City Administrator Faye Johnson told the West Palm Beach City Commission at a July 22 work session that the city’s proposed FY26 general fund balanced budget totals $282,847,804 and is built around three themes: bolstering public safety, enhancing quality-of-life services and strengthening internal governance.

Johnson said the administration recommends retaining the current millage rate of 8.1308 and using $4.3 million in one-time funding to cover above-base vehicle requests for the police collective bargaining agreement and one fire vehicle. "It takes a team to develop a budget," Johnson said, underscoring that departments and finance staff collaborated on the proposal.

The nut graf: The proposed budget is designed to accommodate nearly $18.8 million in new general-fund revenue for FY26 while also covering roughly $23.2 million in new expenditures, producing a gap the administration proposes to close through a mix of internal reallocations, reduced overtime, CRA-supported paving dollars and one-time funds.

Top-line revenue and the shortfall
Johnson told the commission the property-tax growth estimate for FY26 is $11.6 million of new revenue, part of an estimated $42 million in tax revenue generated by local construction activity; roughly 72% of that $42 million, she said, is distributed to other taxing authorities and only 28% (about $11.6 million) flows to the city’s general fund. The administration counts four principal general-fund revenue streams: property tax, charges for services, intergovernmental revenue and other taxes/licenses/permits.

Johnson presented the FY26 new-revenue total as about $18.8 million above FY25 baseline levels and said new obligations and above-base requests total roughly $23.2 million, creating a roughly $4.3 million gap. Of the $12.3 million of above-base requests identified across departments, Johnson proposed funding $8.0 million from recurring resources and covering the remaining $4.3 million with one-time funds rather than layoffs or deeper operating cuts.

Public safety: police
The proposed budget directs the largest share of resources toward public safety. Johnson said the PD request is funded at about 85% under the proposed plan and includes 33 new positions for police overall, 27 of which are sworn (25 patrol officers and two sergeants). She described training, equipment and program restorations included in PD’s operating budget: $360,000 for training (including recruitment), about $350,000 for routine equipment replacement, and $140,000 to sustain programs that previously relied on grant funding (including an Explorer program and community programs such as the Powell program).

To help close the FY26 gap, the administration proposes cutting the police overtime line from $4.0 million to $2.0 million and relying on salary savings from vacancies and newly funded hires to backfill potential overtime overruns during the hiring ramp. Johnson said the reduction is manageable because salary savings from filled vacancies (including phased-in hires) can be used as needed. She also noted the administration has ordered specialty vehicles and established a vehicle-replacement program tied to CBA requirements.

Commissioners asked for further detail on how the chief calculated the specific number of new officers requested; Johnson said the chief and command staff are finalizing a strategic staffing plan that will consider population, workload and coverage but that the chief himself proposed 30 officers for FY26 and the administrator recommended 25 of those as part of the funded package. Several commissioners pressed for the staffing model and asked that it be shared when complete.

Public safety: fire
Johnson said the fire department request includes nine new positions (several sworn ranks and professional staff), bringing fire’s authorized sworn strength to about 292 if the budget is adopted. She noted the department has successfully pursued SAFER grants in past years and has submitted a new SAFER application for 17 firefighters; the administration said the estimated cost to the general fund for those 17 positions, if the grant is not awarded, would be about $2.5 million. If SAFER awards arrive after budget adoption, the city would implement a budget amendment rather than unraveling the adoption hearings.

Other priorities and quality-of-life programs
Johnson said the proposed budget adds a small number of quality-of-life positions (roughly $310,993 in new recurring personnel for parks, recreation, library and housing/community development) and modest material-service increases (including $50,000 for additional library books). She confirmed that several marquee events previously funded by the CRA will continue under the general fund after the CRA withdrew event support; the administration said the proposed FY26 operating budget includes funding to maintain those events in some format.

Tax-rate recommendation and next steps
Johnson asked the commission to retain the current millage rate of 8.1308, arguing that holding the rate provides fiscal flexibility if state-level property-tax changes are enacted. Staff provided a millage-reduction scenario showing that a 0.11-mill cut would reduce city revenue by roughly $2.0 million and would save a homeowner with a $500,000 home about $55 annually under the presented estimate.

Johnson outlined the process and schedule: community budget meetings beginning the day after the work session, another mayor/commission workshop in August to discuss the CIP and infrastructure, the two public hearings required for adoption in September, and an October 1 effective date for FY26. She also asked the board to support the proposed budget, to hold the millage rate, and to approve one-time funding for vehicle purchases tied to the police CBA and one fire vehicle.

Discussion and requests from commissioners
Commissioners asked for additional line-item detail for economic development and small-business programs, the police staffing model and the staffing plan the police chief is finalizing. Several commissioners expressed support for the proposed police hires while also requesting the underlying analysis used to set officer counts. Johnson said staff will provide requested breakdowns and that directors have discretion to reallocate funds within categories during the fiscal year; director requests to move money between personnel and material-services would be routed through administration for review.

No formal vote was held at the work session; Johnson closed by offering to return with requested detail at follow-up workshops and public hearings as the adoption schedule proceeds.

Ending: The commission scheduled follow-up briefings and the first public hearing on Sept. 8, with budget adoption hearings to follow before the Oct. 1 FY26 start date.