Kankakee officials present balanced first draft for 2026 budget, flag revenue shifts and new neighborhood spending

Kankakee City officials on May 12 presented an initial draft of the 2026 budget that shows a projected surplus of about $167,000 and a proposed $1 million self-funded capital program, while flagging several revenue declines and proposed new operating costs.

The budget overview to the City Council and budget committee matters because it sets the revenue and spending framework for fiscal year 2026 and includes proposed new programs — neighborhood stabilization funding and an expanded animal-control contract — that would affect city spending and services.

Comptroller Rogers opened the financial review with a year-end summary for fiscal 2025, reporting that the city “are finally at 100% of the year, the last month of the year,” and that revenues finished close to budget. Rogers said a final corporate replacement tax payment of $229,000, received May 2 and attributed to fiscal 2025, improved the year-end totals but left corporate replacement tax collections about 70% below the amount budgeted for the year.

Rogers reported other revenue details: total top-line tax receipts were about 98.5% of budget; service charges (fees charged by police and fire for services outside the city) came in at roughly $222,000 versus a $154,000 budget; and overall revenues ended the year less than 2% below budget. She said franchise fees, building permits and…