency management: the budget adds an emergency management planner position split between general and special funds; the director of emergency management said that position will support outreach on flooding and sea‑level rise preparedness.

What officials said "This fiscal year 2026 budget is built on two fundamental principles, fiscal responsibility and responsive governance," Saron Cade, chief of staff for the mayor, told the committee during the hearing. OMB Deputy Director Rob Winkler walked the committee through staffing and materials changes in the mayor’s office presentation.

Next steps and unanswered questions The administration repeatedly framed many items as proposals that require further committee review and negotiation. Council members asked for additional details on the mayor’s draft plan for tax assistance, the projected timeline for EMS implementation, and the funding sources for expanded cultural programming. The committee did not adopt budget amendments at the hearing; by charter the council must adopt a balanced budget at least 30 days before the fiscal year ends and will continue hearings and negotiations in the weeks ahead.

Ending: The Finance Committee scheduled follow‑up department hearings and directed staff to track and report requested follow‑up information to the committee clerk.