Norwich city manager outlines proposed FY 2025–26 budget, cites $3.6 million state revenue loss and proposed 35.23 mill rate

City Manager John delivered an overview of the proposed fiscal 2025–26 budget, saying the city faces a roughly $3.6 million shortfall in state revenue and is proposing a mill rate of 35.23 to balance the gap.

John told the council the city’s “collectible grand list” was effectively flat and that changes in state vehicle-assessment rules cut approximately $32,000,000 in assessed motor-vehicle value, contributing to the revenue loss. He said: “We had to reduce our collectible grand list by 32,000,000 dollars of assessed value.”

The nut graf: The shortfall and other revenue changes — including lower payments tied to Norwich Public Utilities gross receipts and a decline in certain state grants — are driving proposed reductions and targeted increases. The city manager framed the budget as an effort to preserve essential services while continuing planned capital investment and debt service tied to school construction and other projects.

In his presentation, John outlined the principal revenue and expenditure drivers: a near‑unchanged grand list overall, a $32 million…