Commission signals support for 1.35-mill publication for 2026 budget; staff outlines three mill-levy scenarios

City staff asked the City Commission for direction on what mill levy to publish for the public hearing on the 2026 budget, and commissioners signaled support for publishing a 1.35-mill increase while reserving final adoption for the public hearing.

Why it matters: The mill levy determines how much property tax revenue the city collects for the coming year and affects funding for Riley County Police Department (RCPD), the public library and city services. Commissioners debated whether to prioritize recurring salary increases for staff or to limit the levy to the minimum needed to satisfy outside funding requests.

Danielle, a city staff member presenting the budget, described three scenarios staff had prepared: scenario A (about a 1.134-mill increase, described as the minimum to maintain current service levels while funding RCPD and the library), scenario B (a 1.35-mill increase) and scenario C (a 1.75-mill increase providing additional recurring revenue for the general fund). Danielle said scenario A includes an estimated 1.088-mill increase for RCPD (generating roughly $813,000) and a 0.046-mill increase for the library (about $34,000), while the general fund would see no mill change under that scenario.

Staff said the city’s total proposed budget is about $175 million and that property tax would account for roughly $38–$41 million of that total; staff said about 60% of property tax revenue goes to RCPD and the library and the remainder supports general fund services. Danielle said staff also recommends budgeting an estimated delinquency allowance — approximately $500,000 — to reduce the risk the city must transfer general-fund dollars midyear to cover shortfalls in property-tax collections.

Commissioners debated accounting choices and how prior shifts of budgeted items to property tax had affected year-over-year changes in the city-services share of property tax revenue. One commissioner said those shifts can make multi-year percent changes appear large even when some items were moved from other funds. Staff noted increases in property-and-liability insurance, ongoing service costs and other pressures that make recurring revenue desirable to support salary adjustments and operating costs.

Members of the public commented. Andrew Veil Little asked a technical question about the newspaper notice and why staff would publish up to 2 mills when the commission did not plan to take the levy that high; staff explained the city retains options until the commission votes at the public hearing. Gary Olds spoke about long-term property-tax trends at his residence and said he supports clarity and transparency about how taxes are used.

At the end of the meeting commissioners gave staff direction to publish the 1.35-mill figure for the public notice; staff will bring a single scenario and the related salary ordinance to the Sept. 16 hearing for final action. (The commission may adopt a lower increase at the hearing but may not exceed the published maximum.)